President Ilham Aliyev: 'The steps taken by the state to encourage investors are bearing fruits' - UPDATE- PHOTOS

“We manufacture about 600 kinds of military products,” said President of Azerbaijan Ilham Aliyev in a meeting of the Cabinet of Ministers on the results of the socio-economic development in 2011 and future tasks in 2012.

“We have the strongest army in the region, the logistical support is at a high level, we are purchasing the most modern weaponry, hardware, combat aircraft and helicopters, missiles, artillery units – it is hard to enumerate everything. The geography of countries cooperating with us in the military sphere is also growing. At the same time, the number and the range of military products manufactured in Azerbaijan is increasing. We manufacture about 600 kinds of military products. So today the Azerbaijani army is a great force, we can and will use this force when needed,” the Head of State added.
 
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“Our social policy has been successfully continued. In 2011, we raised salaries and pensions. The pensions of about 900,000 people were raised by almost 40 per cent, and this is one of the pillars of our social policy,” said President of Azerbaijan Ilham Aliyev in a meeting of the Cabinet of Ministers on the results of the socio-economic development in 2011 and future tasks in 2012.

According to the Head of State, “The well-being of our people is improving, the number of families receiving targeted social aid is now 120,000. This shows that the state pays constant attention to the families that are unable to improve their financial situation. On average, each family receives a monthly allowance of 106 manat.”

“We are committed to and governed by the principles of a market economy, and the figures I have cited reflect this perfectly well. At the same time, we are taking successful social steps and have achieved great successes in building a socially-oriented state. Currently, the average pension in Azerbaijan is about $180-190. The average wage is close to $460. I can say that this is a great indicator for the CIS. But we shouldn`t be complacent with that, of course. The measures we will take in the coming years, the funds to be allocated, the jobs to be created and our successful investment policy will help us. Of course, salaries and pensions should and will be further increased,” President Ilham Aliyev added.

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12:08

“Unfortunately, there was no progress in the settlement of the Armenian-Azerbaijani conflict over Nagorno-Karabakh in 2011. The only and the main reason for that is Armenia`s unconstructive position and its insincere conduct in the negotiations,” said President Ilham Aliyev in a meeting of the Cabinet of Ministers on the results of the socio-economic development in 2011 and future tasks in 2012.

“In fact, the Armenian side has been trying very hard to disrupt or “freeze” the talks. Of course, any negotiation requires the participation of both sides. If either side tries to evade the negotiations in one way or another, the possibilities of the other side become limited. But I can point to some positive developments in the attitude of international forces to this issue in 2011.

 We can`t deny that. I can say that the most important of them has been the fact that the three co-chair countries said that the status quo was unacceptable. This is first such statement, i.e. such statements were not made in previous years. It is a fair statement. Of course, the status quo must be changed, this is a reassuring statement. If it is followed by concrete proposals and steps on the part of co-chair countries, the conflict will be resolved soon. If it remains just a statement, then the prospects will not be very reassuring,” the head of State added.

According to the Head of State, “There are two ways to resolve this conflict: the path of negotiations and a military option. There is no third option. This is not and will never be a “frozen” conflict. If someone thinks that the main issue in the negotiations is to prevent war, I don`t agree. We don`t want war either. Who does? The state of Azerbaijan, which has achieved such great successes, certainly doesn`t. But that shouldn`t mean that the talks will be put aside and all the efforts will be directed to preventing war. This will not happen! Why am I saying this? Because in 2011, especially in the latter half of it, we saw the co-chairs mostly focus on actions and initiatives aimed at confidence-building measures and strengthening the ceasefire rather than on the essence of the talks. We don`t want war either. But there is a way of doing this. And this way is known to all. We have already stated that in principle we agree with the proposals submitted to both sides at a meeting of the OSCE foreign ministers in late 2009. Those principles were put forward not by us but by the co-chairs. If those principles are still valid, then the conflict can be resolved. I have sufficiently informed the public of the principles.

I just want to repeat the main points. Azerbaijan`s territorial integrity is not questioned, the citizens of Azerbaijan will return to occupied lands and proposals regarding the status of Nagorno-Karabakh will be put forward at an unspecified time in the future and in an indefinite form. Most importantly, Nagorno-Karabakh cannot be accorded any status without Azerbaijan`s consent. And this is natural – the state and the people of Azerbaijan can never give consent to a status of Nagorno-Karabakh outside Azerbaijan. These are the principles. We are ready to continue the talks on the basis of these principles, and if the opposing party takes similar steps, the issue can be resolved soon."

