Problems and improvement directions of the macro-fiscal framework to ensure macroeconomic stability in Azerbaijan

The purpose of the research – to analyze ensuring macroeconomic stability issues against the background of the coronavirus (COVID-19) pandemic and the study of ways to improve the macro-fiscal framework in Azerbaijan.

The methodology of the research – several economic indicators, statistical data, methods, and techniques related to the formation of more effective approaches to economic development in the post-pandemic period through analysis and synthesis as well as the approaches of several researchers on these issues are used in the research.

The practical importance of the research -  considering the current economic realities and global challenges, it is important to study the issues of ensuring macroeconomic stability. In this regard, fluctuations in sustainable economic growth, exchange rate fragility, pro-cyclical fiscal policy, and other factors have been analyzed.

The results of the research – research show that economic growth and fiscal discipline maintain a high sensitivity to volatility in the global oil market, and it is necessary to formulate a macro-fiscal framework based on the new fiscal rules to strengthen resilience to internal and external shocks. It is important to carry out structural reforms to ensure sustainable economic growth, ensure inclusive development and attract private investment in the development of the non-oil sector.

The originality and scientific novelty of the research - the presented study assesses threats to macroeconomic stability and makes recommendations for improving the macro-fiscal framework. The scientific novelty of the article is related to the author's analysis of economic recovery opportunities and development trends on the main priorities in the post-pandemic period.

Keywords: macroeconomic stability, fiscal policy, macro-fiscal framework, socio-economic priorities in the post-pandemic period.

 

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Issue

№3 - 2021

Author

Eyvazzadə Elmir Tahir oğlu