Current account deficit at US$ 0.2bn (0.4% of GDP) in 2015
Azerbaijan’s current account balance went from a surplus of US$ 177.3mn in 3Q15 to a deficit of US$ 463.0mn in 4Q15. In annual terms, the current account posted a US$ 0.2bn deficit (0.4% of GDP) in 2015, after a surplus of US$ 10.4bn (13.9% of GDP) in 2014.
The non-oil current account deficit narrowed 1.7% y/y to US$ 1.6bn in 4Q15 and 11.1% y/y to US$ 6.8bn in 2015. However, due to two manat devaluations in 2015, the non-oil current account deficit as a share of non-oil GDP widened from 16.5% in 2014 to 18.4% in 2015.
Net FDI at US$ 0.2bn in 4Q15 and US$ 0.8bn in 2015
In 4Q15, FDI inflows to Azerbaijan, net of investment repatriations, declined to US$ 0.8bn, down from US$ 1.1bn in 3Q15. Outward investments from Azerbaijan also fell to US$ 0.6bn in 4Q15 from US$ 0.9bn in 3Q15. As a result, net FDI was up 21.4% q/q to US$ 0.2bn in 4Q15.
In annual terms, FDI inflows were down 8.3% y/y to US$ 4.0bn in 2015, while outward FDI was up 47.6% to US$ 3.3bn, resulting in net FDI falling 64.3% to US$ 0.8bn.
Non-oil FDI inflows decreased 36.1% y/y in 2015 to US$ 0.8bn, while outbound FDI increased 99.7% to US$ 1.5bn, resulting in negative net FDI in non-oil sectors (US$ 0.6bn) in 2015.
Net capital outflows at US$ 9.8bn in 2015
Net capital outflows, measured by portfolio and other investments flows, increased to US$2.6bn in 4Q15, up from US$ 0.5bn in 3Q15 and US$ 1.8bn in 4Q14. In annual terms, net capital outflows increased 74.0% y/y to US$ 9.8bn in 2015.
