The Center for Analysis of Economic Reforms and Communication of the Republic of Azerbaijan has announced that the monitoring and evaluation results for the first half of 2017 under five additional strategic road maps have been published. The strategic road maps for which results have been disclosed are as follows:

• The Strategic Road Map on the National Economy Perspective of the Republic of Azerbaijan;

• The Strategic Road Map on the Production and Processing of Agricultural Products in the Republic of Azerbaijan;

• The Strategic Road Map on the Development of Logistics and Trade in the Republic of Azerbaijan;

• The Strategic Road Map on the Development of Financial Services in the Republic of Azerbaijan;

• The Strategic Road Map on the Development of Utilities (electricity and thermal energy, water and gas) in the Republic of Azerbaijan.

The highest implementation rate among the strategic road maps was achieved under the “National Economy Perspective,” reaching 62 percent. The lowest implementation rates were recorded for the “Strategic Road Map on the Production of Consumer Goods at the Level of Small and Medium Entrepreneurship” and the “Strategic Road Map on the Development of Telecommunications and Information Technologies,” each at 27 percent.

According to the monitoring and evaluation results for the first half of 2017, the performance of 47 institutions was presented. The Financial Stability Council and the Commission established by the Presidential Decree of July 13, 2016, titled “On Additional Measures to Improve the Business Environment in the Republic of Azerbaijan and Further Enhance the Country’s Position in International Rankings,” fulfilled their assigned tasks at 100 percent. “Azərenerji” OJSC achieved an implementation rate of 75 percent, the Ministry of Finance 69 percent, the Tourism Council 67 percent, the State Agency for Housing Construction 60 percent, the State Agency for Public Service and Social Innovations 57 percent, and the State Committee on Property Issues 53 percent. Sixteen institutions implemented 50 percent of the measures envisaged in the strategic road maps for the first half of 2017, 20 institutions implemented less than 50 percent, and three institutions did not implement any measures.

Within the framework of the Strategic Road Maps, in order to strengthen fiscal sustainability and adopt a sustainable monetary policy, the parameters of fiscal rules were determined and agreed upon in line with international best practices. The impact of applying fiscal rules on the state and consolidated budget indicators, as well as potential risks, were analyzed, and forecast indicators were prepared. Proposals were developed for establishing a Medium-Term Expenditure Framework and performance-based budgeting mechanisms. Macroeconomic coordination was ensured, and the flexibility of the exchange rate regime was increased. A comprehensive diagnostic of the banking sector was conducted, and action plans were prepared for restructuring several banks facing capital shortages. A number of measures were also implemented in the areas of logistics, trade, agriculture, and utilities under the strategic road maps.

The monitoring and evaluation group proposed that, through comprehensive analyses of investment issues, efforts could be accelerated in line with the measures envisaged in the Strategic Road Maps to further develop public-private partnerships and stimulate the attraction of private investment into infrastructure sectors. It also recommended expediting the implementation of sustainable business reforms, the adoption of the Competition Code, the advancement of institutional reforms, the restructuring of banks whose capital adequacy has not been restored, and increasing private and foreign investment in the utilities sector.

Under the leadership of the President of the Republic of Azerbaijan, Ilham Aliyev, the implementation of the Strategic Road Maps has contributed to ensuring sustainable economic development and improving the country’s position in international rankings. The World Economic Forum’s ranking of Azerbaijan 35th in terms of competitiveness demonstrates that economic reforms are yielding results, and that 2018 will be a year of rapid economic growth.