Azerbaijan Country Presentation

Azerbaijan Export and Investment Promotion

Foundation

Basic informationAzerbaijan Export and Investment Promotion

Foundation

I Establishment: 28 May 1918

I Independence: 18 October 1991

I Official Language: Azerbaijanian

I Political system: Presidential Republic

I Area: 86.6 thsd sq. km.

I Population: 9 million

I Capital: Baku

I Autonomy: Nakhchivan Republic

I Significant highlights:

I 1st democratic republic in the Islamic world

I 1st Opera in the Islamic

I Women world voting right in 1918 Italy - 1946; Switzerland - 1971; France - 1944

I Currency: Manat: 1 AZN = 1.27 USD

I UN Security Council non-permanent member for 2012-2013

GDP, bln USD 63.4

GDP per capita ($) 7,003

Investments ($) 20 bln

FDI ($) 4.4 bln

Inflation 7.9 %

Unemployment rate 5.4%

Poverty level 7.6%

Average monthly salary ($) 460

2011

9.4 %

Non-oil GDP growth

19.6%

21.6 bln $

15.6 bln $

2011

Strategic currency reserves40 bln $

Non-oil investments

Total investments

Income growth rate of population

Macroeconomic figuresAzerbaijan Export and Investment Promotion

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Macroeconomic figuresAzerbaijan Export and Investment Promotion

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pro

du

ctiv

ity

GDP share in the regionAzerbaijan Export and Investment Promotion

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IUNDP Human Development Report – 67

IWEF Global Competitiveness Report 2012-2013

– 46th among world and 1st among CIS countries

I World Economic Forum Report 2011-2012 - 61st in the world for ICT

Country RatingsAzerbaijan Export and Investment Promotion

Foundation

FDI41.4 bln

USD

FDI41.4 bln

USD

*1995-2011

Investments Azerbaijan Export and Investment Promotion

Foundation

FDI4.4 bln

USD

FDI4.4 bln

USD

*2011

Investments Azerbaijan Export and Investment Promotion

Foundation

Why invest in Azerbaijan?Azerbaijan Export and Investment Promotion

Foundation

Abundant Abundant resourcesresources

Well-developed Well-developed infrastructureinfrastructure

Good climate Good climate and welcoming and welcoming cultureculture

POLITICAL & FINANCIAL STABILITYPOLITICAL & FINANCIAL STABILITY

Why invest in Azerbaijan?Azerbaijan Export and Investment Promotion

Foundation

Abundant resources & Good climate

I 9 out of 11 climatic zones

I Mild winters and hot summers

I Rich mineral and climatic resources

I Ferrous and non-ferrous metals

I Raw construction materials

FavorableFavorable locationlocation

IAzerbaijan is the country on the crossroads of Eurasia

Well-developed infrastructure

I Logistical hub for Asia – Europe, Middle East – CIS

I Developed rail infrastructure (Baku – Tbilisi – Kars railroad - The Iron Silkway)

I Best passenger and freight airport in the Caucasus and Caspian region

I Baku International Sea Trade Port (in Alat)Competitive and skilled labor

forceIEntrepreneurial culture

IHigh literacy level (99.6%)

IExcellent IT and foreign languages skills

IHuman resources development strategy

Priority sectors for investment

Azerbaijan Export and Investment Promotion

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I Agriculture and food industry

I Alternative and Renewable Energy

I Tourism

I Information & Communication

Technologies

I Chemical Industry and Waste

Management

I Established by the Ministry of Economic Development in 2003, public-

private partnership modality

I Vision: Balanced growth of economy

I Mission: To sustain economic growth by maximizing the flow of non-oil extraction FDI and development of export oriented sectors

I Main activities:

