Fitch: Azerbaijan is one of four oil countries managed to neutralize budget deficit

Baku. 17 April. REPORT.AZ/ As a result of reforms, Congo, Azerbaijan, Kazakhstan and Bahrain were able to counteract the negative effects of the sharp fall in oil prices. 

Report informs citing the Kommersant newspaper, Fitch international rating agency stated.

The agency noted that Persian Gulf countries have managed to minimize the budget deficit without changing exchange rate of national currency but by reducing budget expenses. Kazakhstan, Russia and Azerbaijan have devalued their national currency, thus, got rid of the negative impact of the decline in oil prices to the budget. The only country without budget deficit at current oil prices was Kuwait.

Fitch agency forecasts average oil price at 52.5 USD/barrel in 2017. This price for oil will cause budget deficit for 11 oil producing countries out of 14. The agency said that "despite the tightening measures in fiscal and monetary policies of oil-producing countries, they will not be able to escape the impact of decline in oil prices in full”.