Investments in oil, gas sector drop by 10.4pct in Jan-July

By Azernews

By Ayya Lmahamad

The volume of investments in Azerbaijan’s oil and gas sector decreased by 10.4 percent in January-July 2021, the State Statistics Committee has reported.

Investments in the non-oil and gas sector also showed 13.4-percent-decline in the reported period.

Some AZN 7 billion ($4.1bn) were directed to fixed capital in the first seven months of the year, which is by 12.1 percent less than in the corresponding period of 2020.

Of this, AZN 4.8 billion ($2.8bn) or 69.2 percent was spent on production areas, AZN 1.6 billion ($941.1M) or 23.2 percent on service areas and AZN 537.3 million ($316M) or 7.6 percent on the construction of residential buildings.

Furthermore, AZN 4.4 billion ($2.5bn) or 63.2 percent of fixed assets were internal funds.

Some AZN 4.7 billion ($2.7bn) or 68 percent of the funds directed to the fixed capital was spent for construction and installation works.

Moreover, in the total value of fixed capital investments, funds of enterprises and organizations accounted for 60.3 percent, budget funds for 19.6 percent, personal funds for 7 percent, bank credits for 6 percent and other funds for 7.1 percent.

It should be noted that investments in the country’s oil and gas sector increased by 0.3 percent in 2020 while investments in the non-oil and gas sector in the country decreased by 12.3 percent.