Inglab Akhmedov: "Azerbaijan "compensates" lower prices in Armenia with higher incomes of the Azerbaijani population"

"Considering lower incomes of the population in Armenia and weaker budget potential, we have the following: Azerbaijan "compensates" relatively lower prices in Armenia with higher incomes of the Azerbaijani population", famous economist Inglab Akhmedov said in his interview while commenting on conclusions drawn from the WB report, according to which life in Azerbaijan is cheaper than in Armenia and Georgia.

He said it is impossible to draw such conclusions, as the said report fixes both index of prices  of definite goods and exchange rate of the national currency, which is just an indication of existing tendencies in these countries.

He noted that the said report describes the situation in 2005, which is quite different from that of 2007. According to him, the current situation is worsened by the well-known resolution of the Tariff Council of January 8 of 2007.

"On the whole, it is possible to state that the year of 2007 is marked with inflation, which was "imported" even to the United States. Inflation was high in Azerbaijan and our country has neared Georgia by this indicator. As is known, prices on foodstuffs are higher in Georgia  as compared to Azerbaijan due to  high prices on energy sources. If we take into account the fact that incomes of the population are higher in our country than in Georgia, we will come to a conclusion that the purchasing capacity of the population in Azerbaijan is currently higher than in Georgia", he said.

He added that the purchasing capacity of Armenian population is also lower as compared to Azerbaijan.

/Day.Az/