I Country promotion and image building

I Investment promotion

I Export Promotion

About AZPROMOAzerbaijan Export and Investment Promotion

Foundation

Investment Promotion Azerbaijan Export and Investment Promotion

Foundation

I Image building marketing campaigns

(perception=reality), communication strategy

I Investment generation Identification of potential investors,

marketing campaigns, presentations, road shows

I Investment facilitation Investment information, site visits,

organisation and providing information

I Investor servicing + aftercare Helping investors get established and

be operational, expansion and re-invest

I Advocacy+strategy formulation Advocating for investment friendly

business climate, inputs to national FDI policy

Export Promotion Azerbaijan Export and Investment Promotion

Foundation

I New exporters Consultancy, assessment of export capabilities, training and guidance

I Entering a new market Market information, legal analysis, price

research, trade shows/fairs research

I Looking for new customers Search for new contacts, matchmaking

and sector/product events, trade missions

I Image building Trade shows/fairs, PR activities abroad

I Policy advocacy Advice in foreign trade policies and input

on export regulations

Foreign Network Azerbaijan Export and Investment Promotion

Foundation

I AZPROMO Georgia /AZPROMO Austriaas well as representatives in Germany, USA, UK, Switzerland, Turkey, Romania, Ukraine and Kazakhstan. Mission: Support in development of economic and business relations between Azerbaijan and Georgia as well as European countries through Austrian office

I Main activitiesMarket researches and analyses

I Legal framework

I Business consultancy

I Public relations, country promotion

I Partners and proxiesMembership in the World Association of Investment Promotion Agencies (WAIPA) Steering Committee and Regional office for Central Asia and South Caucasus Diplomatic/Trade missions and Chambers of Commerce

Cooperation in investment promotion

Azerbaijan Export and Investment Promotion

Foundation

I What is WAIPA?I The World Association of Investment Promotion Agencies (WAIPA) was created in

1995. WAIPA is de facto international organization, established as a non-profit, under Swiss law. It has its head offices in Geneva, Switzerland.

I From its very inception, in 1995, WAIPA has represented an ever growing number of Member agencies. WAIPA Members include approximately 180 national and sub-national agencies from over 160 different countries.

I WAIPA is seeking to enlarge the membership for the region under AZPROMO’s responsibility. While Eastern Europe has a very large representation, there are currently 6 national IPAs and 4 sub-national IPAs from the South Caucasus and Central Asia as part of WAIPA.

Cooperation in investment promotion

Azerbaijan Export and Investment Promotion

Foundation

IStill WAIPA is the organization, worldwide with most

LEGITIMACY &

Representativeness in what relates to long-term, productive

investments worldwide

Cooperation in investment promotion

Azerbaijan Export and Investment Promotion

Foundation

I Its non-governmental status allows WAIPA the flexibility to interface between IPAs and their Governments and between those two and the Private Sector.

I For other international organizations – involved in FDI (Foreign Direct Investment) – investment is only part of their mandate, foreign trade is always their predominant focus. WAIPA is dedicated exclusively to helping IPAs and their governments enhance their FDI levels, through…

Cooperation in investment promotion

Azerbaijan Export and Investment Promotion

Foundation

I Trainings

I information gathering and dissemination (e.g. an Investment Sentiment survey conducted in September 2011, and a survey on marketing efforts of IPAs / and their governments that is being conducted now)

I advocacy for the IPAs before their government and coordination with other instances of world decision-making (e.g. G-20 Meetings which the WAIPA Presidency of Apex-Brasil and the WAIPA Permanent Secretariat often participate. In Mexico City, on November 5-6, there will be a meeting scheduled for head of G-20 IPAs and TPOs)

Thank you for the attention!

Azerbaijan Export and Investment Promotion Foundation (AZPROMO)

Baku, Azerbaijanwww.azpromo.az

Tel.: (+99412) 598 01 47/48; Fax: (+99412) 598 01 52

office@azpromo.az

The World Association of Investment Promotion Agencies (WAIPA)

www.waipa.orginfo@waipa.org 

Azerbaijan Export and Investment Promotion

Foundation