Cooperation with major financial institutions plays an important role in strengthening the economic situation in a country.
Azerbaijan’s cooperation with International Finance Corporation (IFC) aims to facilitate business development and attract investment in the country’s non-oil economy.
The IFC continues to support the country to increase competitiveness and ensure sustainable growth, the Corporation told Trend.
The Corporation provides support through strategic reforms that help attract investment. The IFC also supports the aspirations of Azerbaijan for the development of the private sector.
“We will support Azerbaijan in attracting investments, in particular foreign direct investment in the non-oil sector and support diversification,” said the IFC.
IFC, one of the World Bank Group Companies, includes 182 members. IFC promotes sustainable economic growth in developing countries through financing private sector investment, directing capital to international financial markets, and consulting services to companies and governments.
The Corporation helps companies and financial institutions to create jobs in emerging markets, improve tax revenues, improve corporate governance and environmental protection, and contribute to local communities.
Azerbaijan became a member of IFC in 1995. Since then, IFC has invested around $473 million in the country, of which $73 million was mobilized from other lenders.
The funds financed 56 long-term projects across a range of sectors, including financial services, infrastructure, and manufacturing. In addition, IFC supported around $100 million in trade through its trade finance program, and provided $250 million for the Baku-Tbilisi-Ceyhan pipeline. IFC has also implemented a range of advisory projects aimed at encouraging private sector growth.
Recently, IFC made proposals for creating a mechanism for supporting the dialogue between the private and public sectors of Azerbaijan. One of them deals with the improvement of the overall investment climate, and the second with providing support in drafting and introducing amendments to the legislation, evaluating their impact on the business environment and the economy as a whole.
