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Home > Politics > Domestic

Ali Hasanov: “New state program on socio-economic development of regions in 2009-2013 is being prepared by the instruction of the President”- INTERVIEW
[ 26 Dec 2008 15:51 ]
“Azerbaijan is capable of managing with problems”

Baku. Elbrus Seyfullayev-APA. Ali Hasanov, Head of Socio-Political Department of the President’s Office gave an interview to APA on the outcomes of 2008

-Which issues can you focus while assessing 2008?

-2008 was full of great successes and important events for the development of Azerbaijan. The Presidential elections were important events of the year. I want to note measures taken to develop socio-economic situation of the country. Ramification of economy, development of non-oil sector, purposeful measures on all-round improvement of regions, improvement of social condition of people, ensuring security of energy and foods and other issues were priorities of socio-economic development of Azerbaijan in 2008. Realization of state program on socio-economic development is a main factor of all-round development of our country.
Five years have passed since presidential term of Aliyev this year. 2003-2008 were remembered as year of socio-economic and democratic development of Azerbaijan, modernization of society and integration into new development stage. The President takes new position in development conception of the country replying challenges of modern globalization and increases development stage of Azerbaijan by forming socio-economic infrastructure, strengthening democratic values.
First, the country determined common development conception and strategic targets, second, programs and projects basing on science were made and they were realized under serious control. There was not any sphere left without attention. 2008 is a logical result of activity of the President with pragmatic approach towards targets leading ahead, modernity, innovation, decisiveness, and principality.
After 2003 Azerbaijani economy developed rapidly and the country took leading part in the world. 2008 state budget reached 16 billion dollars increasing by ten times in comparison with 2003. 2003-2008 GDP was 5800 dollars increasing by 2.7 times. Currency reserve reached 20 billion dollars and all of factors show development of Azerbaijani economy …

-How do 2007 energy and food security, as well as world economic crisis impact on Azerbaijani economy?

-2007-2008 energy security and world economic crisis impacted on economy of developed countries. Azerbaijani citizen did not feel it in daily life. 700-megawatt eight power stations were opened before crisis. 1000-megawatt new power stations are predicted to install in first term of 2009. Reserving 1700 additional megawatts is important to ensure energy security of Azerbaijan.
State program was approved during food security. Establishment of agro leasing, delivering fertilizers and fuels to farmers with concessional terms, purchase of 7.000 agricultural vehicles ensured food security. Storehouses were built, additional measures were taken for grain production, as well as systematic measures were taken to purchase cattle from abroad. Agricultural production was increased by 8.3% and grain production reached 400.000 tonnes in 2008.
As regards world economic crisis, while recession and stagnation inclined in developed countries, Azerbaijani economy did not fall. All measures taken in Azerbaijan are grounded on real basis and strong financial insurance. Azerbaijan is capable of managing with problems without extra assistance.
State Program on socio-economic development of regions will conclude this year. Does the program achieve successes on targets lead ahead?
Completely, the scale of measures is exciting. First of all, after approval of State program, the President paid regular visits to the regions and familiarized himself with realization of targets lead ahead and met representatives of state bodies and citizens. The President issued 15 orders on additional measures to accelerate socio-economic development on separate regions. Many production enterprises were constructed, employment offices were created and the regions were modernized. 750.000 jobs were crated in Azerbaijan over the past 5 years and 550 are permanent. Regions share major parts of it. 1600 new schools and over 200 medical centers were brought online.
The Government paid great attention to eliminate utility problems of population. The population is provided with regular energy, gas and water. Outlying villages were supplied with gas during these years. Azerbaijan produced 5.5 billion cu.m gas in 2003 and it reached 26 billion cu.m in 2008. Russia’s gas production is fifty percent. Gas was installed in 14 regions of the country over the past five years. Do you remember that opposition said that increase of tariffs on utility service would cause social explosion in the country several years ago. But it did not happen. The government is obliged to ensure citizens with utility services. The citizens should pay in return. Increase of tariffs at that time was coordinated with the real purchasing power of population. Gained additional accounts were returned back to population with various payment facilities.
2009-2013 state program is being prepared according to order of the President. The new program will cover production and refining of non-oil sector along with agricultural and industrial products, establishment of utility service and infrastructural enterprises, strengthening productivity in enterprises, accelerating implementation of information technologies, modernizing social infrastructure.

-What results were achieved in social sphere last period?

