Azerbaijan's govt revises macro forecasts for 2023: GDP growth down to 1.8%, inflation up to 10.4%

BAKU. May 30 (Interfax) - Azerbaijan's government has revised its forecasts for growth in GDP and average annual inflation for 2023, the Finance Ministry told Interfax.

"According to the revised forecasts, the nominal volume of Azerbaijan's GDP for 2023 is estimated at 111.6 billion manat versus the initial forecast of 106 billion manat; and real growth at 1.8% against the initial forecast of 2.7%," the Finance Ministry noted.

The nominal volume of non-oil GDP is projected at 77.7 billion manat versus the initial forecast of 73.3 billion manat; and real growth at 4.9% against the initial forecast of 4.5%.

The Finance Ministry stressed that the government has also revised its inflation forecast. "According to the revised estimates, annual inflation should average 10.4% this year, which is 3.5 percentage points higher than the original forecast," the ministry added.

Azerbaijan's GDP grew 4.6% in 2022, including 9.1% in the non-oil sector.

Azerbaijan's annual inflation averaged 13.9% in 2022.

The official exchange rate as on May 30, 2023, is 1.7 manat/$1.