CBA and EBRD Talk about Implementation of 2014-2017 Strategy

The President of the Central Bank of Azerbaijan Elman Rustamov received on Wednesday a mission of the European Bank for Reconstruction and Development headed by the Executive Director for Financial Institutions Nick Thesseiman.

The sides discussed prospects of cooperation between the Central Bank and the EBRD, as well as the areas of technical assistance in priority areas.

Rustamov recognized the important role of EBRD in the development of Azerbaijan's banking sector and strengthening its role in the development of non-oil sector. He noted that the Bank's strategy on Azerbaijan supports the development priorities of the country and develops the range of bilateral cooperation.

In turn, Nick Thesseiman expressed EBRD’s interest in continuing close cooperation in accordance with the development priorities of Azerbaijan, the press service of EBRD reported.

The January report of EBRD downgraded the forecast for GDP growth in Azerbaijan in 2015. GDP growth of the country is forecast at 1.5%, which is almost half of the earlier forecast of the EBRD, which was given in September 2014. Reducing the rate of GDP growth in Azerbaijan, EBRD linked it to the sharp fall in oil prices on the world market.

In May last year in its new business strategy in Azerbaijan, 2014-2017, the Bank stated that the country reached a critical stage in its development and shall enter into the post-oil period, with modern and private sector development. "Diversification of the economy will be crucial for Azerbaijan entering the post-oil period, with modern and private sector development," it said in the strategy.

Under the current strategy, the priorities of EBRD in Azerbaijan for the period 2014-2017 are economic diversification and the development of a sustainable banking sector capable of supporting private business.

Since 1991, EBRD has allocated to Azerbaijan 2.1 billion US dollars for the implementation of 117 projects. -0-