PRESIDENT HOLDS MEETING ON THE RESULTS OF SOCIO-ECONOMIC DEVELOPMENT
IN AZERBAIJAN IN THE FIRST HALF OF 2005
[July 21, 2005, 23:30:25]

AzerTag, Azerbaijan
July 21 2005

On July 21, President of the Republic of Azerbaijan Ilham Aliyev
presided at the meeting of the Cabinet of Ministers to discuss the
results of socio-economic development in Azerbaijan over the six
month of 2005.

The President made opening remarks at the meeting. He in particular,
said:

Over the past six months, extremely important events have taken
place in both Azerbaijan and the whole region. Processes within the
country, as well as the position Azerbaijan occupies in the world
allow us to say the policy pursued so far, and being done today is
rightly oriented. Over this period, Azerbaijan has strengthened its
relations with neighboring countries. I had a lot of meetings with
their heads of state and government, and I’d say these relations
are meeting national interests of Azerbaijan. We have always been
striving for good relationship with neighbors, and we have achieved
this. Today, we don’t have any problems with our neighbors, conversely,
these relations are developing both in bilateral and through the
regional cooperation. Azerbaijan has strengthened its cooperation
with international organizations, as well. As you know, GUAM, the one
Azerbaijan has been a member of for many years, is now experiencing
its new stage that pleases us much. Azerbaijan is playing an extremely
active part in GUAM. Hope, the organization will gain more prestige in
the future, and this is also what meets our national interests. Our
cooperation with the European Union is rapidly improving. The New
Neighborhood policy is already applied in Azerbaijan. We already can
see the first features of this policy.

Our cooperation with the Council of Europe is on a high level too.
The resolution adopted by the Council of Europe, the one concerning
the Armenia-Azerbaijan conflict, was highly welcomed in our country.
This resolution reflects reality, objective facts. Most importantly,
this resolution could really foster the negotiation process.

Azerbaijan is an active member of the Organization of the Islamic
Conference. The meeting of the Foreign Ministers of the member
states of the Organization of the Islamic Conference has been held
recently. The stance of Azerbaijan is constantly supported within the
Organization of the Islamic Conference. Therefore, our foreign policy
in all spheres allows us to even reinforce our position. Of course, the
most important problem our foreign policy is facing is settlement of
the Armenia-Azerbaijan, Nagorno-Karabakh conflict. A certain progress
has been achieved towards this also for the last six months, meaning
the OSCE Minsk group Co-chairs have intensify their activities. The
Co-chairs pay visits to the region, discuss new issues, I can say
Azerbaijan’s position in the negotiation process is becoming even
more steadfast. As I have mentioned, one of the extremely important
steps in this direction was the resolution the Council of Europe
passed in January this year. Armenian unleashed an aggression against
Azerbaijan. This was the first time the international organization to
claim quite overtly that one Council of Europe member state committed
aggression, and is continuing to pursue the occupation policy against
another member-sate.

At the same time, the resolution condemns the policy of ethnic purge
carried out by Armenia against Azerbaijan. It also contains information
about over a million refugees and internally displaced persons. In
general, this resolution is really objective, on the other hand,
as I mentioned, it will, it already has an impact on the negotiation
process. Apart from that, the OSCE fact-finding mission has conducted –
at our invitation – monitoring in the occupied territories. We were
insisting on the mission’s visit to Azerbaijan, although Armenian
side was protesting against this. We have reached the goal, the
information we had provided to the international community, has
already been reflected in the report. The fact of illegal settling
of Armenians in the occupied land has been revealed, and that has
evoked the adequate response in the world.

We are continuing our efforts within the United Nations too, the issue
of illegal settling of the ethnic Armenians in the occupied lands of
Azerbaijan has already been included in the UN’s agenda.

The negotiations are held within the Prague process, in other word,
the Prague process means stage-by-stage settlement. It is the approach
that Azerbaijan has always insisted on. The conflict can be resolved
on the base of the following principles: the occupied territories
must be released, refugees and displaced persons must return to
their homes – the regions adjacent to – Nagorno-Karabakh and –
Nagorno-Karabakh itself. After that, the status of Nagorno-Karabakh
can be established – granting world’s highest level of autonomy to
Armenians living in Nagorno-Karabakh. Our position is based on the
principles of the international law.

Simultaneously, we are engaged in reinforcing of our economic and
military potential. The results and rates of economic development allow
us to attribute Azerbaijan to one of the world’s most intensively
developing countries. The Gross Domestic Product has increased
16,5% for the last six months, and is expected to reach almost 18%
by the end of the year. It is the world’s best showing. For this
period, industrial production rate has made up 20%. Social and
military expenditures have increased by 30% and 76% respectively.
Our currency resources including the State oil fund are about
2,1 billion dollars. Average salary in Azerbaijan is 560 thousand
manats or some $120. This is high figure as compared with other
CIS countries. However, this does not satisfactory, and we have to
work hard towards increase in both average and minimum salary. The
on-going program of regional development is also successful. Since
the beginning of this year, 250 jobs have been opened, 130 of which
are permanent. These figures reflect the reality.

There are some problems also – poverty, unemployment, those with
electric power, gas and water supply. This year in Baku, Sumgait and
all other regions, will be installed small electric power stations,
gas supply problem will be resolved as the Shah Deniz field is
commissioned.

I hope the second half of 2005 will also be successful.

***

Afterwards, President Ilham Aliyev gave the floor to members of the
Cabinet of Ministers of Azerbaijan.