DOCSLIB.ORG

The State Oil Fund of the Republic of Azerbaijan Annual Report 2015 Content

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
The State Oil Fund of the Republic of Azerbaijan Annual Report 2015 Content THE STATE OIL FUND OF THE REPUBLIC OF AZERBAIJAN ANNUAL REPORT 2015 CONTENT 1. ABOUT SOFAZ 2 2. FACTS AT GLANCE 6 3. GOVERNANCE AND TRANSPARENCY 8 3.1. SOFAZ management 8 3.2. Transparency and accountability 14 4. NATIONAL ECONOMY AND SOFAZ 18 4.1. Macroeconomic development 18 4.2. SOFAZ Revenues 25 4.3. SOFAZ Expenditures 30 5. INVESTMENT REPORT 38 5.1. Investment Strategy 38 5.2. SOFAZ Investment portfolio 43 5.3. SOFAZ Investment 65 portfolio performance 5.4. Risk management 69 6. 2015 SOFAZ BUDGET EXECUTION 72 7. CONSOLIDATED FINANCIAL 78 STATEMENTS OF SOFAZ APPENDIX 155 THE STATE OIL FUND OF THE REPUBLIC OF AZERBAIJAN 01 ABOUT SOFAZ Objectives Legal framework for operating expenditures, are incorporated as part of an annual consolidated government budget presented SOFAZ’s activity is directed SOFAZ’s operations are to the Parliament for approval. to the achievement of the guided by the Constitution Thus, indirectly, all citizens following objectives: and laws of the Republic participate in the discussions of Azerbaijan, Presidential of the budget of SOFAZ. In decrees and resolutions, The State Oil Fund of the 1. Supporting macroeconomic compliance with this law, SOFAZ Statute and the Fund’s stability, participating in SOFAZ can only execute the regulations. ensuring fiscal-tax discipline expenditures envisaged by its Republic of Azerbaijan (SOFAZ) and decreasing dependence budget. on oil revenues while SOFAZ’s funding and stimulating development of withdrawal rules are clearly SOFAZ’s investment and was established in accordance the non-oil sector; defined by the “Statute risk management policies of State Oil Fund of the are defined by “Investment Republic of Azerbaijan” and Guidelines” and “Investment 2. Funding major national with the Decree of national the “Rules on the preparation Policy” approved by the scale projects to support and execution of the annual President of the Republic of socio-economic progress; program of revenues and Azerbaijan after the review leader Heydar Aliyev No. 240 expenditures (budget) of of the Supervisory Board. 3. Ensuring intergenerational the State Oil Fund of the According to its “Investment equality with regard to Republic of Azerbaijan”. Policy” SOFAZ’s investment on December 29, 1999. the country’s oil wealth, According to the Law “On decisions should aim at accumulating and preserving budget system” of the maximizing the risk adjusted oil revenues for future Republic of Azerbaijan, all returns. According to the generations. SOFAZ expenditures, except “Investment Guidelines”, SOFAZ makes investment decisions independently. In 2004, the President of the Republic of Azerbaijan Ilham SOFAZ is a mechanism whereby energy-related earnings are Aliyev approved “Long-term accumulated and efficiently managed for future generations. SOFAZ’s mission is to transform Strategy on the management of oil and gas resources”. depletable hydrocarbon reserves This document is considered SOFAZ is structured as an extra-budgetary fund and functions as a crucial milestone for as the legal entity separate from the government or central bank. into financial assets generating the long-term prosperity of Statute of SOFAZ was approved in 2000. the country, outlining the perpetual income for current development of the non-oil The cornerstone of SOFAZ’s philosophy is to ensure sector, human capital and intergenerational equality with respect to the benefit from and future generations. competitive economy. the country’s oil wealth. The Oil Fund is one of the central components in the implementation of the Strategy. 