GDP down 3.8% y/y in 2016
Azerbaijan’s economy contracted 3.8% y/y in 2016, driven mainly by a 27.6% y/y decline in construction activity. Positive contribution to growth came from agriculture (+2.6% y/y), information and communication (+4.5% y/y), trade (+1.5% y/y), industry (+0.4% y/y), and tourism (+0.1% y/y).
GDP per capita down 29.9% y/y to US$ 3,897
Nominal GDP in Azerbaijan in AZN terms was up 10.4% y/y in 2016. Nominal growth in GDP was driven by a 23.4% y/y increase in oil GDP, while non-oil GDP was up 4.6% y/y.
In nominal US$ terms, however, GDP in 2016 was down 28.9% y/y to US$ 37.6bn. GDP per capita was down 29.9% y/y to US$ 3,897.
Inflation rate at 15.5% y/y in December 2016
Annual CPI inflation rate retreated from 17.1% in the previous month to 15.5% in December 2016. In December, food prices were up 21.0% y/y (-0.5ppts m/m), non-food prices were up 16.3% y/y (-5.6ppts m/m), and service sector prices were up 8.0% y/y (+0.5ppts m/m).
Overall, annual average inflation was 12.4% y/y in 2016, up from 4.0% y/y in 2015. Food prices were up 14.8% y/y, non-food prices were up 16.8% y/y, while prices in services were up 5.6% y/y.
Non-mineral fuel exports down 8.6% y/y in December 2016
Azerbaijan’s exports declined 8.8% y/y in November 2016 to US$ 1.0bn, while imports were up 0.5% y/y to US$ 0.8bn, resulting in a US$ 0.3bn trade surplus (-26.8% y/y). According to preliminary December 2016 data from the Customs Committee, non-mineral fuel (N-MF) exports were down 8.6% y/y to US$ 105.3mn, while total imports were down 19.0% y/y to US$ 771.6mn.
According to the preliminary figures, N-MF exports were down 24.2% y/y in 2016 to US$ 1.2bn, while total imports were down 7.4% y/y to US$ 8.5bn.
