Estimation of transparency and accountability of the budget funds spent for “restoration and reconstruction of territories liberated from occupation”
(January 2022 – June 2023)
In 2021-2022 and in the first 2 quarters of 2023, billions of manats were spent from the state budget under the name of “restoration and reconstruction of the territories liberated from occupation of Karabakh”, and the amount of allocated funds has been sharply increased every year compared to the year prior. 4,310.6 million manats were spent in Karabakh in 2022; In 2023, 5,260 million manats are expected to be spent. The increase in funds was accompanied by the non-transparency of spending and the lack of reporting. In comparison to 2021, in 2022 and the first 6 months of 2023, the customer state institutions implementing projects in Karabakh were less informed about spending on specific projects and about the selection of contractors and subcontractors. Furthermore, in some cases they did not disclose any information at all. Compared to 2021, in 2022, the volume of budget funds directed to the construction of highways in Karabakh increased both in terms of percentage and amount, from 73 percent (1,590 million manats) to 78 percent (3,362 million manats).
The State Urban Planning and Architecture Committee and the State Agency of Azerbaijan Highways, which prepared the urban planning rationale for the residential settlements to be built from the client state institutions, involved private companies in the implementation of the projects either by concluding a contract directly, or by purchasing from a single source, or as a subcontractor. Through research, each of these companies was revealed. In the research report, the state of spending of funds allocated from the state budget according to their purpose was evaluated by sectors, projects (customer state institutions) and administrative regions.
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