World Bank: Azerbaijan's economy to grow in 2021-22

By Azernews

By Ayya Lmahamad

The World Bank has forecasted economic growth in Azerbaijan's for 2021 and 2022.

In its January review, the bank predicted that the growth of Azerbaijan's economy will be 1.9 percent in 2021 as oil prices stabilize and the economy benefits from investment and spendings on the reconstruction of Azerbaijani territories liberated from Armenian occupation.

The World Bank also forecasts Azerbaijan's economic growth to be 4.5 percent in 2022.

The November peace statement signed between Armenia and Azerbaijanis is expected to help alleviate geopolitical tensions in the region, the WB review reads.

The country's GDP is expected to grow despite the fact that there was a decline of up to 5 percent in GDP in 2020 due to COVID pandemic.

Overall, the South Caucasus subregion is projected to rise to 2.5 percent in 2021, as the shocks related to the pandemic and conflict dissipate, and as tourism recovers alongside improving consumer and business confidence. 

It should be noted that Azerbaijan's GDP growth in 2019 was 2.2 percent.