Azerbaijan - Building Competitiveness : An Integrated Non-Oil Trade and Investment Strategy, Volume 1. Summary Report
Azerbaijan's early transition to an independent, market-based economy has been tumultuous, entailing significant economic costs, and social impacts. Yet, unlike many transition economies, sound economic reforms since 1995, have enabled the cou...
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| Format: | Policy Note |
| Language: | English en_US |
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Washington, DC
2013
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| Online Access: | http://documents.worldbank.org/curated/en/2003/11/2821319/azerbaijan-building-competitiveness-integrated-non-oil-trade-investment-strategy-inotis-vol-1-2-summary-report http://hdl.handle.net/10986/14665 |
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okr-10986-14665 |
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| recordtype |
oai_dc |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
AGRICULTURE BUSINESS ENVIRONMENT CAPITAL MARKET CHEMICAL FERTILIZERS COMPARATIVE ADVANTAGES COMPETITIVE POSITION COMPETITIVENESS CURRENCY DEVELOPMENT STRATEGY DOMESTIC MARKET ECOLOGY ECONOMIC ACTIVITY ECONOMIC DEVELOPMENT ECONOMIC EXPANSION ECONOMIC GROWTH ECONOMIC OUTLOOK ECONOMIC STRUCTURES EXCESS SUPPLY EXCHANGE RATE EXPORT MARKETS EXPORTS EXTREME POVERTY FOREIGN DIRECT INVESTMENT FOREIGN EXCHANGE FOREIGN MARKETS FOREIGN SALES FOREIGN TRADE FREE TRADE FUEL FUEL EXPORTS GAS ACTIVITIES GAS INDUSTRY GAS PIPELINE GAS PIPELINE PROJECT GAS PROJECTS GDP GROWTH RATE INCOME INDUSTRIAL PRODUCTION INEFFICIENCY INFLATION INFLATION RATE INTERNATIONAL MARKET LABOR PRODUCTIVITY LIQUIDITY LIVING CONDITIONS LIVING STANDARDS MACROECONOMIC POLICY MACROECONOMIC STABILITY MARKET ACCESS MARKET SHARE MONETARY STABILITY NATURAL RESOURCES OIL OIL AND GAS OIL AND GAS SECTOR OIL COMPANIES OIL ECONOMY OIL EXPORTERS OIL EXPORTS OIL PRODUCTS OIL REVENUES OIL SECTOR PETROLEUM RAW MATERIALS REAL EXCHANGE RATE REAL GDP SECURITIES SPECIALIZATION TAXATION TELECOMMUNICATIONS TRADE AGREEMENT TRADE BALANCE TRADE FACILITATION TRADE PATTERNS TRADE POLICIES TRADE POLICY TRANSITION ECONOMIES UNEMPLOYMENT WAGES WASTE WASTE MANAGEMENT WORLD TRADE WORLD TRADE ORGANIZATION WTO COMPETITIVENESS TRADE DEVELOPMENT INVESTMENT ENVIRONMENT OIL SECTOR TRADE POLICY MARKET ACCESS TECHNICAL ASSISTANCE IMPORT POLICY WORLD TRADE ORGANIZATION TRADE FACILITATION PREFERENTIAL TRADE AGREEMENTS TRANSPORT FACILITATION BUSINESS ENVIRONMENT LABOR POLICY FISCAL POLICY ACCESS TO CREDIT CONTRACT ENFORCEMENT ENTREPRENEURSHIP PUBLIC SECTOR MANAGEMENT GOVERNANCE APPROACH INDUSTRIAL CAPACITY MONITORING CRITERIA PRIVATE SECTOR PARTICIPATION NON-GOVERNMENTAL ORGANIZATIONS ADMINISTRATIVE CAPABILITY FINANCIAL INSTITUTIONS |
| spellingShingle |
AGRICULTURE BUSINESS ENVIRONMENT CAPITAL MARKET CHEMICAL FERTILIZERS COMPARATIVE ADVANTAGES COMPETITIVE POSITION COMPETITIVENESS CURRENCY DEVELOPMENT STRATEGY DOMESTIC MARKET ECOLOGY ECONOMIC ACTIVITY ECONOMIC DEVELOPMENT ECONOMIC EXPANSION ECONOMIC GROWTH ECONOMIC OUTLOOK ECONOMIC STRUCTURES EXCESS SUPPLY EXCHANGE RATE EXPORT MARKETS EXPORTS EXTREME POVERTY FOREIGN DIRECT INVESTMENT FOREIGN EXCHANGE FOREIGN MARKETS FOREIGN SALES FOREIGN TRADE FREE TRADE FUEL FUEL EXPORTS GAS ACTIVITIES GAS INDUSTRY GAS PIPELINE GAS PIPELINE PROJECT GAS PROJECTS GDP GROWTH RATE INCOME INDUSTRIAL PRODUCTION INEFFICIENCY INFLATION