Page 31 - Azerbaijan State University of Economics
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THE JOURNAL OF ECONOMIC SCIENCES: THEORY AND PRACTICE, V.80, # 2, 2023, pp. 28-46
And this is one of the main reasons for the instability in the industry's share because
of its dependence on oil price fluctuations. In the database of the State Statictical
Committee of the Republic of Azerbaijan, the country's industry is divided into four
sectors:
1) Mining industry (crude oil, natural gas, mineral ores and other mining products);
2) Manufacturing industry (consists of a large number of production areas by types of
economic activities;
3) Electricity, gas and steam production, distribution and supply;
4) Water supply, waste treatment and processing
Figure 2 shows the share of these sectors in the country’s industry for the year of
2022:
Area structure of industrial production, based on the actual prices
of the respective years relative to the total, %
1%
3%
Mədənçıxarma sənayesi
21%
Emal sənayesi
Elektrik enerjisi, qaz və buxar
istehsalı, bölüşdürülməsi və
təchizatı
Su təchizatı, tullantıların
75%
təmizlənməsi və emalı
Fig.2. Area structure of industrial production in Azerbaijan
Source: www.stat.gov.az
As can be seen from Figure 2, in 2022, the mining industry accounted for an absolute
majority of 75% of the total industrial output. The reason for this is that the country
is rich in oil and gas resources. However, the development of the non-oil sector,
including the non-oil industry, is in the center of attention in the country, and measures
are being taken in this direction. As an example, we can show that the Oil Fund (OF)
was created and every year money is transferred from the OF to the state budget and
directed to the development of the non-oil sector.
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