The results of the monitoring and evaluation of the 2017 targets under the strategic roadmaps for the national economy and its key sectors have been made public. Vusal Gasimli, Executive Director of the Center for Analysis of Economic Reforms and Communication (CAERC), noted that the implementation levels across all strategic roadmaps demonstrate that the economic reform course led by President Ilham Aliyev continued successfully in 2017: “President Aliyev designated 2017 as a year of deep and systematic reforms. The strategic roadmaps implemented under his leadership played a key role in stabilizing the economy in 2017 and setting the stage for economic growth in 2018.”

According to Gasimli, the overall implementation rate of the “Strategic Roadmap for the National Economy of the Republic of Azerbaijan” reached 92%. Specifically, 86% of the 2017 targets were fully completed, 12% partially completed, and 2% remained unimplemented.

During the press conference, Gasimli highlighted the following key achievements:

1. Fiscal Sustainability and Monetary Policy:
   The first objective of the National Economy roadmap—strengthening fiscal sustainability and adopting a sustainable monetary policy—was fully implemented at 67%, partially at 25%, with 8% of actions not implemented. Key measures carried out included macroeconomic coordination, application of the “Golden Rule” principle, targeting new alternative reserves, ensuring the full transition to a floating exchange rate, improving interbank market operations, establishing the Medium-Term Expenditure Framework, and managing adequate economic expectations. The monetary program for 2017 ensured control over money supply channels and was successfully executed.

2. Privatization and State-Owned Enterprise Reforms:
   The second objective, implementing privatization and reforms of state-owned enterprises, achieved 71% full implementation and 29% partial implementation. The list of state enterprises to remain under state ownership in the medium term was updated. Privatization processes accelerated with decisions taken for around 40 enterprises, 13 of which have been privatized. A unified information database, the “Privatization Portal,” and the 2018 “Privatization Agenda” were prepared. Valuation and potential development analyses were conducted for priority sector enterprises, and future privatizations will largely be investment-competition-based, requiring buyers to implement an Investment Program (business plan).

3. Human Capital Development:
   The third objective—human capital development—was 100% implemented. In 2017, laws on “Preschool Education” and “Unemployment Insurance” were adopted. The “Year of Quality in General Education” was declared, teacher diagnostics continued, rules for appointing directors in general education institutions were approved, and 198 directors were selected through a competitive process. Additionally, the draft law on vocational education, criteria for granting research university status, and a grant competition for development and innovation in education were implemented. Programs were developed to promote investment in innovation and establish the national innovation system.

4. Favorable Business Environment:
   The fourth objective—developing a favorable business environment—achieved 94% full implementation and 6% partial implementation. Measures included improving the business environment, enhancing international rankings, and updating the Competition Code. The Presidential Decree No. 2199 dated July 13, 2016, regarding additional measures to improve the business environment was implemented. Research was conducted on effective taxation, public service efficiency, open government data, e-government solutions, and best international practices, including free trade agreements. On October 31, 2017, an Memorandum of Understanding was signed in Baku on a preferential trade agreement between Azerbaijan and Turkey. Draft laws on technical regulation and national standardization in line with international requirements were prepared.

Gasimli also emphasized that public disclosure of the monitoring and evaluation results aligns with open government, good governance, transparency, and accountability principles: “This ensures public discussion of economic reform outcomes, allowing all stakeholders to provide input in the decision-making process. The successful implementation of strategic roadmaps under President Aliyev strengthens macroeconomic stability, increases non-oil sector growth and exports, improves trade and fiscal balance, promotes a favorable business environment and investment attraction, enhances infrastructure, supports social welfare, and reinforces Azerbaijan’s international position.”

Key implementing bodies and their performance in 2017:

• Ministries of Economy, Education, Finance, National Academy of Sciences, State Statistical Committee, State Committee for Standardization, Metrology, and Patents, State Agency for Public Service and Social Innovations, the Commission established under Presidential Decree No. 2199, and the Financial Stability Council: 100% implementation.

• State Property Committee: 83%

• Central Bank: 69%

• Tax Ministry: 50%

This report provides a comprehensive assessment of the progress and impact of Azerbaijan’s strategic economic reforms in 2017.