14 January 2021, 12:57

In 2020 – the year of Victory, following its mandate, the Center for Analysis of Economic Reforms and Communication (CAERC) contributed to the solution of the tasks facing the state, as well as its current activities. Head of the Department of the Center Zanura Talibova presented the report on the work of the CAERC in 2020.   

 

 

During last year, the CAERC also conducted analyzes, made proposals, and developed projects to improve Azerbaijan's position in international rankings. Z.Talibova stated said that the model of management of economic reforms created in our country under the leadership of President Ilham Aliyev is accepted as one of the best practices in the world. “It is no coincidence that in Doing Business 2020 report Azerbaijan ranked 28 among 191 countries and assessed as one of the top-ten reformist countries. At the moment, a model of management of economic reforms applied in Azerbaijan is studied and implemented as best practice”.

 

According to Z.Talibova, the CAERC also analyzed the Index of Economic Freedom, the World Tourism Organization's (UNWTO) World Tourism Barometer, and the International Monetary Fund's (IMF) Economic Review reports and made recommendations. As she said, “Forecasts on macro, fiscal and monetary policy have been prepared guided by the econometric analysis based on the IMF's Financial Programming (FP) model. The study "Potential growth in the non-oil sector" analyzed employment, labor, capital, and productivity and provided forecasts on sources of growth current accounts, budget, and monetary sector. Based on the Financial Programming model the fiscal multiplicator of Azerbaijan was studied and income, social package, consumption growth, impacts on imports were analyzed. At the same time, regression analysis between the capital investment expenditures of the budget and the growth rate of the construction sector was conducted.”

 

Z.Talibova also mentioned that in 2020 economic analysis laboratory EconLAB was established in the CAERC with the support of the Asian Development Bank, SECO, World Bank, and IMF. “The laboratory created the initial version of 5 econometric models for analyzing the macro, meso, and micro levels. Also, during the Patriotic War of 2020, the laboratory created the “4x4 General Equilibrium Model” for calculating the economic losses of Armenia. Moreover, the Laboratory assessed the impact of the war on the macroeconomic indicators of the enemy, as well as the main economic sectors of the country. Additionally, the Input-Output Model was modified in order to calculate the short-term impact of the restoration of the liberated regions, as well as trade and transport-communication relations with Armenia on the economy of Azerbaijan. Economic damages inflicted on Azerbaijan due to 30 years of occupation of territories were calculated. Then, the laboratory presented information on the calculations”, said Z.Talibova.

Besides, Z.Talibova mentioned that in 2020 the CAERC prepared project documents of many economic state programs. “The CAERC and Ministry of Labor and Social Protection signed the agreement on provision of consulting services. According to the agreement, the agencies will work together to improve the self-employment program, increase social and economic efficiency, expand coverage, and ensure the sustainability of established local businesses”.

The Head of the Department also informed about the projects implemented by the CAERC. She said that the value of export orders received by the Internet portal www.azexport.az from 142 countries in 2020 amounted to 610.7 million US dollars. According to her words, “There were videoconferences on ensuring self-employment during the pandemic by using contemporary digital solutions. Employees of business entities, farmers, and youth were among the participants of the videoconferences. Also, the portal together with the Worldef Business School and a representative of Worldef as well as the My Broker customs office implemented the Amazon and Electronic Commerce Distance Learning project. At the same time, the Azexport portal in cooperation with the International Trade Center (ITC) organized online trainings within the Ready for Trading project”.

In 2020, the One-Stop-Shop Export Support Center received 1069 applications from physical and legal entities and provided 1298 certificates. From June 2017 to December 2020, construction, industrial, agricultural, and products worth 473.3 million US dollars, with 182.8 million US dollars felling to the share of 2020, were exported through the One-Stop-Shop Export Support Center.

In 2020, the validation center was established at the Digital Trade Hub (DTH). As a result, the DTH provided the service of mutual recognition of signatures and circulation of e-documents. Also, the Single Export Application was renewed. By updating the interface and operating principle, the issuance of a Free Sales Certificate was ensured through the system.

Moreover, in 2020, the CAERC’s Enterpriseazerbaijan.com portal was supplemented with new projects and ideas. Within the cooperation of the CAERC and British Council, the implementation of the Creative Spark project conducted together with the British University of Newcastle was continued, and the startup movement in Azerbaijan received support”.

Next, Z.Talibova noted that in 2020 the CAERC continued its activities in the sphere of communication and sent about 500 pieces of news to the mass media. “The communication activity mainly covered distribution of information on social and economic measures and Patriotic War. Starting from March of last year, the CAERC has been implementing the communication activity dedicated to comprehensive measures on reducing the negative impact of the coronavirus (COVID-19) pandemic on Azerbaijan’s economy, macroeconomic stability, employment issues, and businesses in the country. From September 27 to November 20, about 400 articles, interviews, and comments on the economic development of Karabakh and the resource war with Armenia were published in the world's leading media in Azerbaijani, Russian, English, Armenian, Spanish, Romanian, Urdu, and Bulgarian,” told Z.Talibova.

She also said that due to the declaration of 2020 as the Year of Volunteers in accordance with the Order of President Ilham Aliyev, the CAERC created the Reform Volunteers Organization. The organization has become a member of the Union of Volunteer Organizations of Azerbaijan and conducted dozens of meetings, seminars, and trainings.


Center for Analysis of Economic Reforms and Communication
www.ereforms.gov.az