According to forecasts of the International Monetary Fund (IMF), the global economy will shrink 3% this year. Almost, the recession has already started in all countries, and the economic slowdown in the Middle East and Central Asian countries, to which Azerbaijan can be compared, will be 3.9%. According to the IMF’s forecast, Azerbaijan’s economy will shrink 2.2% this year, Executive Director of the Center of Analyses of Economic Reforms and Communication Vusal Gasimli told Real TV.
According to him, Azerbaijan fought coronavirus more effectively than other countries: “As it seems, we fought coronavirus more effectively in comparison with world countries and the Middle East and Central Asia. Therefore, Azerbaijan faced a lower recession. Azerbaijan is among the three countries with the best condition in 11 out of the Middle East and Central Asia.”
The Executive Director noted that Azerbaijan did not borrow a new loan: “Because IMF, ADB and other financial organizations were sure that Azerbaijan’s economy would undergo less recession. Countries are now thinking of economic growth, which is expressed in letters of the English alphabet. W-shaped, L-shaped economic recoveries, etc. The IMF and the ADB predict a V-shaped recovery for Azerbaijan’s economy.”
To date, the Azerbaijani government has mobilized AZN 3.5 billion to fight the pandemic, and this is 4.3% of GDP. This budget was formed by Azerbaijan’s own sources. More than 100 countries appealed to IMF, ADB, EBRD, WB, and other international organizations to borrow loans. However, Azerbaijan fought the pandemic without borrowing a loan.