The new World Bank (WB) country partnership framework (CPF) for Azerbaijan will be ready by mid-2022, Report informs, citing Sarah Michael, the World Bank (WB) Country Manager for Azerbaijan.
Before the COVID-19 pandemic, the WB started developing a new partnership strategy, but this process was stopped, and not only with Azerbaijan, because after the end of the pandemic, it is not known what state the world economy will be in, Michael said.
She noted that cooperation will be based on the new national strategy developed by the Azerbaijani government and the approved five main national priorities of socio-economic development.
She believes that the work on the restoration of the territories liberated from the occupation will also be reflected in the WB strategy. At present, it is too early to say how much support will be available, but based on the country’s priorities, directions of support will be formed, if necessary, for the Azerbaijani government, she noted.
Since Azerbaijan cooperates not only with the World Bank but also with other international organizations, therefore, only after the country distributes works for each institution, the WB will be able to prepare its partnership strategy, Michael said. She expressed hope that in 2022 the document will be ready.
At the same time, as Michael noted, the absence of a new strategy does not hinder the implementation of a new project.
Funds have been allocated for Azerbaijan, if necessary, the WB can start work on a new project, even without approving a strategy, she said.
The operations of the World Bank Group in Azerbaijan are regulated by the country partnership framework approved in 2015, which has been extended until 2021 fiscal year (expires on June 30 of this year).
The WB Framework Program was designed for fiscal years 2016-2020. However, following a review of CPF performance in 2020, it was decided to extend it by one year, confirming two priority areas. These are the public sector (governance and service delivery) and economic competitiveness, which must meet the strategic goals of reducing Azerbaijan’s dependence on the oil and gas sector and increasing its resilience to external shocks through investment in human capital, physical infrastructure, and stronger institutions.
Azerbaijan joined the World Bank in 1992. Since then, the WB has funded more than 50 projects totaling $4.4 billion.