Azernews.Az

Qabil Ashirov

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Azerbaijan is actively encouraging private investment to support measures envisaged under the First State Program on the Great Return in its liberated territories, Prime Minister Ali Asadov said on Tuesday, Azernews reports.

Speaking at the Second Azerbaijan–Türkiye Investment Forum in Baku, Asadov noted that foreign capital continues to be attracted to modernize existing infrastructure and build new facilities, particularly to unlock the green energy potential of the Garabagh and East Zangazur economic regions.

He emphasized that Turkish companies are playing a significant role in reconstruction and development projects in the liberated areas.

“Nearly 20 Turkish companies are currently implementing around 50 projects in the liberated territories, with a total value of approximately $5 billion,” the prime minister said.

Asadov added that Azerbaijan has created a highly favorable business environment in its special economic zones, highlighting the Alat Free Economic Zone as offering particularly attractive conditions for investors. Several Turkish companies are already operating in the zone, and Azerbaijan sees strong prospects for expanding investment cooperation, he said, calling on Turkish businesses to become more actively involved.

The prime minister also pointed to the growing strategic importance of the Middle Corridor, which passes through the territories of Azerbaijan and Türkiye and plays an increasingly vital role not only for the region but also for global trade and transport links.

He noted that reforms aimed at trade facilitation have accelerated the digitalization of the corridor, positively affecting cargo transportation and trade dynamics. As a result, freight volumes transported via the Middle Corridor through Azerbaijan have increased by 90% over the past three years.

Asadov highlighted the historical significance of agreements reached in Washington in August on connecting mainland Azerbaijan with the Nakhchivan Autonomous Republic. The opening of the Zangazur Corridor, he said, will create new economic and transit opportunities for all regional countries while boosting the throughput capacity of the Middle Corridor.

He also underscored key transport infrastructure projects, including increasing the annual cargo capacity of the Baku–Tbilisi–Kars railway to 5 million tons in 2024 and the planned groundbreaking of the Kars–Nakhchivan railway this year, describing them as events of strategic importance for Azerbaijan, Türkiye, and the wider region.

Turning to energy cooperation, Asadov said the strategic partnership between Azerbaijan and Türkiye continues to deepen through large-scale energy projects that contribute significantly to regional energy security.

Projects such as Baku–Tbilisi–Ceyhan, Baku–Tbilisi–Erzurum, and TANAP have ensured the reliable and sustainable delivery of Azerbaijani energy resources to European markets, he said. The prime minister noted that five years have passed since commercial gas deliveries to Europe began via the Trans Adriatic Pipeline (TAP), the final segment of the Southern Gas Corridor.

During this period, the number of countries receiving Azerbaijani gas has risen to 14, including 10 European states, Asadov added. He also said that Azerbaijan recently began exporting gas to Syria via Türkiye, marking the first time Azerbaijani gas has reached the Middle East through Turkish territory.

Asadov further highlighted that SOCAR has invested $19 billion in Türkiye, making it the country’s largest foreign investor. Through these investments, SOCAR has implemented major strategic projects in oil refining, petrochemicals, and natural gas, and continues to expand its activities. He cited the signing of an agreement related to the acquisition of an 870-MW power plant in Türkiye as evidence of this expansion.

In addition, the prime minister said cooperation between Azerbaijan and Türkiye in industry and technology has reached a new qualitative level in recent years. Joint efforts in experience-sharing, human capital development, and the application of advanced technologies are strengthening industrial capacity, particularly in metal processing, machine building, and other core industries.

He also singled out the defense industry, noting its rapid development in Azerbaijan and effective cooperation with Türkiye in this field. Collaboration in high technologies, e-commerce, artificial intelligence, and innovation ecosystems is also being expanded through regional and multilateral platforms, contributing to the growth of the digital economy, the emergence of new business models, and the development of human capital.