WB: Structural reforms to help ensure Azerbaijani GDP’s growth

By Azernews

By Sara Israfilbayova

The structural reforms, including those in the banking sector, will help ensure the growth of Azerbaijan's GDP, reads the latest edition of the World Bank's (WB) Global Economic Prospects report.

The report says Azerbaijan’s economy will grow by 0.6 percent in 2018 and by 1.3 percent in 2019.

Many countries, including Azerbaijan, carried out reforms to strengthen the financial sector, reads the report. Since the beginning of 2017, Azerbaijan's economy began to recover, showing positive results.

Earlier in May, Chief Economist of the WB’s Europe and Central Asia region Hans Timmer noted that Azerbaijan had accelerated structural reforms, including simplification of customs procedures and business licensing, which supports the development of the private sector.

Speaking about the ongoing reforms in the banking sector in the country, Timmer stressed that it is important to make sure that the banking sector remains healthy.

"The biggest challenge in this area is the need to form a banking sector that will help to create new jobs. The improvement of the banking sector should be supported not only by fiscal resources, but also by the relevant legislation in the field of bank restructuring and resolution, "Timmer said.

Founded in 1944, the  World Bank has 189 member countries, staff from more 170 countries, and offices in over 130 locations.

The WB is a unique global partnership: five institutions working for sustainable solutions that reduce poverty and build shared prosperity in developing countries. 

Today the Bank Group’s work touches nearly every sector that is important to fighting poverty, supporting economic growth, and ensuring sustainable gains in the quality of people’s lives in developing countries.

Azerbaijan joined the World Bank Group in 1992.