INFLATION RATE INTERNATIONAL MARKET LABOR PRODUCTIVITY LIQUIDITY LIVING CONDITIONS LIVING STANDARDS MACROECONOMIC POLICY MACROECONOMIC STABILITY MARKET ACCESS MARKET SHARE MONETARY STABILITY NATURAL RESOURCES OIL OIL AND GAS OIL AND GAS SECTOR OIL COMPANIES OIL ECONOMY OIL EXPORTERS OIL EXPORTS OIL PRODUCTS OIL REVENUES OIL SECTOR PETROLEUM RAW MATERIALS REAL EXCHANGE RATE REAL GDP SECURITIES SPECIALIZATION TAXATION TELECOMMUNICATIONS TRADE AGREEMENT TRADE BALANCE TRADE FACILITATION TRADE PATTERNS TRADE POLICIES TRADE POLICY TRANSITION ECONOMIES UNEMPLOYMENT WAGES WASTE WASTE MANAGEMENT WORLD TRADE WORLD TRADE ORGANIZATION WTO COMPETITIVENESS TRADE DEVELOPMENT INVESTMENT ENVIRONMENT OIL SECTOR TRADE POLICY MARKET ACCESS TECHNICAL ASSISTANCE IMPORT POLICY WORLD TRADE ORGANIZATION TRADE FACILITATION PREFERENTIAL TRADE AGREEMENTS TRANSPORT FACILITATION BUSINESS ENVIRONMENT LABOR POLICY FISCAL POLICY ACCESS TO CREDIT CONTRACT ENFORCEMENT ENTREPRENEURSHIP PUBLIC SECTOR MANAGEMENT GOVERNANCE APPROACH INDUSTRIAL CAPACITY MONITORING CRITERIA PRIVATE SECTOR PARTICIPATION NON-GOVERNMENTAL ORGANIZATIONS ADMINISTRATIVE CAPABILITY FINANCIAL INSTITUTIONS World Bank Azerbaijan - Building Competitiveness : An Integrated Non-Oil Trade and Investment Strategy, Volume 1. Summary Report |
| geographic_facet |
Europe and Central Asia Azerbaijan Azerbaijan |
| description |
Azerbaijan's early transition to an
independent, market-based economy has been tumultuous,
entailing significant economic costs, and social impacts.
Yet, unlike many transition economies, sound economic
reforms since 1995, have enabled the country to achieve
macroeconomic stability, and resume growth. Notwithstanding,
the impact on poverty reduction has been modest,
particularly in the case of the urban poor who did not
benefit from land reform. To this end, the Government is
committed to a poverty reduction program, through
macroeconomic and structural reforms, to alleviate poverty
and improve living conditions. This report looks at the role
of trade and investment in reducing poverty, taking into
account the fact that the oil sector, expected to be the
primary driver of growth, accounts for 75 percent of the
total increase in real output. Although projected growth in
the non-oil sectors is 6.3 percent, and while relatively
slow compared to the expected rapid growth in the oil
sector, it would be a significant improvement over the
average 3.8 percent growth rate achieved between 1995 and
2001. This base case growth scenario would reduce the
incidence of poverty from 50 percent, to 30 percent, and
would reduce the share of those in extreme poverty from 17
percent, to 7 percent by 2010. The report stipulates the
exchange rate does not appear to hamper competitiveness, but
remains a future challenge. Given the fact that private
sector is liquidity constrained (the capital market is
underdeveloped), fiscal policy will provide main policies to
manage the oil windfall successfully, as well as
accumulating the excess oil revenues in the Oil fund abroad,
providing a fiscal sterilization, thus avoiding excessive
real exchange rate appreciation. This study is a diagnostic
of the non-oil trade and investment environment in
Azerbaijan. Its primary objective is to define a strategy
for enhancing competitiveness at the macro- and
micro-levels, and increase trade and inward investment in
the non-oil sector to assist in poverty reduction efforts.