2 3 THE STATE OIL FUND OF THE REPUBLIC OF AZERBAIJAN 01 ABOUT SOFAZ 1.80% 2.90% 4.60% Our Values: Respect, Teamwork, 2.35% 4.70% 6.50% 10.20% 1.29% Trust and Transparency 0.11% 2% 3.30% 3.10% 3.10% $0.5 $2.5 $22.8 $34.1 $35.9 $37.1 $33.6 billion billion billion billion billion billion billion Since its very inception, SOFAZ has Respect built a strong cooperation with a 100% 100% 99.89% 94.36 % 90.20% 87.50% 82.1% number of financial organizations SOFAZ’s realitions with international organizations, financial institutions, 2001 2007 2010 2012 2013 2014 2015 and institutions in Azerbaijan and government bodies as well globally. Fund’s relations with its as its employees are based • First • Awarded with • First • Assets increased • Commitment • Further • Investment was on mutual respect. Deeply investments UN Public investments to over USD 30 to IFC investments were made to Japan partners are based on the principles were made. Service Award. into private billion. Infrastructure made to public property market. rooted into the Fund’s philosophy, trust and respect • Assets equity were • First Fund. equity and real • First investments of mutual respect, trust, teamwork increased to made. investments into • Total amount estate. through private are the main factors in over USD public equity, of gold • First time public property started. and transparency. maintaining healthy relations 2 billion. gold and real purchased equity indexes • Investments in workplace and cooperating estate were reached 30 were replicated in were made to fruitfully with partners. made. tons. house. European stock • New currencies • SAA was markets through were introduced amended. MSCI Europe to the portfolio. • Transfer of the ex-UK index. • Commitment purchased gold to IFC Catalyst to Azerbaijan was Fund. completed. Teamwork Trust Transparency Fixed Income Equities Gold Real Estate It is through teamwork Since its inception, SOFAZ SOFAZ’s activities are and joint efforts that adheres to the highest based on the principles Note: The diagram illustrates year by year AuM and breakdowns of the of transparency and investment portfolio by asset class SOFAZ succeeds in all standards of ethical behavior of its endeavors and and honesty to gain the accountability. Internationally strengthens its prestige trust of its partners. SOFAZ praised as a credible and locally and worldwide. expects all of its business transparent institution, Building strong working partners to operate on the SOFAZ, in line with the realitionships, praising same principles of mutual foremost international personal, achievements trust and cooperation. practices, ensures the highest and encouraging level of transparency towards teamwork contribute to its counterparties, employees the establishment as well and external managers. as further development of professional work environment. 4 5 THE STATE OIL FUND OF THE REPUBLIC OF AZERBAIJAN 02 FACTS AT GLANCE Chart 2.3. Currency composition 60% Chart 2.1. Growth in SOFAZ assets (USD billion) 50% AuM Growth in AuM 40% 30% 52.79% 35.9 37.1 20% 34.1 33.6 29.8 10% 32.81% 22.8 30.89% 0.0% 14.53% 14.9 3.42% 5.12% USD + Euro GBP AUD TRY RUB KRW CNY JPY Others Gold -9.52% 31.12.2015 30.06.2015 31.12.2014 2009 2010 2011 2012 2013 2014 2015 10.2% Chart 2.2. Chart 2.4. Annualized rate of return on portfolio Asset allocation 4.6% 3.1% Last 10 years 2.42% Last 5 years 1.50% Fixed income Equites Last 3 years 1.51% Real Estate Gold 82.1% 2015 1.24% 6 7 THE STATE OIL FUND OF THE REPUBLIC OF AZERBAIJAN 03 GOVERNANCE AND TRANSPARENCY 3.1. SOFAZ MANAGEMENT The Supervisory Board, consisting of representatives of the state authorities and public organizations, carries out general oversight of the Fund’s operations. Supervisory Board Supervisory Board consists The Supervisory Board held of the following members: 3 meetings in 2015. The Board reviews and Artur RASIZADE On January 8, 2015 the Supervisory Board chaired by evaluates the Fund’s draft Prime Minister of the Republic annual budget, annual report of Azerbaijan Mr. Artur Rasizade, the Prime and financial statements, Minister of the Republic of along with