-Azerbaijani President stressed that he did his best to improve welfare of people and he pursued his policy taking people into account. Allocation of capitals to education, health, infrastructure, regional development is the main elements of social policy. Minimum salary and minimum pension increased by 8 times 2003-2008 and it is 92 dollars at present. Average salary reached 335 dollars increasing by four times. Every family shares 122 dollars. Ilham Aliyev declared during presidential elections in 2003 that there will not be any refugee’s camp in Azerbaijan, refugees and IDPs will be settled in modern settlements.

12 refugee camps were abolished in the past five years, 36 new settlements built, 47,000 IDPs were placed there. 34 schools, 24 medical units were built in these settlements. As a result of complex measures, poverty level made up 16 percent in Azerbaijan in 2008, while poverty level was 49 percent in 2003. Azerbaijan’s President repeatedly stated that his main goal was to eliminate poverty in Azerbaijan.

The past years, especially 2008 are remembered for infrastructural projects. Problems in transport, communication and other spheres of local and regional importance began to be solved. According to the agreement signed by Azerbaijan, Turkey and Georgia on the construction of historically important Baku-Tbilisi-Kars railway, groundbreaking ceremony of Georgian part of the railway was held last year, the groundbreaking ceremony of the Turkish part was held in July this year. This important transport road uniting the East and the west will earn dividends to both Azerbaijan and the countries of the region.

Baku-Russia, Baku-Iran, Baku-Georgia highways uniting Baku with three borders are being built in line with modern standards. Four international airports were opened in Nakhchivan, Gandja, Zagatala and Lankaran. A number of bridges, pedestrian crossings were built in Baku, some are being constructed. Great ecological program was adopted, tens of thousands of people were supplied with drinkable water, Oghuz-Gabala-Baku water pipeline, Samur-Absheron water channel, Takhtakorpu reservoir are being constructed.

Important changes were made in the investment policy, financing of the projects at the internal expenses began in Azerbaijan. For the first time Azerbaijan began to get assets in foreign countries, for this purpose SOCAR opened gas filling stations in Georgia, completed modernization of Kulevi port, bought shares of Turkish Petkim Petrochemical Co. Approximately $44 billion was invested in Azerbaijan’s economy in 2003-2008.

Development of Azerbaijan’s science was determined as one of the main priorities, the head of state confirmed the special program on the development of Azerbaijan’s science. A number of measures were taken to improve social provision of scientists, their salaries were increased. Students’ scholarships were increased by 15 times in the past five years, excellent student studying for bachelor’s degree gets $67.

Protection of national, moral values, cultural heritage of Azerbaijani people is of great importance. $900 million has been spent on culture-related issues up to now, all historical buildings, museums, theaters have been repaired.

It should also be underlined that the state pays much attention to the development of sport in Azerbaijan, modern sports infrastructure is being formed. Sports grounds, complexes are being built both in Baku and regions, necessary conditions are created for the young people wishing to go in for sports. 14 olympic complexes were opened in 2003-2008, totally their number reached 19, the construction of17 complexes is underway. Azerbaijani sportsmen win in the famous international tournaments. 44 sportsmen represented Azerbaijan in 2008 Beijing Olympic Games, they won 1 gold, 2 silver and 4 bronze medals.

As is obvious, the measures taken in the past five years including 2008 are large scaled. Of course, realization of Azerbaijan’s successful oil strategy, the foundation of which was laid by national leader Heydar Aliyev, played an important role in all this. Oil production made up 52 million tones in 2008, while it was 15.4 million tones in 2003. Export of energy resources was successfully diversified, now Azerbaijan has 7 oil-gas pipelines. Azerbaijan has gained the status of a country having special weight in energy security of the region and Europe.

It is not accidental that most analytical centers of the world, influential international organizations, appreciate Azerbaijan’s socio-economic development and particularly note liberalization of business environment, creation of favorable conditions for entrepreneurs. For example, in the rating of Davos Economic Forum Azerbaijan takes the 66th place for its competitive ability. According to the Doing Business program of the World Bank Azerbaijan left behind most countries of the world and took the 33rd place, and was declared top reformer of the world. UN noted that transparency was ensured in connection with the incomes earned from the exportation of energy resources and the State Oil Fund won the United Nations Public Service Award for improving transparency. According to the studies and assessments of Goldman Sachs, Moody’s Investors Service, Fitch Ratings, Standard and Poor’s, our republic has neared indicators of the developed European countries. On December 16, Standard and Poor’s credit rating agency assigned its ‘BB+’ long-term sovereign credit ratings to Azerbaijan. The outlook is stable. Despite financial crisis, deep collapse of the world’s economy and fall of oil prices, the assessment of the Standard and Poor’s demonstrates great opportunities and stability of the country’s economy. It should be noted that the credit rating assigned by Moody’s Investors Service is ‘Ba1’ and the credit rating assigned by Fitch Ratings is ‘BB+’.