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“We achieved a record level of investment in 2011. The amount invested in the economy increases very rapidly every year,” said President Ilham Aliyev in a meeting of the Cabinet of Ministers on the results of the socio-economic development in 2011 and future tasks in 2012.

According to the Head of State, “In 2010, a total of $17.6 billion was invested. And in 2011 the investment reached $20 billion for the first time. A total of $37 billion was invested in our economy in just two years. If we add to that the investment made in previous years, we can see how much work is done in Azerbaijan. Both local and foreign investors are interested in our economy. Foreign investors believe in the successful development of our country – just as we do. At the same time, of course, a crucial role in the organization of this investment is played by public policy. Because state investment is quite large. It will stay that way this year. At the same time, the steps taken by the state to encourage investors are bearing fruit. Of the $20 billion of investment $13 billion is domestic investment, while $7 billion is foreign. And I can say that this balance, i.e. this ratio, is positive. Foreign investors carry on investing in Azerbaijan, while local investors, businessmen and the state of Azerbaijan are doing everything for a comprehensive and diversified development of our country.”

“In 2011, we implemented a major investment program, and most of the figures I have cited were achieved at the expense of the state. Our foreign reserves have increased. For the first time, our total currency reserves have reached $40 billion. According to the latest information, we have $41 billion now. These are our strategic reserves. We are receiving revenue from the management of these reserves. A concept for the next period has been developed and we must manage our foreign exchange reserves in a more diversified way. In this regard, appropriate instructions have been issued,” the President added.

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“However, due to a decline in oil production for reasons beyond our control, overall economic indicators are not very high. But this should not and does not bother us because most of our economy is formed in the oil and gas sector. So the reducing oil production inevitably affects our statistics,” said President Ilham Aliyev in a meeting of the Cabinet of Ministers on the results of the socio-economic development in 2011 and future tasks in 2012.

“We are not worried about that because other contributors to the successful development of the economy – and we'll talk about that today – are very positive. In general, economic growth constituted 0.1 per cent. But the non-oil sector of the economy grew by 9.4 per cent. This is the result of the work we are doing, because we have been taking practical steps to develop the non-oil sector for several years. We have adopted programs, there is a public policy in this direction. So all the opportunities have been created for diversifying the economy. As a result, our non-oil economy grew by almost 10 per cent. Considering the fact that the non-oil sector plays a crucial role in creating jobs, it certainly has a positive impact on both economic and social development,” the Head of State added.

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“Industrial production has declined by 5 per cent, also because of a drop in oil production. But our non-oil industry grew by 11.1 per cent. This is an excellent indicator. It shows that the industrialization initiatives we put forward several years ago are yielding fruit,” said President Ilham Aliyev in a meeting of the Cabinet of Ministers on the results of the socio-economic development in 2011 and future tasks in 2012.

According to the Head of State “Considering the fact that the enterprises we laid the foundations of in previous years will be commissioned in the coming years, we will see excellent opportunities for the development of the non-oil industry in the future. Inflation remained at a one-digit level – 7.9 per cent. This is a positive indicator. If inflation is in single digits, we consider it a positive result.”

“Population incomes grew by 19.6 per cent. This statistic clearly shows that the well-being has improved, so the difference between inflation and incomes is large enough. Population incomes are 2.5 times higher. These are key macroeconomic indicators of our economic development,” the President added.

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“In Azerbaijan, 2011 was announced as a “Year of tourism”. We must turn Azerbaijan into modern and elitist tourism center, President Ilham Aliyev said at the meeting of the Cabinet of Ministers on outcomes of the country`s socio-economic development in 2011 and outline priorities for 2012.

“Last year three 5-star hotels were opened in Baku. In 2012, three more five-star hotels will be also launched in Baku. This process is underway in the regions. Currently, 5-star or at the least 4-star hotels are built in the regions. I visit the important tourism centers and closely familiarize with them”.

President Ilham Aliyev said Shahdag Tourism Complex, which is to be opened this year, will be the unique and the most beautiful skiing resort on a global scale.

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17.01.12
10:00

Azerbaijani President Ilham Aliyev yesterday presided over a meeting of the Cabinet of Ministers to discuss outcomes of the country`s socio-economic development in 2011 and outline priorities for 2012.

In his opening speech, the President said the country fulfilled all socio-economic tasks set in 2011. “Last year our economy grew 0.1 per cent, while the non oil sector saw a 9.4 per cent increase. The development of the non-oil sector played a key role in creating new jobs. The share of the non-oil sector increased 11.1 per cent last year.”

