Daily Times

The socio-economic development of regions is one of the factors ensuring the sustainability of the country’s economy.

Azerbaijan has implemented state programs for the socio-economic development of regions have been implemented for the years 2004-2008, 2008-2014, 2014-2018, and 2019-2023.

“Azerbaijan 2030: National Priorities for Socio-Economic Development” state program approved by the President of the Republic of Azerbaijan Ilham Aliyev in February 2021, set the country’s long-term development vector and pathways to socio-economic and environmental development through corresponding national priorities for the subsequent decade.

The priorities aligned with Azerbaijan’s commitments under the 2030 Agenda include, among other aspects, a steadily growing competitive economy, a society based on dynamic, competitive human capital space for modern innovations, and a clean environment and green growth country.

The development of the non-oil sector is considered one of the main priorities in terms of enhancing the effectiveness of socio-economic development, increasing state budget revenues, and diversifying the sources of these revenues.

Currently, in order to develop the non-oil industry, the improvement of infrastructure and social services in the country’s regions, including rural areas, and increasing employment for the population in the regions are targeted through the ‘State Program for the Socio-Economic Development of the Regions of the Republic of Azerbaijan for 2019-2023’.

The successful implementation of the State Program has demonstrated its positive impact on the increase in tax revenues. Systematic measures taken to clarify and improve accounting, as well as the further improvement of the entrepreneurial environment, have resulted in an increase in tax revenues to the budget.

In comparison to the year 2018, tax revenues from the regions increased by 23.1 percent in the year 2020. At the same time, the number of districts that, without subsidies from the centralized budget, provided for their income reached 41. Overall, compared to 2003 before the adoption of State Programs for the socio-economic development of regions, tax revenues from the regions increased nearly 23.2 times in 2020.

In the first quarter of 2021, the number of employees in the non-state sector increased by 13 percent compared to the same period of the previous year, contributing to the formalization of the labor market and the creation of new jobs. During the first six months of the current year, 36.1 percent more funds were directed to the state budget from this sector compared to the corresponding period of the previous year, and 51 percent more resources were allocated for unemployment insurance

Due to the increase in economic activity in the regions, the reported turnover amounts submitted by taxpayers increased by 21.6 percent compared to the same period of the previous year. Also, as of July 1 of the current year, the number of active VAT payers in the regions increased by 13.6 percent compared to the beginning of the year, and during the mentioned period, there was a 15.5 percent increase in the number of registered objects compared to the same period of the previous year.

In the framework of the Great Return program aimed at ensuring the restoration of the territories liberated from occupation during the 44-day Patriotic War, systematic efforts are being undertaken to develop various sectors of the economy in Karabakh. Currently, targeted initiatives are being implemented in this direction.

By the document signed by President Ilham Aliyev, economic regions in the country have been reclassified. Specifically, the liberated territories have been merged into the economic regions of Karabakh and Eastern Zangazur. The development of the economy in both regions is planned to continue in accordance with historically established traditions.

In accordance with the program for the restoration of the liberated territories, the Araz Valley Economic Zone has been established in the Eastern Zangazur Economic Region, while the Agdam Industrial Park has been created in the Karabakh Economic Region.

A total of more than AZN 12 million have been invested in the Agdam Industrial Park, which covers an area of 190 hectares. Many construction and project planning activities are currently being carried out by the residents of the Industrial Park

The construction of the administrative building and the substation is underway in the Industrial Park. The concrete production facility of ‘Yüksəl Beton‘ JSC has already commenced its operations. The concrete products manufactured by the company are not only used in the Agdam Industrial Park but also in construction and installation works carried out in the region.