-How would you characterize socio-political processes in 2008? What is most remembered?

-Establishment of civil society was the priority and the main factor characterizing socio-political processes in 2008. Much attention was paid to conformation of Azerbaijan’s legislation to the international standards, elimination of the problems while applying laws, provision of human rights and liberties, development of civil society institutions, improvement of election process, reinforcement of stability and solidarity.

The presidential election was the most important event in 2008. Azerbaijani citizens voted for Mr. Ilham Aliyev and reelected him as Azerbaijani President. In fact, it was natural, long before the elections both the people and experts considered that Ilham Aliyev has no alternative in Azerbaijan. Policy pursued, work done by Ilham Aliyev, Azerbaijan’s present modern view, realities, personal features of the head of state, modern style of management, professional features left no chance to his opponents.

2008 presidential election was democratic and in line with the international standards and all admitted it. As is known, on the eve of the elections, discussions were held with the Council of Europe’s Venice Commission to improve Azerbaijan’s election legislation. The great majority of the proposals were taken into consideration and the amendments and annexes adopted in the end improved the Electoral Code. The law on “Freedom of assembly” adopted at that time extended the citizens’ right to assemble. Central Election Commission took large-scale measures to hold elections in line with the law, existing problems were determined and solved. The government’s political will should be particularly noted among the factors ensuring democratic elections. Neither local, nor international observers found out facts on interference in 2008 presidential elections, while there were some facts in the previous elections. Over 1200 observers, a lot of missions followed this year’s elections. All of them gave opinion that the election was democratic. Exit poll held by the local NGOs proved voters’ activeness and Mr. Ilham Aliyev’s victory.

2008 presidential elections openly demonstrated establishment of modern political culture characterized by Azerbaijan’s rapid socio-economic development. For the first time in Azerbaijan the failed candidates admitted their defeat and congratulated the winner. Moreover, the elections showed that the society did not accept radicalism, destructive activity, methods of civil struggle were established among the political forces in the country. Radical opposition forces are leaving political processes, new constructive opposition is being formed. All these are factors proving reinforcement of democracy and civil society in Azerbaijan.

Civil society institutions have become unchanging attribute of our life and their free activity an indicator of liberties in the country. There is no fateful issue without the participation of NGOs and media. By liberalizing the laws, the government gives impetus to the development of civil society institutions and by creating conditions for their free activity involves them in the public management. Ensuring transparency in the activity of the “third sector” was one of the main priorities in our republic. Taking into account the particular role of nongovernmental organizations in establishment of civil society, Azerbaijani President is taking measures aiming to ensure their cooperation with the state.

The main purpose of “Conception of State Support to NGOs of Azerbaijan Republic” issued by Ilham Aliyev on July 27, 2007 is to establish stable and productive system of partnership relations between state bodies and NGOs, to involve NGOs in solution of vital problems for development of state and society and to accelerate the development of civil society. Council of State Support to NGOs under the President has been established and its structure has been formed this year. AZN 1.5 million allocated from state budget for the Council were directed to finance various projects of 191 NGOs. State budget for 2009 considers allocating AZN 2.75 million to finance the projects of NGOs. Approving this concept, the Head of State contributed to a new stage in state and civil society relations.

As a result of sustainable reforms carried out in the years of independence, the current situation of freedoms of speech and press in Azerbaijan can be compared with advanced democratic countries today. All favorable conditions have been created for free activity of electronic mass media and media outlets as well as for journalists to express their wills freely. There are nearly 4 thousand mass media in Azerbaijan. Majority of them is newspapers and magazines, 30 are media outlets and 44 are electronic mass media. Moreover, 7 republic-wide and 14 regional TV Channels, including 12 cable televisions and 11 radio stations as well as a great number of media organizations and public institutions operate in the country. Today, the mass media can freely and openly express position about everything. The journalists can strictly criticize any state bodies and high-ranking officials.

Unfortunately, there are some abuses of favorable conditions created in the field of freedom of media. Unprofessional skills of some journalists and weakness of material and technical basis and economic independence of mass media cause the infringement of Azerbaijan’s legislation, professional ethics. Taking these problems into consideration, the President approved the “Conception of State Support to Development of Mass Media in Azerbaijan Republic”. The main goal of state support to development of mass media is to develop freedoms of speech and press, to support the independence of mass media, to create condition for further improvement of journalists’ professional skills and responsibilities, to strengthen their social welfare etc. by taking their important role in the process of establishment of civil society. The regulations of an institution providing the mass media with state support is under development. AZN 1.3 million will be allocated from state budget for these purposes in 2009.