The Head of State said: ”We maintained a single-digit inflation, with the population’s money incomes increasing 19.6 per cent in 2011.” The President said last year saw a record investment volume, adding “20 billion dollars were invested in the country”.

“This included 13 billion dollars of domestic investment, while 7 billion dollars came from foreign sources. In general, the last two years saw 37 billion dollars invested in Azerbaijan.”

President Aliyev praised the fact “for the first time, our currency reserves exceeded 40 billion dollars. Wages and pensions were increased last year, with the number of families receiving targeted social assistance reaching 120,000.”

“We remain committed to market economy principles, and, at the same time, we are making success in social policy. Last year we continued the construction of healthcare, educational, sports and cultural facilities across the country.”

The President said 94,000 jobs were created in the country in 2011, adding “of them 73,000 are permanent jobs. The unemployment level fell to 5.4 per cent last year, while the poverty level declined to 7.6 per cent.”

President Aliyev emphasized Azerbaijan’s foreign policy achievements in 2011.  “Our country was elected a non-permanent member of the United Nations Security Council, which means we enjoy the international community`s trust and confidence.”

The Azerbaijani leader also touched upon the Nagorno-Karabakh conflict, expressing regret “last year has not marked progress in peace talks”. “It is Armenia`s non-constructive position that has been preventing the solution of the Nagorno-Karabakh conflict.”

However, President Aliyev lauded statements by heads of state of Minsk Group`s co-chairing countries, who said a status-quo in the Nagorno-Karabakh conflict was unacceptable. The Head of State stressed the importance of fulfilling resolutions on the conflict.

President Aliyev highlighted Azerbaijan`s military power, saying: “If in 2010 our military spending was 3.413 billion dollars, last year it made 3.474 billion dollars. Azerbaijan`s army today has very great potential, we have the strongest military in the region, and this is what makes Armenia experience high levels of anxiety.”

The President also touched upon Azerbaijan`s achievements in tourism and youth policy.  “We declared 2011 the Year of Tourism in Azerbaijan, and a considerable job has been done as part of this. We also adopted the ‘Azerbaijani youth in 2011-2015 State Program’, and established a Youth Fund.”

President Aliyev also praised the achievements of the country`s energy industry.  “Important work was done in 2011 to boost our energy sector, including increasing Azerbaijan`s energy potential, discovering new gas fields, and strengthening the country’s gas transportation and transit capabilities.”

Minister of Economic Development Shahin Mustafayev, chief of the State Committee for Work with Refugees and IDPs Ali Hasanov, minister of communications and information technologies Ali Abbasov, chairman of the State Social Protection Fund Salim Muslumov made speeches at the event.

Closing the meeting, President Aliyev underlined the necessity of “working actively in order to make the same success in 2012”. “Azerbaijan`s 2012 State expenditure budget is 22 billion manats, while the consolidated budget is 25 billion manats.”

The Head of State said there were opportunities to strengthen the financial stability and ensure financial transparency in the country. President Aliyev said the budget of the State Investment Program was 5.7 billion manats, adding “implementing drinking water and sewerage projects will be a priority in 2012”.

“Our other priorities for this year include irrigation and melioration, gas and electricity supply, and ICT projects, as well as development of space industry, in particular the launch of Azerbaijan`s first satellite.”

“We will also attach a particular emphasis to ensuring food security, developing agriculture and entrepreneurship, implementing the Program for development of Baku and its suburbs, constructing social and infrastructure facilities, solving environmental problems, as well as continuing anti corruption and bribery measures.”

President Aliyev said army building would also be among the country`s key priorities in 2012.
At the end of the meeting the President declared 2012 the Year of Sport in Azerbaijan given the fact the country would participate in London Olympic Games this year.

Ten Olympic Sports Complexes will be built in the country in 2012, with the work to construct an Olympic Stadium and a Gymnastics Complex and reconstruct the Tofig Bahramov Stadium entering its active phase. 

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16.01.12
18:27

Azerbaijani President Ilham Aliyev has presided over a meeting of the Cabinet of Ministers to discuss outcomes of the socio-economic development in 2011 and outline priorities for 2012. The meeting started with opening remarks of the Head of State.

Minister of Economic Development Shahin Mustafayev, Chief of the State Committee for Work with Refugees and IDPs Ali Hasanov, Minister of Communications and Information Technologies Ali Abbasov, Chairman of the State Social Protection Fund Salim Muslumov made speeches in the meeting. President Ilham Aliyev summed up the meeting.



/AzerTAc/