audit report. Valeh ALESGEROV Azerbaijan and the Chairman Members of the Supervisory Vice-Speaker of the Parliament of the Supervisory Board Board are approved by the (Milli Majlis) of the Republic of discussed SOFAZ draft budget Azerbaijan President of the Republic for 2015, including the major of Azerbaijan. The board directions of its investment Vahid AKHUNDOV members act entirely on a policy and recommended voluntary basis. State Economic Policy Adviser its draft annual operating of the Republic of Azerbaijan expenditures for the approval by the President of the Samir SHARIFOV Republic of Azerbaijan. Minister of Finance of the Republic of Azerbaijan The subsequent meeting of SOFAZ’s Supervisory Board Shahin MUSTAFAYEV was held on June 1, 2015, Minister of Economy of the Republic of Azerbaijan where SOFAZ’s 2014 annual report, the audit findings of Elman RUSTAMOV financial activities, and the Governor of the Central Bank Fund’s budget execution of the Republic of Azerbaijan were discussed and deemed satisfactory. The Prime Minister Artur Rasizade 8 THE STATE OIL FUND OF THE REPUBLIC OF AZERBAIJAN 03 GOVERNANCE AND TRANSPARENCY was re-elected as the Executive Deputy Executive Investment for performance attribution, Budget Forecasting Supervisory Board’s modelling and research, Chairman-in-office for the Director Director Department compliance, and supervision and Projects next term. (Front Office) of external managers. The Department department has 2 divisions: On October 30, 2015, the SOFAZ’s day-to-day activities Deputy Executive Director is • Risk and performance are managed by the Executive Supervisory Board discussed appointed by the President The Investment Department measurement division; The budget forecasting Director appointed by the of the Republic of Azerbaijan. the Oil Fund’s draft annual is responsible for developing • External asset management/ and projects department is President of the Republic of Israfil Mammadov was budget for 2016, including investment strategy, investing Research division. responsible for forecasting Azerbaijan. the major directions of its appointed as Deputy across eligible asset classes, SOFAZ’s revenues and investment policy as well Executive Director of SOFAZ including fixed income, money expenditures, organizing as draft annual operating The Executive Director on July 23, 2013.
Load more

Recommended publications
  • Program of the 9Th International Caspian Energy Forum Baku – 2019
    PROGRAM OF THE 9TH INTERNATIONAL CASPIAN ENERGY FORUM BAKU – 2019 Boulevard Hotel Baku, Taghiyev Ballroom 19 September 2019 08:00 – 09:00 Registration of the forum participants (welcome coffee) 09:00 – 09:15 Official opening ceremony Opening speech of the Chairman of the Government or Head of the Administration of the Azerbaijan Republic President 09:15 – 11:00 I Session OIL & GAS, INDUSTRY, INFRASTRUCTURE Speakers: Minister of Energy of Azerbaijan Parviz Shahbazov (confirmation expected) Deputy Minister of Foreign Affairs of Azerbaijan, Special representative of the President of the Republic of Azerbaijan for border and Caspian Sea issues Khalaf Khalafov (confirmed) Deputy Minister of Ecology and Natural Resources of Azerbaijan Rauf Hajiyev (confirmed) Minister of Economy of Azerbaijan Shahin Mustafayev (confirmation expected) Chairman of the State Committee for Architecture and Urban Planning of Azerbaijan Samir Nuriyev (confirmed) Forum Partner – ABB – Rustam Gasimov – Managing Director Forum Partner - Azpetrol Ltd - Arzu Aghayeva – Chief of Social Relations Department Forum Partner – Worley Europe Ltd, Azerbaijan Branch – Paul Dean – Program Director Forum Partner – Vien Group – Gabil Mustafayev – General Director Forum Partner – Nabucco Architecture & Construction – Kamaleddin Mansimov - direktor Forum Partner - Hellmann Worlwide Logistics – Kamran Habibov - Director Presentation of gratitude certificates to all speakers of the session Presentation of the international Caspian Energy Award prize to companies which contributed
