BAKU, Azerbaijan, June 11. Azerbaijan is transitioning to a new phase of economic development amid changing global economic conditions and the transformation of traditional drivers of growth, Deputy Minister of Energy Elnur Soltanov said, Trend’s correspondent at the event reports.
He made the remark at the event “Technovation – Science and Innovation for Sustainable Economic Transformation,” organized by the American Chamber of Commerce in Azerbaijan (AmCham Azerbaijan) in Baku.
According to him, the country is entering a qualitatively new economic era in which the former drivers of rapid growth are losing their former significance, while the human capital, demand, and business ties formed during the previous stage of development are creating the foundation for a new stage of development.
Soltanov noted that economic diversification should not be viewed as an end in itself.
He stated that economic growth and sustainable development are the priorities, and diversification should be viewed in the context of these goals.
"Diversification is important for enhancing economic resilience, but in some cases it can lead to the support of unprofitable enterprises, so the approach to it must be balanced. Azerbaijan’s economy is showing stabilization in oil production and significant growth in gas production between 2020 and 2025, though such rapid growth rates are not expected to continue in the future,” he said.
Speaking about the role of the State Oil Company of Azerbaijan (SOCAR), he noted its transformation and the expansion of its international operations. He pointed out that the company is expanding its operations beyond Azerbaijan’s borders, including into Georgia, Turkey, and European markets, such as Italy.
Furthermore, Soltanov emphasized that SOCAR is increasingly focusing not only on oil and gas production and processing, but also on exporting expertise and accumulated knowledge, which, in his words, is an important indicator of the country’s economic development.
