Media Review for 11/21/18

The situation with the heat and energy supply of the population, the possibility of outflow of dollars from Azerbaijan to Iran, and discussion of the possibilities of writing off the debts of the population to banks are the focus of media attention on November 21.

The newspaper Azerbaijan in the article Cold Weather Does Not Like Cold Attitude assesses the situation with the heat supply of the population in the winter period.

In the cold season, the demand for energy and heat supply increases, and certain problems arise in this area. The relevant services constantly declare full readiness for winter, but in practice this is not always the case. Azerigaz PA and Azeristilik OJSC assure that there will be no problems.

Azerigaz announces gasification of 94.3% of the country. Through the 550 boiler houses, Azeristilik JSC heats 3,800 residential buildings, 180,000 apartments, 290 schools, 150 kindergartens, 160 health facilities and 1,300 economic and social facilities.

The author criticizes the tradition of heat supply, preserved from the Soviet time, only since November 15th.

The website Oxu.Az touches upon the subject of exporting currency from Azerbaijan to Iran.

The Central Bank of Azerbaijan forms the rate of the Iranian rial to manat in accordance with the official rate. For example, the official rate on Tuesday was 0.0040 AZN per 100 Iranian rials. One dollar is equivalent to approximately 42 thousand rials. In reality, the situation is different.

According to economist Rashad Hasanov, in Iran it is now impossible to find a dollar at that price. The cost of US currency in the informal market ranges from 130-160 thousand riyals. That is what prompts Azerbaijanis to carry dollars to Iran. With this money, goods are bought in Iran and brought to Azerbaijan, and bring profit even when sold at their cost.

The website Cebhe.info in the article "Bank debts in amounts up to 5,000 manat should be written off" gives expert opinions on the possibility of using the experience of Georgia in Azerbaijan, where it was decided to write off the debts of the population to banks

Economist Gubad Ibadoglu notes that in Azerbaijan they not only do not write off debts on overdue loans, but charge additional interest. Ibadogolu notes that although the decision to write off the debts of the population is dictated by the domestic political situation, their experience may be of interest to Azerbaijan. A write-off in Azerbaijan for amounts up to 5,000 manat would be a contribution to solving the problem of overdue loans.

According to official data, the total volume of problem loans in Azerbaijan is 1.8 billion manat, and according to unofficial data - 3 billion manat.