    [Show full text]
  • Press R Elease
    PRESS RELEASE LEE YI SHYAN MAKES AN OFFICIAL VISIT TO AZERBAIJAN, 19 TO 20 SEPTEMBER 2013 Senior Minister of State for Trade and Industry, Mr Lee Yi Shyan visited Baku, Azerbaijan from 19 to 20 September 2013, to promote greater economic engagement and ties between Singapore and Azerbaijan. As part of his visit, Mr Lee also attended the opening ceremony of the new Keppel-State Oil Company of Azerbaijan (SOCAR) shipyard on 20 September, alongside Azerbaijan President Ilham Aliyev and Keppel Corporation Chairman Dr Lee Boon Yang. The economic and bilateral relationship between Singapore and Azerbaijan has been growing in the recent years with Ministers from the two countries making official visits on both sides. Several Singapore companies like Keppel Offshore & Marine Ltd and Franklin Offshore Group have established a presence in Azerbaijan, supporting the operations of large oil and gas companies. With Azerbaijan’s growing economy, there are opportunities for closer collaboration between Singapore and Azerbaijan and for Singapore companies to explore business and investment possibilities in the Azerbaijan market. The new Keppel-SOCAR shipyard is one such example. The shipyard is a joint venture by Keppel Offshore & Marine (a subsidiary of Keppel Corporation), SOCAR and the Azerbaijan Investment Company (AIC). “Azerbaijan has developed rapidly and its GDP has grown 3.45 times in the last 10 years. The country is making deliberate and sustained investments in infrastructure and capacity building as ways to diversify its economy, adding to oil and gas. Baku itself has been greatly modernised and transformed. Keppel’s investments in first Caspian Sea Shipyard and now the inauguration of the Baku Shipyard represent significant milestones not just for the growth of the companies in Azerbaijan but also a symbol of closer economic partnership between Azerbaijan and Singapore.” “As Azerbaijan continues to develop, it will offer many opportunities for our companies in consultancy services, infrastructure design and urban planning.
    [Show full text]
  • Azerbaycan Nisan 2013
    2013 AZERBAYCAN Ülke Bülteni DEİK / Türk –Azerbaycan İş Konseyi 0 Genel Bilgiler Resmi adı: Azerbaycan Cumhuriyeti Yönetim şekli: Cumhuriyet Ba şkent: Bakü Di ğer şehirler: Gence, Nahçıvan, Sumgayıt, Lenkeran, Şeki, Mingeçevir, Guba, Şirvan İdari yapı: 59 bölge (rayon), 11 şehir, 1 özerk cumhuriyet Kom şuları: Türkiye, İran, Gürcistan, Ermenistan, Rusya Federasyonu Yüzölçümü: 86,600 km 2 (Dünyanın en büyük yüzölçümüne sahip 112. ülkesi) Nüfus: 9,2 milyon (2011 yılı resmi sayım sonuçları itibariyle) Etnik da ğılım: Azeri (%90.6), Da ğıstanlı (%2.2), Rus (%1.8), Ermeni (%1.5) Dil: Azerbaycan Türkçesi Para birimi: Manat (Mart 2013 itibariyle 1 USD = 0.785 AZN, 1 EUR=1,03779 AZN ) Saat dilimi: Türkiye saati + 2 1 Konum Avrasya’nın Kafkaslar bölgesinde bulunan ve 86,600 km 2’lik bir yüzölçümüne sahip olan Azerbaycan, kuzeyde Rusya Federasyonu, güneyde İran, batıda Gürcistan ve Ermenistan ile kom şu olup, do ğuda ise Hazar Denizi ile çevrilidir. Nahçıvan Özerk Cumhuriyeti, kuzey ve doğusundan Ermenistan, güney ve batısından ise İran ile çevrili olup, kuzeybatıda Türkiye ile kısa bir sınırı bulunmaktadır. Azerbaycan’ın güneybatısındaki Da ğlık Karaba ğ bölgesi ise 1991 yılında Azerbaycan’dan ba ğımsızlı ğını ilan etmi şse de hiçbir ülke tarafından resmi olarak tanınmamakta ve uluslararası hukuk açısından Azerbaycan’ın bir parçası olarak kabul edilmektedir. Azerbaycan’ın toplam yüzölçümünün yüzde 55’ini tarım toprakları olu şturmakta, şehirler ise tüm ülkenin ancak yüzde 2.5’ini kaplamaktadır. Ülkenin yüzde 12’si ormanlık arazidir. Ba şkent ve Önemli Şehirler Resmi verilere göre yakla şık 2,5 milyonluk bir nüfusa sahip olan ba şkent Bakü, ülkenin aynı zamanda en büyük şehri ve hem Azerbaycan’ın hem de tüm Kafkasların en büyük limanı konumundadır.
