World Bank2012-03-192012-03-192009-12-23https://hdl.handle.net/10986/3154Azerbaijan's oil and gas boom presents a rare opportunity to accelerate improvements in the quality of life of all its citizens. Its per capita income is $5,100 in 2008, up nearly 400 percent from 2004 in current USD terms; it could potentially exceed $6,500 by 2013 and higher beyond that. Consequently, poverty is likely to continue to fall, especially in the rural areas, and the entire population of nearly nine million can expect to benefit significantly from expanded access to better quality education and health services as well as more targeted social assistance. Most of this income growth is expected to come from non-oil output and exports, especially agriculture and light manufacturing, though high levels of oil revenues and public spending will continue to stimulate significant growth of construction and various services sectors. Fiscal revenues from oil and gas are expected to be $198 billion in net present value terms through 2024 (based on the oil production profile of June 2008). This report outlines changes in policies and institutions that will be needed to realize this vision.CC BY 3.0 IGOACCOUNTINGAGGREGATE DEMANDAGRICULTURAL PRODUCTIONAIR CONDITIONERSALLOCATIONANNUAL RATEBANK FINANCINGBANKING SECTORBANKING SECTORSBONDBUDGET MANAGEMENTBUDGETARY FRAMEWORKBUDGETINGBUSINESS REGULATIONSCAPITAL INVESTMENTCENTRAL BANKCOMMERCIAL BANKCOMMERCIAL BANKSCOMPARATIVE ADVANTAGECOUNTRY PROCUREMENTCOUNTRY PROCUREMENT ASSESSMENTCREDIT ACCESSCREDIT POLICYCROWDING OUTDEVALUATIONDEVELOPING COUNTRIESDEVELOPING COUNTRYDISCOUNT RATEDOMESTIC CURRENCYDOMESTIC DEMANDDOMESTIC MARKETSECONOMIC ACTIVITYECONOMIC CLASSIFICATIONECONOMIC DEVELOPMENTECONOMIC DEVELOPMENTSECONOMIC GROWTHEDUCATION POLICYEDUCATION SYSTEMENERGY EFFICIENCYENVIRONMENTALEQUITY FINANCINGEQUITY MARKETSEXCHANGE RATEEXCHANGE RATESEXPENDITUREEXPENDITURE PLANSEXPORTERSFIDUCIARY ASSESSMENTFINANCE MINISTRYFINANCIAL ACCOUNTABILITYFINANCIAL INFRASTRUCTUREFINANCIAL INSTITUTIONSFINANCIAL INTERMEDIATIONFINANCIAL MANAGEMENTFINANCIAL SECTORFINANCIAL SUSTAINABILITYFISCAL ADJUSTMENTFISCAL BALANCEFISCAL POLICYFISCAL SCENARIOSFISCAL SUSTAINABILITYFOREIGN CAPITALFOREIGN CURRENCYFOREIGN DIRECT INVESTMENTFOREIGN EXCHANGEFOREIGN INFLOWSFOREIGN INVESTMENTFOREIGN INVESTORSFOREIGN LOANSFOREIGN TRADEGLOBAL DEVELOPMENT FINANCEGLOBAL ECONOMYGOVERNMENT EXPENDITUREGOVERNMENT EXPENDITURESGOVERNMENT REVENUEGOVERNMENT SPENDINGGROSS DOMESTIC PRODUCTGROWTH MODELGROWTH RATEHEALTH SERVICESHUMAN CAPITALIMPLICIT SUBSIDIESINCOME GROWTHINCOME TAXINFLATIONINFLATIONARY PRESSURESINFRASTRUCTURE DEVELOPMENTINFRASTRUCTURE INVESTMENTSINFRASTRUCTURE PROJECTSINITIAL PUBLIC OFFERINGINSTRUMENTINTEREST RATESINTERNATIONAL BANKINTERNATIONAL BORROWINGINTERNATIONAL FINANCEINTERNATIONAL INVESTORINTERNATIONAL STANDARDINTERNATIONAL STANDARDSINVESTINGINVESTMENT EXPENDITURESINVESTMENT PROJECTSIPOISSUANCELABOR FORCELABOR MARKETLEGAL FRAMEWORKLIQUIDITYMACROECONOMIC ENVIRONMENTMACROECONOMIC MANAGEMENTMACROECONOMIC POLICIESMACROECONOMIC POLICYMACROECONOMIC STABILITYMACROECONOMIC VOLATILITYMARKET DEVELOPMENTSMARKET ECONOMYMARKET PRACTICESMARKET STRUCTUREMEDIUM-TERM EXPENDITUREMEDIUM-TERM EXPENDITURE FRAMEWORKMINESMINISTRY OF FINANCEMONETARY FUNDMONETARY POLICYNATURAL RESOURCESNET PRESENT VALUENON PERFORMING LOANSNPLOILOIL BOOMOIL PRICEOIL PRICESOIL RESOURCESOIL SECTOROPECPENSIONPENSIONSPERFORMANCE EVALUATIONPERFORMANCE INDICATORPERPETUITYPERSONAL INCOMEPERSONAL INCOME TAXPOLICY DECISIONSPOLICY MAKERSPOVERTY ASSESSMENTPOVERTY REDUCTIONPOVERTY REDUCTION STRATEGYPOVERTY REDUCTION SUPPORTPRESENT VALUEPRIVATE INVESTMENTPRIVATE INVESTMENTSPRIVATE SECTORPRIVATE SECTOR GROWTHPRODUCTIVITY GROWTHPROVEN OIL RESERVESPROVEN RESERVESPUBLIC ADMINISTRATIONPUBLIC AGENCIESPUBLIC EDUCATIONPUBLIC EXPENDITUREPUBLIC EXPENDITURE REVIEWPUBLIC EXPENDITURESPUBLIC FINANCEPUBLIC FINANCESPUBLIC INVESTMENTPUBLIC INVESTMENT PROGRAMPUBLIC INVESTMENTSPUBLIC MANAGEMENTPUBLIC SECTORPUBLIC SECTOR EMPLOYEESPUBLIC SECTOR SPECIALISTPUBLIC SERVICESPUBLIC SPENDINGPUBLIC UTILITIESPURCHASING POWERQUALITY CONTROLQUALITY OF LIFEREAL EXCHANGE RATEREAL INTERESTREAL WAGESREFORM EFFORTSREGULATORY FRAMEWORKREGULATORY REFORMREMITTANCESRETURNSROAD FUNDROAD TRANSPORTSECURITIESSERVICE QUALITYSOCIAL ASSISTANCESOCIAL POLICIESSOCIAL PROTECTIONSOCIAL SECURITYSTATE BANKSTRUCTURAL ADJUSTMENTSTRUCTURAL REFORMSTRUCTURAL REFORMSTAX BURDENTAX RATESTAX REGIMETAX REVENUETELECOMMUNICATIONSTRADE BALANCESTRADE REGIMETRADINGTRANSACTIONS COSTSTRANSPARENCYTREASURYUNCERTAINTYWAGESWorld Bank10.1596/3154