Shixin Chen: Azerbaijan's economic growth mainly driven by non-oil sector this year

This year, Azerbaijan's GDP has risen significantly compared to 2021, ADB Vice-President Shixin Chen said in an interview with Report.

"In the first half of the year, the GDP growth in Azerbaijan was around 6.2%. Compared with the same period last year (2.1%), it is a significant improvement, mainly driven by the non-oil sector of the economy. I think this is a good sign; besides, domestic demand and consumption in the country are strong," he said.

According to the bank's official, the bank expects Azerbaijan's GDP growth at about 4.2% for this year and 2.8% for the next year due to some instability.

"Domestically, I think many measures have been taken, which is a positive thing," he said.

"In addition, Azerbaijan has lots of potential areas that can support growth. First is green growth, which is strategically targeted by the government; for instance, renewables in the energy sector as well as energy efficiency. Second is human capital. For instance, ADB is preparing a VET (vocation education training) project with Azerbaijan. We see huge potential for skills development in the human capital area. Education, health, and social areas all have the potential for further development. Third, regional cooperation is also an important area," Shixin Chen said.

"Combining these factors together, we are still looking very positively at future – medium to long term —development in Azerbaijan. It would help to maintain sustainable growth during global economic instability," he said.