    [Show full text]
  • Hinter Der Glitzernden Fassade: Über Die Macht Der Informalität in Der Kaukasusrepublik Aserbaidschan Safiyev, Rail
    www.ssoar.info Hinter der glitzernden Fassade: Über die Macht der Informalität in der Kaukasusrepublik Aserbaidschan Safiyev, Rail Veröffentlichungsversion / Published Version Monographie / monograph Zur Verfügung gestellt in Kooperation mit / provided in cooperation with: transcript Verlag Empfohlene Zitierung / Suggested Citation: Safiyev, R. (2018). Hinter der glitzernden Fassade: Über die Macht der Informalität in der Kaukasusrepublik Aserbaidschan. (Edition Politik, 56). Bielefeld: transcript Verlag. https://doi.org/10.14361/9783839442234 Nutzungsbedingungen: Terms of use: Dieser Text wird unter einer CC BY-NC-ND Lizenz This document is made available under a CC BY-NC-ND Licence (Namensnennung-Nicht-kommerziell-Keine Bearbeitung) zur (Attribution-Non Comercial-NoDerivatives). For more Information Verfügung gestellt. Nähere Auskünfte zu den CC-Lizenzen finden see: Sie hier: https://creativecommons.org/licenses/by-nc-nd/4.0 https://creativecommons.org/licenses/by-nc-nd/4.0/deed.de Diese Version ist zitierbar unter / This version is citable under: https://nbn-resolving.org/urn:nbn:de:0168-ssoar-70049-1 Rail Safiyev Hinter der glitzernden Fassade Edition Politik | Band 56 Rail Safiyev, geb. 1981, lehrt als Gastprofessor an der Fakultät der Vergleichen- den Politikwissenschaft an der Universität Bergen in Norwegen. Der Politik- wissenschaftler promovierte an der Freien Universität Berlin, forschte am Ins- titut für Iranistik der Österreichischen Akademie der Wissenschaften und hatte Lehraufträge an der Friedrich-Schiller-Universität Jena und an der FH des bfi Wien, wo er zu Themen Korruption und informale Herrschaftskultur im Kau- kasus lehrte. Rail Safiyev Hinter der glitzernden Fassade Über die Macht der Informalität in der Kaukasusrepublik Aserbaidschan Zugl.: Berlin, Freie Universität, Diss., 2017 Dieses Werk ist lizenziert unter der Creative Commons Attribution-NonCom- mercial-NoDerivs 4.0 Lizenz (BY-NC-ND).
    [Show full text]
  • Turkic Council Monthly News Bulletin – May – June 2012 Prepared by Turkic Council Secretariat
    TURKIC COUNCIL MONTHLY NEWS BULLETIN – MAY – JUNE 2012 PREPARED BY TURKIC COUNCIL SECRETARIAT Azerbaijan “No one favors current status-quo in Nagorno-Karabakh conflict” May 16 (AzerTAc). No one favored the current status-quo in Nagorno- Karabakh conflict, the chairperson of US House of Representatives Committee on Foreign Affairs Ileana Ros-Lehtinen said. Ros-Lehtinen underlined that Azerbaijan`s role is increasing in exploration, development and transportation of energy resources. She welcomed diversification of energy transportation, and stressed that Baku-Tbilisi-Ceyhan pipeline has become a main transportation route which supplies the world with fuel. “It creates opportunity for the country to diversify the energy sources and our allies to avoid some dependence. New routes such as Nabucco will contribute to increase the strategic importance of Azerbaijan”, Ros- Lehtinen stated. Ros-Lehtinen pointed out importance of expansion of economic and trade ties between the countries, and said that the third meeting within the framework of the US-Azerbaijan partnership held in Washington brought new initiatives to civil aviation. The Committee chairperson described Azerbaijan as a `significant` partner of the US in the fight against force and extremism, and highlighted that there is a close cooperation between the US and Azerbaijan not only in the fields of prevention of terrorist attacks, but also proliferation of biological and nuclear weapons. “We are satisfied particularly with the exercises conducted for the security of the Caspian Sea”. Ros-Lehtinen also expressed concern over the incidents occurred in the border areas with Nagorno- Karabakh. “Two Azerbaijani soldiers were killed tragically in the shooting. Use of force remains this prolonged conflict unsettled”, added Ros-Lehtinen.
