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President of Azerbaijan: â€œThere are lots of political speculations around Nabucco and other such projectsâ€

29 December 2009 09:24 (UTC +04:00)

Baku â€“ APA. â€œ2009 was not an ordinary year. All countries, including Azerbaijan suffered from the results of global financial crisisâ€, said President of Azerbaijan Ilham Aliyev in an interview with the Russian Vesti TV channel, APA reports quoting AzerTAC news agency. The president said Azerbaijan could bail out of this difficult situation with minimum losses: â€œThe economy was developed dynamically and rate of economic growth was more than 9 percent. I think this is very good indication on the back of financial crisis. The industrial production rate increased by about 9 percent and inflation was less than 2 percent and population income was also increased considerably. The main socio-economic indications of the year showed that Azerbaijan continued its successful development. This is not first year that Azerbaijan showed serious economic growth. The economic output was totally increased by 2.6 times in 2004-2008. We achieved to realize main infrastructure projects. All social programs were implemented. Despite the economic dependence on the energy resources and oil price drop this year, we could implement all social programs. So we are seeing off the year in a good state and have an optimistic look forward because we have huge work ahead for modernization of the countryâ€.

The head of state said main secret of the successes Azerbaijan achieved in a short term was in the diversification of the economy and serious economic reforms. â€œThe leading international financial organizations notice our achievements. The country has very sustainable international rating and all rating agencies very highly appreciate our successes. The World Bank placed Azerbaijan in a leading position for business action program in 2008. It shows that we achieved to liberalize our economy and to create good atmosphere for the private sector. There are great successes in the agricultural field as well. The record harvesting was observed this year. We have no export problems and all directions are open for us. Therefore, I think it was main reason of our successful development in a year of crisisâ€.

The president said great importance was attached to the development of non-oil sector. â€œFirst of all, we are based on our natural resources and crude resources, as well as opportunities to use markets of neighbor countries. Therefore agriculture is one of the priority fields. We can provide our population with agricultural goods mostly at the expense of domestic production. Earlier it was not so. Other important sphere is the information and communication technologies. We made considerable progress in this field and we are planning to launch space satellite. We are creating space industry and Azerbaijanâ€™s rating in this field is increasing. The infrastructure projects give us an opportunity to create strong transport basis. Of course, we have very useful geographic position, but if we donâ€™t put considerable investment in the transport, it will be useless. Therefore construction of highways, repairing of railways and strengthening of Caspian fleetâ€™s base, creating the tanker fleet and air shipment create good transit opportunities. Today Azerbaijan became a transit country on the way between Asia and Europe and it has a huge transit capacity and of course, it will promote more diversification of the economy and bring great incomesâ€.

The head of state agreed with an idea that Azerbaijan has the strongest tanker fleet among the Caspian littoral countries. â€œWe purchased 8 tankers with 13 000 tons of cargo capacity of each in the recent years. These are largest tankers on the Caspian. We are purchasing tankers from Russia, which promotes cooperation between the countries as well. Our tanker fleet has capacity of at least 20 million tons of oil and oil product shipment, which is much more than present volume of cargoâ€.

The president said Azerbaijan didnâ€™t need in the construction of new pipelines. â€œThere are three oil export pipelines constructed in the different directions and gas transport is carried out via four pipelines united us with the neighbor countries. Probably the future of pipeline politics in the region will be determined with the countries, which need it more than others. Our country can maintain itself and we completely realized our energy potential and existed pipelines are enough for usâ€.

The head of state noted that there are lots of political speculations around Nabucco and other such projects. â€œBut there is very little action. Of course we are interested in further diversification of the supply because today our gas export is restricted with the region only. But if we take into consideration total volume of our gas resources, - minimal volume of confirmed gas resources of Azerbaijan is 2 trillion cubic meters and real resources are about 5 trillion cubic meters, - it is an attractive opportunity for every country to reach new sale marketsâ€.
President mentioned that the relations between Azerbaijan and Russia in the field of energy had great history and good results.
â€œFor long years we have been transporting oil through Baku-Novorossiysk pipeline via Russia. I should also say that the volume of shipments have increased this year. We are satisfied with it and intend to work to increase the volume of shipments in future. We are actively cooperating in the field of electric energy. Now Azerbaijan exports more electricity to Russia than it used to import years ago. By 2007 we had bought Russian gas, because we lacked for our own resources at that time. From the beginning of next year we will become an exporter. It has some symbolic meaning. It reflects the character of the relations between our states. We bought gas from Russia when we needed it. When we had an opportunity to export gas, in order to have more free gas for export Russia preferred to use our gas to supply its southern regions. Of course, this is a mutually effective project and we implemented it promptly. Beginning from next year we will start shipments. We do not intend to confine ourselves to the volume stated in the project, as this is the first year, both Russia and we should adapt to each other. Therefore, the volumes ordered in the project are not much. If a mutual agreement is reached, our real potential will make it available at least to double the volume we planned. If Russia is ready for this, we intend to increase the volume. Access to the Russian market is as important for us as for Russia to use Azerbaijanâ€™s gas,â€ President said.

Ilham Aliyev said the capacity of oil refineries in Azerbaijan made up 20 million tones.
â€œBut we process over 6 million tones of oil. We prefer to transport crude oil and the volume of oil exportation will be over 40 million tones. Probably next year this figure will approach 50 million tones. We have few difficulties in this field, as we transport oil in various directions through three pipelines. Sale of refined oil products is more difficult,â€ he said.

President underlined that a number of kinds of sports had developed in Azerbaijan.
â€œWe go to the Winter Games, but mainly basing on the principle â€œthe main thing is to participateâ€. We have recently started construction of the international ski mountaineering resort 200km far from Baku. The construction of vertical conveyors, hotels has started. So, I think it will be possible to go in for ski mountaineering and improve this kind of sport in a year or a year and a half. But of course, our main hopes are connected with summer games. We performed well in the recent Olympic Games, won seven medals. In 2009 several sportsmen became world and European champions. Our chess team won in the European championship. I told them that they grew in the atmosphere of independence. They are about 20-22 year old. We have great achievements in wrestling. We won in the world wrestling championship. This is a serious achievement. There are a lot of strong wrestlers in Russia, countries of the region and other countries. Sport is the important factor of our life in Azerbaijan as the propaganda of healthy lifestyle and condition of human health,â€ he said.

President said he supported the development of sport in Azerbaijan as much as he could.
â€œI have been President of Azerbaijan National Olympic Committee since 1997. I do my best demonstrating my attitude, health lifestyle,â€ he said.
To the question â€œCan we see President skiing?â€ the head of state said:
â€œOf course you can. But I do not do this in front of cameras.â€

At the end of the interview the head of state congratulated the citizens of Russia on the New Year.
â€œI wish the Russians peace, welfare and prosperity in the New Year. I am sure that the relations between our countries will develop in 2010 and in the following years for the welfare of our countries and nations,â€ he said.