EMPLOYMENT & ENTREPRENEURSHIP

During 2006-2008 new businesses and institutions were realised in Azerbaijan creating a large amount of new places of work for the people of Azerbaijan with over 27,500 new institutions were established and over 766,000 new workplaces. Out of these, 88% of new work places are privately owned, highlighting the progression of the private sector of Azerbaijan – out of these new institutions and businesses, around 550,000 out of 750,000 newly created jobs turned out to be stable. This is believed to be due to the decrease of personal income tax in the country, accelerating entrepreneurship. Other assortative policy changes for growth include an exemption of tax for agriculture products, a upheaval of the licensing system and export duties annulled.

One of the important state supports for entrepreneurship was the mechanism for providing business people with preferential credits. During 2004-2008 a credit to the amount of 323,400,000 manats was granted to 6991 entrepreneurial subjects all over the country, at the cost of National Fund for Entrepreneurship Support, which is operated by the Ministry of Economic Development of the Azerbaijan Republic. Its purpose was to provide support and enhance the state concern for entrepreneurs.

Unemployment – According to the State Statistical Committee of Azerbaijan, unemployment rates have steadily been reducing over the last 15 years. Incredibly low, un-employment has reduced from 11.8% in 2001 to 6.6 % in 2006, to only 4% in 2014.

Minimum Wage – The Central Bank of Azerbaijan has also recorded huge rises in minimum wage over the past 10 years. In 2015, reaching an all time high of 131 AZN/Month, in comparison to only 5.50 AZN/Month in 2002.

Retirement – Retirement age for Azerbaijani Men is 63 years, for women it is 60 years. This has been unchanged since 2010.