Azerbaijani President: I don’t see a great need for attracting new foreign loans
Baku, Fineko/abc.az. The President of Azerbaijan has confirmed governments new approach towards investment financing - it will no longer be carried out at the expense of external loans.
President Ilham Aliyev has stated at a government meeting devoted to the results of the first half-year of 2012: "I see no great need in raising new loans".
"Main investments should be made at the expense of the State Budget or previously raised loans. A new loan can be raised in exceptional cases. Each company or ministry which want to raise a loan must justify such a need, knowing that by doing so we increase country’s external debt," President Aliyev claimed.
He, however, pointed out that foreign state debt now stands at only 7% of country’s GDP.
"We can repay foreign debt during the one day - the countrys foreign exchange reserves, equal to $44 billion, exceed it by 10 times," he said.
He also noted as a positive political and economic fact that today the country becomes a foreign lender.
Copyright ABC.az All rights reserved.
Link for FINEKO Analytic & Informational Agency and ABC.AZ is obliged using the websites material.
ru / en