WB: Azerbaijan remains vulnerable to major changes in global commodity prices

In Europe and Central Asia (ECA), the risks associated with the base forecast remain downward. COVID-19 infection is more likely to occur, especially in economies with low vaccination rates, Report says, citing the World Bank (WB) Global Economic Outlook 2022.

According to the bank, the spread of the Omicron variant could strain health systems in the ECA, leading to additional restrictions.

A long-term pandemic could put more pressure on recovery in the eurozone, with adverse effects on ECA economies, which have close trade and financial ties.

The slower-than-expected growth in China could spread to exporters of industrial goods in the region, which are increasingly dependent on China, through trade and commodity price channels.

The region's energy exporters, Azerbaijan, Kazakhstan and Russia, remain vulnerable to large fluctuations in global commodity prices.