    [Show full text]
  • Baku, July 2018
    Swiss Embassy Newsletter N° 5 Baku, July 2018 Contents Politics Development Cooperation Economy, Trade & Tourism Culture, Education & Sport Consular & Visa Affairs Varia Media Swiss abroad Links Dear Swiss friends and friends of Switzerland, Summer has arrived to Azerbaijan and many of you might already have left Baku for holidays. The Swiss Embassy looks back to a busy first half of the year. Our goal remains the same: To promote the interests of Switzerland in Azerbaijan in a spirit of boosting bilateral cooperation and dialogue among the governments, business circles of our two countries and also to bring people of our societies closer together. A highlight in this perspective was the official visit of Federal Councillor Johann N. Schneider-Ammann to Azerbaijan in early July together with an important delegation including representatives from politics and the Swiss private sector. This and more highlights of our work you will be able to discover in this newletter’s edition and on behalf of my entire team I would like to thank you for your support and your interest. Let me wish you all an excellent summer! Philipp Stalder Ambassador of Switzerland to the Republic of Azerbaijan and Turkmenistan Embassy of Switzerland in Baku, http://www.eda.admin.ch/baku; [email protected] 1 Copyright © 2017 Embassy of Switzerland in Baku. All Rights Reserved. Politics Federal Councillor Johann Schneider-Amman visits Azerbaijan in July Swiss Federal Councillor, Head of the Federal Department of Economic Affairs, Education and Research, Johann N. Schneider-Ammann paid an official visit to Azerbaijan together with a delegation consisting of representatives from parliament, cantonal governments and the private sector.
    [Show full text]
  • The Use of Environmental Taxes, Subsidies and Incentives and Foreign Aid As the Tool of Environment Protection 187
    “if we are an independent state, if we want to evolve independently, then we should regulate the market economy through taxes. To this end, we should pay more attention to the work of tax authorities”. Heydar aliyev national leader of the azerbaijani people Tax Journal of azerbaiJan resenziyalı elmi jurnal refereed academic journal Təsisçi: Published by: azərbaycan respublikasının Vergilər nazirliyi Ministry of Taxes of the republic of azerbaijan n İki aydan bir nəşr edilir issued every two months 2013 2013 xÜSuSİ buraxiliŞ SPeCial iSSue n “Kütləvi informasiya vasitələri haqqında” established by the law “on Mass Media” azərbaycan respublikası Qanununa of the republic of azerbaijan. müvafiq şəkildə təsis edilmişdir. reyestr n 510. register n 510. 2003-cü ilin iyulundan nəşr edilir. Published since in July, 2003. redaksiyanın ünvanı: editorial office address: az 1073. bakı ş., landau küçəsi, 16. 16, landau street, baku, az 1073. Telefon: (+994 12) 403 88 56. faks: (+994 12) 403 87 87. Phone: (+994 12) 403 88 56. fax: (+994 12) 403 87 87. e-mail: [email protected] e-mail: [email protected] Tax Journal of azerbaiJan EdItoRIAL boARd: REfEREES boARd: Prof. Dr. Elshan HAJIZAdEH Prof. Dr. Ahmet Vecdi cAn Editor-in-Chief (Sakarya University, Turkey) Prof. Dr. Adalat MurAdoV Prof. Dr. Vahid AKHUNdoV (Academy of Public Administration, Azerbaijan) (Azerbaijan ) Prof. Dr. Alican BABAyeV Prof. Dr. Ziyad SAMAdZAdEH (State Economic University, Azerbaijan) (Azerbaijan ) Prof. Dr. Avaz BAyrAMoV fazil MAMMAdoV (State Economic University, Azerbaijan) (Azerbaijan ) Prof. Dr. ercan dulgAroglu Kamaladdin HAYdARoV (Uludag University, Turkey) (Azerbaijan ) Prof. Dr. gabil MAnAfoV Shahin MUStAfAYEV (State Economic University, Azerbaijan) (Azerbaijan ) Prof.