The strategy implements one of the key objectives of the
Government's program, i.e., enabling income generating
opportunities, and jobs in the non-oil sector. The
analytical approach includes such program; and various
strategies and analyses of the Government, donors,
international financial institutions, private sector groups,
and NGOs; relevant analyses of the Bank and International
Monetary Fund (IMF); as well as three assessments conducted
for this report: an analysis of administrative barriers to
inward investment; an evaluation of trade policy and market
access agreements of Azerbaijan, including issues related to
the World Trade Organization (WTO) accession; and, a pilot
study of the potential for a fruit and vegetable processing cluster. |
| format |
Economic & Sector Work :: Policy Note |
| author |
World Bank |
| author_facet |
World Bank |
| author_sort |
World Bank |
| title |
Azerbaijan - Building Competitiveness : An Integrated Non-Oil Trade and Investment Strategy, Volume 1. Summary Report |
| title_short |
Azerbaijan - Building Competitiveness : An Integrated Non-Oil Trade and Investment Strategy, Volume 1. Summary Report |
| title_full |
Azerbaijan - Building Competitiveness : An Integrated Non-Oil Trade and Investment Strategy, Volume 1. Summary Report |
| title_fullStr |
Azerbaijan - Building Competitiveness : An Integrated Non-Oil Trade and Investment Strategy, Volume 1. Summary Report |
| title_full_unstemmed |
Azerbaijan - Building Competitiveness : An Integrated Non-Oil Trade and Investment Strategy, Volume 1. Summary Report |
| title_sort |
azerbaijan - building competitiveness : an integrated non-oil trade and investment strategy, volume 1. summary report |
| publisher |
Washington, DC |
| publishDate |
2013 |
| url |
http://documents.worldbank.org/curated/en/2003/11/2821319/azerbaijan-building-competitiveness-integrated-non-oil-trade-investment-strategy-inotis-vol-1-2-summary-report http://hdl.handle.net/10986/14665 |
| _version_ |
1764428353024032768 |
| spelling |
okr-10986-146652021-04-23T14:03:17Z Azerbaijan - Building Competitiveness : An Integrated Non-Oil Trade and Investment Strategy, Volume 1. Summary Report World Bank AGRICULTURE BUSINESS ENVIRONMENT CAPITAL MARKET CHEMICAL FERTILIZERS COMPARATIVE ADVANTAGES COMPETITIVE POSITION COMPETITIVENESS CURRENCY DEVELOPMENT STRATEGY DOMESTIC MARKET ECOLOGY ECONOMIC ACTIVITY ECONOMIC DEVELOPMENT ECONOMIC EXPANSION ECONOMIC GROWTH ECONOMIC OUTLOOK ECONOMIC STRUCTURES EXCESS SUPPLY EXCHANGE RATE EXPORT MARKETS EXPORTS EXTREME POVERTY FOREIGN DIRECT INVESTMENT FOREIGN EXCHANGE FOREIGN MARKETS FOREIGN SALES FOREIGN TRADE FREE TRADE FUEL FUEL EXPORTS GAS ACTIVITIES GAS INDUSTRY GAS PIPELINE GAS PIPELINE PROJECT GAS PROJECTS GDP GROWTH RATE INCOME INDUSTRIAL PRODUCTION INEFFICIENCY INFLATION INFLATION RATE INTERNATIONAL MARKET LABOR PRODUCTIVITY LIQUIDITY LIVING CONDITIONS LIVING STANDARDS MACROECONOMIC POLICY MACROECONOMIC STABILITY MARKET ACCESS MARKET SHARE MONETARY STABILITY NATURAL RESOURCES OIL OIL AND GAS OIL AND GAS SECTOR OIL COMPANIES OIL ECONOMY OIL EXPORTERS OIL EXPORTS OIL PRODUCTS OIL REVENUES OIL SECTOR PETROLEUM RAW MATERIALS REAL EXCHANGE RATE REAL GDP SECURITIES SPECIALIZATION TAXATION TELECOMMUNICATIONS TRADE AGREEMENT TRADE BALANCE TRADE FACILITATION TRADE PATTERNS TRADE POLICIES TRADE POLICY TRANSITION ECONOMIES UNEMPLOYMENT WAGES WASTE WASTE MANAGEMENT WORLD TRADE WORLD TRADE ORGANIZATION WTO COMPETITIVENESS TRADE DEVELOPMENT INVESTMENT ENVIRONMENT OIL SECTOR TRADE POLICY MARKET ACCESS TECHNICAL ASSISTANCE IMPORT POLICY WORLD TRADE ORGANIZATION TRADE FACILITATION