BAKU: The European Bank for Reconstruction and Development (EBRD) plans to increase investments in Azerbaijan, Head of EBRD Azerbaijan, Nataly Mouravidze told Trend in an exclusive interview.
”Our current portfolio of projects in Azerbaijan stands at 937 million euros,” noted Mouravidze, emphasizing the importance of the bank’s contribution to the economy of the region.
”Last year alone, we invested 156 million euros in the Azerbaijani economy out of more than 3.6 billion euros invested over the three decades of our activity here,” she added.
The head of the EBRD emphasized that, in addition to these figures, an important aspect is the focus of investments on the development of Azerbaijan’s green economy.
”Whether it be our investments in Green Cities in Ganja, a solar power plant in Garadagh or the largest utility-scale wind power plant being built in the Absheron and Khizi regions,” she said.
Natalia Mouravidze assured that plans to further expand the EBRD’s investment activities in Azerbaijan re
main unchanged, which confirms the strategic partnership between the bank and this country in the field of economic development
”We are committed to supporting Azerbaijan’s economic progress and its green transition. We are excited by our strong prospects of cooperation with Azerbaijan’s public and private sectors to finance several strategically important projects for the country and also to support financial institutions and local businesses,” Mouravidze noted.
The head of the EBRD emphasized that each project is assessed individually in order to ensure a positive impact on the growth and development of the country.
She also mentioned that talks with the private sector are presently taking place on a number of important projects, the specifics of which cannot yet be revealed due to preparations.
Mouravidze stressed that Azerbaijan is taking important steps to develop the Middle Corridor trade route.
”Our economists also see that important steps are being taken to develop the Middle Corridor trade ro
ute and promote renewable energy,” she notes.
According to her, there is growing support for information technology sector development and the digitalization of the economy in Azerbaijan.
”New tax legislation provides incentives for the IT industry, while capital market development is benefiting from a new digital platform that enables online securities issuance by market participants. We believe that further investment in connectivity, improved legislative and regulatory frameworks for renewable energy, and further investments in the non-oil sector will lead to sustainable diversification of the economy and robust growth in the future,” she added.
Talking about the prospects of the country’s economic development, Mouravidze emphasized the need for sustainable investment in various sectors, which contributes to creating a favorable environment for business development and attracting international investors.
Analyzing current trends and prospects, the head of EBRD in Azerbaijan expressed confidence in t
he successful development of the country and support for its economic reforms by international financial institutions.
Responding to a question on the potential expansion of the Southern Gas Corridor (SGC), Mouravidze noted that the EBRD is ready to consider cooperation with Azerbaijan in the expansion of the SGC.
Mouravidze underlined that the EBRD has been a long-standing partner of Azerbaijan for three decades and emphasized the establishment of extremely favorable relations with the country’s Ministry of Energy.
‘The EBRD has previously supported the Southern Gas Corridor by financing Shah Deniz II, TANAP, and TAP. We realize that the potential of the SGC can be expanded, and if a decision is made, we would be happy to consider cooperation with Azerbaijan. However, for the Bank to finance this project, it must be aligned with the objectives of the Paris Agreement and the Bank’s approach to fossil fuels, including reducing the risk of carbon lock-in by creating the future potential for low-carbon gas tr
ansportation,’ she concluded.
To note, the EBRD’s loan portfolio in Azerbaijan as of February 29, 2024, was estimated at 937 million euros. The loan portfolio is designed for the implementation of 32 projects.
The majority of the portfolio (90 percent, or 848 million euros) is aimed at investments in sustainable infrastructure, seven percent (64 million euros) at investments in the industry, trade, and agricultural sectors, and three percent (26 million euros) at investments in financial institutions.
Source: Trend News Agency