    [Show full text]
  • Oil Wealth Has Been a Mixed Blessing the Country Stands Ested in Making Economic Suc- Exchange Rate
    AZERBAIJAN FINANCIAL TIMES SPECIAL REPORT | Friday January 25 2008 www.ft.com/azerbaijan2008 Oil wealth has been a mixed blessing The country stands ested in making economic suc- exchange rate. We will manage it cess Ð not just in oil Ð the back- well and invest it, so there is at a crossroads, ground for his election victory”. long-term economic growth.” report Leyla Boulton Western diplomats and local Greater wealth, however, officials say that Mr Aliyev, who weakens incentives for an and Isabel Gorst succeeded his late father, Hey- authoritarian regime to liberalise dar, a former Soviet politburo the economy and society, in zerbaijan, the newest member, in 2003, understands the sharp contrast with Azerbaijan’s supplier of oil and gas to dangers of oil wealth. poorer neighbour, Georgia. Europe, faces an historic The question is whether this “The crucial difference is that choice. It either escapes former deputy head of Socar, the Georgia doesn’t have Azerbai- Aor succumbs to the “oil curse”, national oil company, can act on jan’s money,” says the senior the combination of corrupt gov- the lessons of the past. western diplomat. ernment and lopsided economic “The good news is that the “With this money the Azerbai- development that afflicts many president understands the histor- janis have become more confi- oil producers. ical lessons, but intention is one dent. They have a much stronger This year is decisive, because state, and they have the means what is already the world’s fast- to buy off critics who are sound- est-growing economy expects a Wealth weakens the ing early warnings.
    [Show full text]
  • Baku International Industry Conference
    The Republic of Azerbaijan Ministry of Economy and Industry BAKU INTERNATIONAL INDUSTRY CONFERENCE CONFERENCE REPORT Industrialization in the 21st century: Trends, approaches and best practices in industrial policy www.bakuconference.com Industrialization in the 21st century: Trends, approaches and best practices in industrial policy Baku International Industry Conference CONFERENCE REPORT Organized by United Nations Industrial Development Organization (UNIDO) and the German Federal Enterprise for International Cooperation (GIZ) and Supported by the Government of Azerbaijan Copyright © 2015 United Nations Industrial Development Organization The designations employed and the presentation of material in this publication do not imply the expression of any opinion whatsoever on the part of the Secretariat concerning the legal status of any country, territory, city or area, or of its authorities, or concerning the delimitation of its frontiers or boundaries. 26-27 November 2014 Designations such as “developed”, “industrialized” and “developing” are intended for statistical convenience and do not necessarily express a judgment about the state reached by a particular country or area in the develop- Baku, Azerbaijan ment process. Conference Venue: “Four Seasons Hotel Baku” The mention of firm names or commercial products does not imply endorsement by UNIDO. This report is based on discussions recorded during the Forum’s sessions and has not yet been verified by participants. Material in this publication may be freely quoted or reprinted, but
    [Show full text]
  • Arif Yunusov
    Arif Yunusov Azerbaijan in the early of XXI Century: Conflicts and Potential Threats Baku - 2007 INSTITUTE OF PEACE AND DEMOCRACY ARIF YUNUSOV AZERBAIJAN IN THE EARLY OF XXI CENTURY: CONFLICTS AND POTENTIAL THREATS Baku – 2007 The publication is implemented by the Institute of Peace and Democracy owing to the financial support of the Friedrich Ebert Foundation. The publication expresses the author’s private opinion. Friedrich Ebert Foundation does not bear responsibility for the contents of the text. Editor: Dr. Rauf Huseynov, professor of Historical Sciences, (National Academy of Sciences of Azerbaijan) Translation: Aydin Mamedov Editor of translation: Evan Thomas - a graduate of the Russian Studies department at Dalhousie University, Halifax, Canada Technical editor: Javanshir Huseynov Designer: Toghrul Aghababayev Yunusov A. S. Azerbaijan in early XXI Century: Conflicts and Potential Threats. – Baku: “ADILOGLU”, 2007. - 256 p. Based on many years field studies, mass media monitoring, and a sociological survey, the author’s monograph touches upon all conflict situations and challenges Azerbaijan has come across in the post-Soviet era. At the same time, the author has conducted an analysis of potential threats that Azerbaijan may encounter within the foreseeable future. Emphasis has been placed on the issue of Karabakh conflict, as well as Azerbaijan’s relationships with Russia, Iran, the USA and other western nations. A significant portion is focused on the country’s internal problems – the role of political Islam, international relations, and political system. This book for those who take an interest in the developments of contemporary Azerbaijan and future outlooks for progress of the region. ISBN 978-9852-80-52-3-9 Kod: 121 CONTENTS Introduction …………………………………………………………4 Part I.
