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After the peak in oil production in 2010, production in Azerbaijan declines, and in 2013, the decline will make 1.9%, the head of the IMF mission in Azerbaijan Raja Almarzugi said at a press conference. According to the Azerbaijani news agency "Turan", IMF representative also said that the growth of non-oil sector of economy of Azerbaijan is provided through public investments, and in the same time it calls on reduction of governmental expenditures.

Overall, the IMF recommends that the Government of Azerbaijan reduced governmental expenditures and create a more favorable environment for private investment. Raja Almarzugi stated that reducing governmental expenditures is important to ensure the sustainability of the oil revenues.

“If you reduce governmental expenditures, favorable business conditions for the growth of private investment will be created in parallel. According to our assessments, in 2013 the growth of non-oil sector, which increases due to public investment, will be 9%, and its share in the GDP will grow by 4.5%,” Raja Almarzugi said.

"We also recommend that state agencies to tighten the monetary policy, as such measures are necessary in economic growth," said IMF representative.

As Turan notes, according to the results of 2012, Azerbaijan produced 42 million 985 thousand tons of oil and if the IMF forecast will turn real in practice, then, in 2013, Azerbaijan's oil production will make 42 million 168 thousand tons. At the same time, the IMF forecasts on oil production in 2013 contradict the statements of the State Oil Company of Azerbaijan which says that "stabilization of production in the country is already in process," the article said.

At the end of 2012 the political leadership of Azerbaijan calmed the society, stating that the progress reached in the talks with British Petroleum will lead to an increase in production in 2013. However, statistics of production during the first month, and the data of the export of Azerbaijani oil during the two months of this year showed that the decline in production continues, "Turan" writes.

It is the third year already that the amount of oil production in Azerbaijan reduces. Thus, in 2011, oil production in Azerbaijan decreased by 10.8% to 45.4 million tons, and gas-extraction- by 2%. In 2012, oil production declined by 5.3% to 43 million tons.

By a decline in oil production the dependence of economy and budget of Azerbaijan's oil sector increases. The share of transfer SOFAZ in Azerbaijan's budget revenue increases since 2007, while the transfer of SOFAR is less with 9% than the revenue, and in 2013, it is planned that the transfer will amount to 59.3% of government revenues. In 2013, Azerbaijan's state budget revenues in the oil sector will make 79% of total revenues.