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Azerbaijan posts a 23% year-on-year surge in external debt

13 February 2009 12:19 (UTC +04:00)

The Ministry of Finance said per capita foreign debt grew to $344.9 from $283.8 on January 1, 2008.
However, the foreign debt to gross domestic product (GDP) ratio dropped to 6.4%, compared to 8.2% last year.
The ministry said the government-secured loans for economic reforms ($78.9 million from IMF and $266 million from the World Bank) totaled $344.9 million, loans for investment projects made AZN 2 656.2 million (88.5% of the loans in total), including 40% for electricity generation sector, 7.7% for rural development and melioration, 22% for roads and infrastructure etc.
Interestingly, the amount of additional foreign loans borrowed and utilized grew by 58% during 2008 to $697 million.
Foreign debt service jumped by 67.9% to $286.3 million, of which Â¼ went to interests on the foreign debt.
The government funds for foreign debt service reached $117.9 million.