Azerbaijan
This book presents the outcomes of a review of legal and institutional frameworks for fighting corruption in Azerbaijan, which was carried out in the framework of the Anti-Corruption Network for Transition Economies based at the OECD. The review examined national anti-corruption policy and institutions currently in place in Azerbaijan, national anti-corruption legislation, and preventive measures to ensure the integrity of civil service and effective financial control. This publication contains the recommendations as well as the full text of the self-assessment report provided by the government of Azerbaijan.
Central Asia's securities markets remain small-scale and underdeveloped. Building up well functioning securities markets will be essential to vitalising their economies. This publication contains an overview of securities markets in the region and selected country reports. It provides comprehensive data and analyses of securities markets in the region, updated to April 2005, addressing specifically effective measures to develop securities markets and infrastructure, especially the role of institutional investors and clearing and settlement systems; building investor confidence; and regulation and supervision of securities markets.
The Central Asian countries, Azerbaijan and Mongolia have gradually developed their securities markets with their banking sector reforms after the collapse of the communist regime. Although the market infrastructure in the region has been moderately developed with the support of international organisations, however, their securities markets are typically small in scale and still have the weaknesses.
Azerbaijan, as the other countries in transition, is included in the wide processes of economic development. Azerbaijan, passing through phase of the general economic growth, has entered the second phase of the economic development, where the main direction is the effective financial market formation. This is the basis of the country’s institutional reforms.
The Constitution of Azerbaijan guarantees equality and rights for all citizens. Article 25 specifically prohibits any restriction of these rights on the grounds of gender. Principles contained in the Employment Code, the Penal Code and the Marriage and Family Code all stem from the Constitution, thereby further sanctioning equal rights and freedoms for men and women.
The economic crisis, the second economic shock to hit the Eastern Europe and the South Caucasus region after the collapse of the Soviet Union, has been a warning and a call to action. The region has many advantages and much potential, but some of this was squandered during the boom years of the 2000s. The studies contained in this volume demonstrate that the potential is still there and that the measures that need to be taken to realise that potential are feasible and affordable. Some of them can have an almost immediate effect, such as easing access to finance for small and medium-sized enterprises and opening up new markets for the region’s goods. Others are more medium-term, such as redeveloping product lines in the steel industry or in agriculture. Some of the most critical reforms, like raising the level of education and improving health care, will require political and economic investment over the long term.
None of the recommendations in this book are, however, beyond the bounds of possibility. Governments and the private sector have an interest in implementing reforms to diversify the economy and improve the distribution of revenues. Given the enormous potential of the Eastern European and South Caucasus countries, the region has every reason to be confident about its future.
The OECD is celebrating its 50th anniversary this year. Throughout its history, the OECD has assisted countries in reforming and improving their policies to promote economic growth and development. It has fostered more open societies and the rule of law and has helped build the institutions necessary for the good functioning of market-based economies. This experience has been particularly valuable to countries undergoing political and economic transitions.
Development in Eastern Europe and the South Caucasus was prepared as a joint effort between the Development Centre’s Black Sea and Central Asia Initiative and the OECD Eurasia Competitiveness Programme (DAF/PSD), supported by regional correspondents located in each of the countries.
The global economic boom of 2000-08 and the steep rises in petroleum prices resulted in very rapid growth for Azerbaijan.
Development in Eastern Europe and the South Caucasus provides detailed country reviews of Armenia, Azerbaijan, Georgia, the Republic of Moldova and Ukraine. It explores current economic performance and the challenges of economic development and competitiveness.
The transition from a centrally planned to a market economy is not an easy process and has required strong political will and wide ranging economic reforms in the countries of Eastern Europe and the South Caucasus (EESC).
In recent years, Azerbaijan has made significant progress in acknowledging the key role of small business in the diversification of its economy, and in setting up an institutional and legislative framework to address the issues of entrepreneurship. The Small Business Act (SBA) assessment identified the improvement of the regulatory environment as one of its main achievements. There has also been progress in simplification of regulation by reducing the number of days, procedures and costs required to start a business, as well as the introduction of online registration for both individual entrepreneurs and legal entities. Nonetheless, much remains to be done in strengthening horizontal intra-governmental co-ordination mechanisms and creating more opportunities for the small business sector to be involved in the policy-making process through public-private dialogue and its better representation within associations and other advocacy groups.