Short-term road map to curb inflation adopted

Baku/22.02.22/Turan: The Cabinet Ministers adopted the resolution "On urgent steps to strengthen anti-inflationary measures" on 21 February. The document was adopted to minimize the impact of inflation on economic activity and social well-being of the population with commitment to forming prices on market principles.

Note that the Ministry of Economy has been instructed to take measures to stimulate local producers of food products which are a part of the minimum consumer basket, and to report to the Government on a monthly basis. Proposals on preferential financing tools for entrepreneurs involved in procurement and processing of basic foodstuffs are to be submitted within 15 days. Over the same period, the proposals on stabilization of prices for foodstuffs included in the minimum consumer basket due to trade mark-ups will be submitted to the Cabinet of Ministers.

Also, there are plans for preferential attraction of import duties and VAT on the aforementioned products, as well as intermediate goods used for their production. The State Customs Committee will prepare relevant proposals within 15 days. SCC will also optimize tariffs for storage, loading and unloading of cargo. Instructions are also given to take measures to reduce expenses on transportation and logistics of agricultural and food products on the territory of the country.

The State Reserves Agency in cooperation with the Ministries of Agriculture and Economy was instructed to submit proposals to the Cabinet of Ministers on reserving strategic products given the situation in the world food market.

This January the annual inflation in Azerbaijan amounted to 12.5%. Food prices rose by 17.5% during this period. -08D-