Media Review December 21, 2018

Relations between the state and entrepreneurs, the possible impact on the manat after the increase in the discount rate by the US Federal Reserve System, and the reasons for the fall in world oil prices are the topics of today's media.

The Azerbaijan newspaper writes about relations between the state and entrepreneurs against the backdrop of the 5th Congress of the National Confederation of Organizations of Entrepreneurs that ended in Baku recently.

The author quotes from the speech of Ilham Aliyev, who expressed confidence that entrepreneurs will play a significant role in the sustainable development of the national economy.

Further, the author lists statistical indicators of economic development, which have already been published in this newspaper more than once.

The article also speaks about the protection of the rights of entrepreneurs by local executive authorities.

The website Modern.az talks about the possible impact on the manat rate of raising the discount rate by the Federal Reserve System of America. The base interest of the dollar increased from 2-2.25% to 2.25-2.5%.

MP Vahid Ahmedov believes the impact will be small, since the interest rate has increased by only 0.25%.

Expert Natig Jafarli also believes this will not directly affect Azerbaijan, since there are no currency exchanges in the country.

In Azerbaijan, the exchange rate is determined more administratively, the expert said. Nevertheless, indirectly, this will affect Azerbaijan and may accelerate inflation.

The website Bakupost writes about the reasons for the fall in oil prices. The expert claims there are three reasons: the US statement on a record increase in oil production in January 2019, a trade scandal between the US and China, affecting the global economy, and a statement by Russian Energy Minister Alexander Novakin that Russia intends to produce record oil production in 2019.