    [Show full text]
  • (1) Qibs (As Defined Below) That Are Also Qualified Purchasers (As Defined Below) Or (2) Non-U.S
    IMPORTANT NOTICE THIS OFFERING IS AVAILABLE ONLY TO INVESTORS WHO ARE EITHER (1) QIBS (AS DEFINED BELOW) THAT ARE ALSO QUALIFIED PURCHASERS (AS DEFINED BELOW) OR (2) NON-U.S. PERSONS (AS DEFINED BELOW) LOCATED OUTSIDE OF THE UNITED STATES. IMPORTANT: You must read the following before continuing. The following applies to the prospectus (the ‘‘Prospectus’’) following this page and you are therefore advised to read this page carefully before reading, accessing or making any other use of the Prospectus. In accessing the Prospectus, you agree to be bound by the following terms and conditions, including any modifications to them any time you receive any information from the Issuer, the Guarantor and Joint Lead Managers (as defined in the Prospectus) as a result of such access. NOTHING IN THIS ELECTRONIC TRANSMISSION CONSTITUTES AN OFFER OF SECURITIES FOR SALE IN THE UNITED STATES OR ANY OTHER JURISDICTION WHERE IT IS UNLAWFUL TO DO SO. THE NOTES HAVE NOT BEEN, AND WILL NOT BE, REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE ‘‘U.S. SECURITIES ACT’’), OR THE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES OR OTHER JURISDICTION, AND THE NOTES MAY NOT BE OFFERED OR SOLD, DIRECTLY OR INDIRECTLY, WITHIN THE UNITED STATES OR TO, OR FOR THE ACCOUNT OR BENEFIT OF, U.S. PERSONS (AS DEFINED IN REGULATION S UNDER THE U.S. SECURITIES ACT) EXCEPT PURSUANT TO AN EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE U.S. SECURITIES ACT AND APPLICABLE STATE OR LOCAL SECURITIES LAWS.
    [Show full text]
  • Azerbaijan Driving Diversification Through Strengthened
    Policy Insights POLICY INSIGHTS POLICY . AZERBAIJAN ENTREPRENEURSHIP STRENGTHENED THROUGH DIVERSIFICATION DRIVING AZERBAIJAN: DRIVING DIVERSIFICATION THROUGH STRENGTHENED Azerbaijan ENTREPRENEURSHIP Driving Diversification In 2016, the Government of Azerbaijan adopted the Strategic Road Map on Production of Consumer Goods at the Level of Small and Medium Enterprises in the Republic of Azerbaijan (SME through Strengthened Roadmap) to promote SME development and stimulate economic diversification. In this context, the Ministry of Economy requested the OECD’s support for implementing the SME Roadmap. Entrepreneurship This Policy Insights report focuses on supporting SMEs through the newly established Agency for the Development of Small- and Medium-Sized Enterprises (SME Agency), increasing el ly SME access to alternative sources of finance, improving private sector engagement in policy making, and establishing a results-based monitoring system for the SME Roadmap. The main beneficiaries of this project are the Ministry of Economy, the Centre for Analysis of Economic Reforms and Communication, and the SME Agency as well as other SME stakeholders involved in the implementation and monitoring of Azerbaijan’s SME Roadmap. www.oecd.org/eurasia GLOBAL RELATIONS Eurasia Competitiveness Programme This work is published under the responsibility of the Secretary-General of the OECD. The opinions expressed and arguments employed herein do not necessarily reflect the official views of the OECD member countries. This document, as well as any data and
    [Show full text]