PREFERENTIAL TRADE AGREEMENTS TRANSPORT FACILITATION BUSINESS ENVIRONMENT LABOR POLICY FISCAL POLICY ACCESS TO CREDIT CONTRACT ENFORCEMENT ENTREPRENEURSHIP PUBLIC SECTOR MANAGEMENT GOVERNANCE APPROACH INDUSTRIAL CAPACITY MONITORING CRITERIA PRIVATE SECTOR PARTICIPATION NON-GOVERNMENTAL ORGANIZATIONS ADMINISTRATIVE CAPABILITY FINANCIAL INSTITUTIONS Azerbaijan's early transition to an independent, market-based economy has been tumultuous, entailing significant economic costs, and social impacts. Yet, unlike many transition economies, sound economic reforms since 1995, have enabled the country to achieve macroeconomic stability, and resume growth. Notwithstanding, the impact on poverty reduction has been modest, particularly in the case of the urban poor who did not benefit from land reform. To this end, the Government is committed to a poverty reduction program, through macroeconomic and structural reforms, to alleviate poverty and improve living conditions. This report looks at the role of trade and investment in reducing poverty, taking into account the fact that the oil sector, expected to be the primary driver of growth, accounts for 75 percent of the total increase in real output. Although projected growth in the non-oil sectors is 6.3 percent, and while relatively slow compared to the expected rapid growth in the oil sector, it would be a significant improvement over the average 3.8 percent growth rate achieved between 1995 and 2001. This base case growth scenario would reduce the incidence of poverty from 50 percent, to 30 percent, and would reduce the share of those in extreme poverty from 17 percent, to 7 percent by 2010. The report stipulates the exchange rate does not appear to hamper competitiveness, but remains a future challenge. Given the fact that private sector is liquidity constrained (the capital market is underdeveloped), fiscal policy will provide main policies to manage the oil windfall successfully, as well as accumulating the excess oil revenues in the Oil fund abroad, providing a fiscal sterilization, thus avoiding excessive real exchange rate appreciation. This study is a diagnostic of the non-oil trade and investment environment in Azerbaijan. Its primary objective is to define a strategy for enhancing competitiveness at the macro- and micro-levels, and increase trade and inward investment in the non-oil sector to assist in poverty reduction efforts. The strategy implements one of the key objectives of the Government's program, i.e., enabling income generating opportunities, and jobs in the non-oil sector. The analytical approach includes such program; and various strategies and analyses of the Government, donors, international financial institutions, private sector groups, and NGOs; relevant analyses of the Bank and International Monetary Fund (IMF); as well as three assessments conducted for this report: an analysis of administrative barriers to inward investment; an evaluation of trade policy and market access agreements of Azerbaijan, including issues related to the World Trade Organization (WTO) accession; and, a pilot study of the potential for a fruit and vegetable processing cluster. 2013-07-30T21:00:17Z 2013-07-30T21:00:17Z 2003-11-20 http://documents.worldbank.org/curated/en/2003/11/2821319/azerbaijan-building-competitiveness-integrated-non-oil-trade-investment-strategy-inotis-vol-1-2-summary-report http://hdl.handle.net/10986/14665 English en_US CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank Washington, DC Economic & Sector Work :: Policy Note Economic & Sector Work Europe and Central Asia Azerbaijan Azerbaijan |