Azerbaijan leads CIS in capital investment growth

It's quite positive to see such growth in fixed capital investments. Just wanted to make quick comments:

1. Bank lending plays a very small role in capital formation - only 4.4% of total capital investments in 2009 (14% in 2002). It has probably risen during 2010, but still remains very low. Bank loans are mainly directed to consumption and trading.

2. Domestic capital investment still provides 3/4 of total investments. Although domestic investment has grown in 2010, in nominal terms it's still below 2008 levels.

Industrial output and state program for regional development

I am sure most of you are aware of the state program for socio-economic development of regions that was implemented in 2004-2008.

"Main directions of state support and policy regarding factors accelerating economic development of different regions in the years of 2004-2008 has been determined within the State Program on socio-economic development of regions of Azerbaijan Republic. The main objective of the program is implementation in a consistent and coordinated manner of measures directed at ensuring efficient use of internal resources of economic regions of Azerbaijan Republic, development of sectors bearing particular importance for the economic regions, further expansion of production activity of enterprises, stimulation of export-oriented production of goods, increase of employment levels through development of local entrepreneurship, further improvements in the living standards of population and dynamic development of the economy."

Here is an official release of the discussion of results of this program:

http://www.azstat.org/region/az/P_2_1.shtml

This program has also been referred many times as a successful program: http://az.apa.az/xeber_Azerbaycan_prezidenti:_%E2%80%9CRushvetxorluga,_korrupsiyaya__212839.html

Although this program hasn't specified any numerical goals, I just wanted to share some statistics on industrial and agricultural output of the four largest cities (after Baku), Ganja, Sumqait, Mingechevir and Sirvan.