Moody’s recognises strength and buoyancy of Azerbaijan’s economy

Moody’s Investors Service – the leading financial analyst – has recognised the robust strength of the Azerbaijani economy in its annual credit report for the country. This says that Azerbaijan’s Baa3 foreign and local currency bond ratings – along with a stable outlook – reflect the government’s low debt, sustained fiscal surpluses and strong net creditor position. The report takes particular note of the fact that the State Oil Fund of Azerbaijan (SOFAZ) and Central Bank of Azerbaijan (CBA) hold foreign assets worth $45bn. It predicts that these strengths will shield the economy from internal and external shocks.

The report goes on to cite that one of the main constraints upon the rating are geopolitical tensions related to the ongoing conflict with Armenia over its occupation of Nagorno-Karabakh and the seven surrounding regions. To order the full report, go to www.moodys.com.