Mammadov: the current government is not able to  make reform

“The profound reform” in the Azerbaijani economy, which has declared  the  President of Azerbaijan Ilham Aliyev, may begin in September, said Nazim Mammadov ,  the head of the Club of economists, and in an interview with the program "Cetin sual."

According to him, some steps were taken recently. So, there were a number of associations of state bodies, cut costs, suspended inspection, simplified licensing rules, etc. However, all this does not give the desired effect.  There is still a dictate of monopolists, there is not an atmosphere of free competition, access to cheap finance, AZN continues to become cheaper with the threat of a new devaluation. Mammadov considers it important to start with the reform of the structure of the Cabinet of Ministers. Today the government is made up of 40 organizations, which often  double each other. There are six prime minister in the  government unclear functions.

Today, there is a need  for a mobile government of 20 people, just like in  neighboring Georgia, where the prime minister  has only two deputies, who  are ministers at the same time.

Mammadov skeptically assesses  the ability of the current Azerbaijani government, most of the members of  which are at the age of  70 years of age, and  older, 75-80 years old, including the prime minister.

On the other hand, the country is heavily dependent on imports. Despite the high potential of agriculture the country does not have the processing industry. To separate  business from administrative pressure  the expert proposes to combine taxes and obligatory payments for social insurance, and to determine their level  at  20%, instead of the current 40%.

Mammadov considers necessary  the abolition of the state fund of social protection, as an ineffective structure. It is also necessary to eliminate  customs as a separate structure, and pass  to the Ministry of Taxes.

 The recovery of the banking sector  requires the transference of   about 3-5 billion foreign exchange reserves of the country as a long-term interest-free loans to Azerbaijani banks with high corporate culture for the financing  the real economy in the form of cheap loans.

 Expert proposes to reform the management system in the regions too. In his view, there is no need to create an executive power in each region.  –06D-

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