Investments in Azerbaijan's economy (January-June 2011)

Nearly 4.476.6bln manat was invested in the economy of Azerbaijan in January-June 2011, an increase of 17.8% from the figures of the same period of the last year.

Especially, in June 2011, 1.060.9 billion manat was invested in Azerbaijan's economy, which is 42.3 percent more than investments in June 2010.

The main sources of investments in January-June 2011 are as follows: funds of enterprises and organizations - 2.320.2 billion manat (an increase of 13.1 percent compared to January-June 2010) budgetary funds - 1.388.8 billion manat (increasing 11.4 percent), off-budgetary funds - 123.5 million manat (with a decrease of 37.2 percent), bank loans - 493.1 million (increasing by 3 times), the funds of population - 148.8 million manat (increasing by 11.6 percent), other funds - 2.2 million manat (with a decrease of 43.8 percent).

According to the data provided by the State Statistics Committee, private enterprises and organizations invested 1.975.1 billion manat (44.1 percent of total investments) in Azerbaijan's economy and public enterprises and organizations - 2.501.5 billion manat (55.9 percent). Major share of governmental investments are directed at implementing transport and infrastructure projects.

In January-June 2011, investments in the oil sector accounted for 28.9 percent of all capital investments in the economy. Thus, in January-June 2011, the investments in the oil sector totaled 1.294.5 billion manat, while non-oil sector - 3.182.1 billion (71.1 percent).

The gross investments in the industry totaled 1.982.4 billion manat with an increase of 16.8%. About 407.3mln manat was invested in the processing industry (+3.4 times). During the reported period, the gross investments in the extractive sector composed 1.273.9bln manat, which is 4.5% more than investments in 2010. Generally, 44.3% of investments fell on the industrial sector.

Investments for repair and construction work made up 2.560.1 billion manat (57.2 percent of total investments in the construction sector). Investment for the construction of production facilities totaled 2.179.8 billion manat, while non-production facilities totaled 2.296.8 billion manat.

Of the total capital investments, 72.8 percent accounted for domestic investment. Most (65.8 percent) of domestic investments was made in the state-owned enterprises and entities, and only 34.2 percent - private enterprises. A total of 1.311.7 billion manat was invested in the construction of facilities financed by the state.

Investment indices in January-June 2011 :

(Source: State Statistics Committee and calculations by Trend)

The total amount of foreign investments in Azerbaijan's economy hit 1.218.8 billion manat in January-June 2011, which is 50.5 percent more compared to the same of period of last year.

In January-June 2011, 88.5 percent ( 1.078.6 b illion manat) of investments of foreign countries and the international organizations in the Azerbaijani economy accounted for investors from Great Britain, the U.S., Japan, France, Norway, Czech Republic, Korea, Turkey.

Great Britain continues to keep leading positions on the amount of investments in Azerbaijan. The country's share in amount of the foreign investments hit 51.2 percent. British investments hit 623 . 67 million manat.

Of the international financial institutions, the biggest amount of investments was allocated by WB in amount of 106.8 million manat with weight of 8.8 percent. WB projects cover different spheres of the country's economic life.