Azerbaijan closely cooperates with international organizations for the purpose of strengthening the Human Rights protection in the country.

Solution of issues reflected in 2007-2010 National Indicative Program for Azerbaijan directed to support the Action Plan adopted between EU and Azerbaijan within the framework of the European Neighborhood Policy assumes great importance. Besides, the cooperation in the field of Human Rights has been strengthened with the United Nations, Council of Europe and other influential international organizations.

Thus, one can be sure that the works in the direction of protection of Human Rights and freedoms, development of democratic institutions, and formation of legal framework ensuring democratic development are successfully carried out in the country. A great number of international conferences on development of democracy, strengthening of inter-civilization dialogue and fight against corruption have been conducted in Azerbaijan with the participation of well-known experts and political scientists.

- In 2008 the negotiations process on Nagorno Karabagh conflict were intensified, OSCE Minsk Group co-chairs paid a number of visits to the region and some points of an agreement are even discussed in the press. Is it possible to settle the conflict in the near future?

- 2008 assumed great importance from the standpoint of increasing efforts in the direction of solution of Armenia-Azerbaijan conflict over Nagorno Karabagh, exposing Armenia’s policy of occupation and bringing the conflict realties to the notice of the international community. The United Nations, Council of Europe and Organization of Islamic Conference passed documents envisaging the solution of the conflict on the basis of international legal norms. Moreover, officials of the European Union and official representatives of many EU member countries supported the just position of Azerbaijan. We should particularly underline the document on situation in the occupied Azerbaijani territories adopted in the UN General Assembly on March 14. The elements reflected in Moscow Declaration signed by Azerbaijani, Russian and Armenian presidents completely meet the interests of Azerbaijan. The document reflects that only Azerbaijan and Armenia are conflict parties and the sides intend to solve the problem within the principles of international legal norms and in stages. This is a diplomatic success of Azerbaijan. As Azerbaijan at war, the Head of State gives particular attention to the development of army potential and modernization of armed forces and further improvement of military servicemen’s social welfare. The overall military expenses of Azerbaijan were $163 million in 2003, but this figure was comprised of $1 billion 850 million in 2008. In general, &4.5 billion were spent for military purposes in 2003-2008. Thus, the allocation granted to Azerbaijani Army was equal to the state budget of Armenia in 2008. Ministry of Defense Industry was established in Azerbaijan as well.
It should be particularly noted that the military parade held in June, 2008 demonstrated Azerbaijan’s military power and our enemies had the opportunity to realize our military potential.

It is difficult to express unambiguous opinion on whether the conflict will be solved soon or not. I can only say that the Nagorno Karabakh will be solved within Azerbaijan’s territorial integrity and no other variant is acceptable for Azerbaijan.

It should be noted that dangers threatening the humanity increased and there are problems damaging the international security system. The conflicts in various regions of the world, and in our region violate stability and reduce effective cooperation potential. But despite these threats and dangers, Azerbaijan has managed to prove itself as the center of cooperation and area of stability. Balanced foreign policy pursued by the Azerbaijani authorities makes it available to prevent the existing threats and improve effective cooperation with other countries and international organizations. As a result of it the number of international events increased in Azerbaijan. One of them was the 4th energy Summit held in Baku on November 14. Presidents of Azerbaijan, Turkey, Lithuania, Ukraine, Georgia, Poland, Vice-President of Bulgaria, Prime Ministers of Hungary and Estonia, U.S. Energy Secretary, EU energy commissioner, in general representatives of 21 countries and diplomats attended the summit. Council of Europe Conference of Ministers responsible for Culture was also held in Baku on December 2-3.

All the achievements of the past five years, including 2008 ensure Azerbaijan’s all-round, dynamic development in future. Azerbaijan is a country having influence on the ongoing processes in the region and in the world, pursuing independent policy and improving democratically. This is only the beginning, it is necessary to continue the activities and long-term plans. Heydar Aliyev’s policy brought progress, national solidarity and stability to Azerbaijan, therefore, Azerbaijani citizens regard the continuation of this policy in future as the main condition of our development.

-Which is the saddest event of 2008?


-I think death of our great singer Muslum Magomayev is the saddest event for our people.

-And which is the most joyous?

-Like thousands of Azerbaijanis I was happy when Mr. President’s grandchildren were born.













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