BAKU, Azerbaijan, September 28. Azerbaijan is strengthening its position as a regional investment hub, political analyst Azer Garayev told Trend.
According to him, at a time when global supply chains are being restructured, energy markets are shifting, and capital is seeking safer and more predictable destinations, the 2nd Azerbaijan International Investment Forum in Baku broadened the focus beyond the country's specific investment opportunities. The forum showcased how Azerbaijan views its position amidst global economic changes and identified the sectors it considers key sources of future growth.
"The event's theme wasn’t chosen at random: 'Restoring Trust in a Fragmented World: The South Caucasus as a Pillar of Global Connectivity and Investment Stability.' The agenda covered a diverse range of areas—such as the Middle Corridor, energy, the green transition, artificial intelligence, digital transformation, infrastructure, critical raw materials, agribusiness, financial cooperation, and human capital, that complement each other in shaping the future economy.
The significance of the forum cannot be measured solely by the number of high-level meetings held in Baku. The crucial aspect is bringing global investors together on a single platform with projects across various sectors that require capital. The outcomes of the first Azerbaijan International Investment Forum established a solid foundation in this regard. The inaugural forum, held in 2025, attracted nearly 1,000 participants and saw the signing of agreements worth over $10 billion. Projects in the non-oil sector accounted for more than $7 billion of this total.
Meanwhile, the second forum demonstrated the enduring nature of this platform. The discussions went beyond merely showcasing Azerbaijan's own investment opportunities; they also focused heavily on the South Caucasus's evolving economic role, the expansion of connectivity between Europe and Asia, and the formation of new energy routes," he said.
Garayev noted that this very diversity is one of the key characteristics of Azerbaijan's investment potential.
"The country has traditionally participated in major international energy projects. However, in recent years, the investment agenda has gradually expanded to encompass logistics, renewable energy, the digital economy, industry, agriculture, and other sectors. During the forum, President Ilham Aliyev also outlined the priority areas Azerbaijan will focus on in the next stage of development. According to him, more than $350 billion in investment has been attracted to the country over the past 20 years, with foreign direct investment accounting for half of that amount: We need to be in line with the general trend of economic development and use our potential in sectors beyond oil and gas to achieve long-term and sustainable growth." This opinion highlights one of the key economic challenges facing Azerbaijan. The country's goal is not to abandon the energy sector but to increase the weight of new investment areas while preserving its established energy base. In the President's address, renewable energy, logistics and transport, mining, digital infrastructure, and food security were prioritized precisely from this perspective," the analyst noted.
According to him, renewable energy is one of the major focus areas of this new phase. Azerbaijan possesses significant wind energy potential within its sector of the Caspian Sea. This potential extends beyond mere electricity generation; the development of transmission lines, energy storage systems, and regional electrical interconnections in the coming period could also expand investment opportunities.
"Transport and logistics are equally important. Azerbaijan is situated at the crossroads of the East-West and North-South corridors. However, the economic value of this position is not defined solely by geography." "Investments in railways, ports, highways, air transport, and customs infrastructure serve to transform Azerbaijan's transit potential into a tangible economic advantage. At the forum, President Ilham Aliyev announced the goal of increasing the volume of transit cargo passing through the country to 25 million tons or more by 2030," he explained.
The analyst emphasized that, in this context, physical and digital connectivity are now integral parts of the same chain within Azerbaijan's future investment strategy.
"The fact that artificial intelligence and data centers were discussed as separate topics at the forum illustrates this point. Favorable energy resources, the country's location between Europe and Asia, and new fiber-optic connections are bringing to the fore the idea of Azerbaijan becoming a regional hub for digital infrastructure. In his address, President Ilham Aliyev also highlighted the country's low external debt, foreign currency reserves, experience with long-term contracts, and stable investment climate as key factors influencing investor decisions: “We just need to create an environment. We just need to provide some room for that.” This approach encapsulates the essence of the forum. An investment forum is not merely a venue for companies to present their projects; such events serve as a platform for the state to demonstrate the terms offered to investors, the areas where cooperation is sought, and the resources upon which the future development of the economy is to be built," the analyst noted.
Garayev pointed out that another significant aspect of the forum held in Baku was the discussion of the economic potential of the South Caucasus as a whole, alongside that of Azerbaijan. The expansion of transport and energy connections in the region enhances access to new markets. Furthermore, the deepening of Azerbaijan's ties with Central Asia creates conditions for viewing this region as part of a broader economic chain.
"Thus, the 2nd Azerbaijan International Investment Forum signified much more than just a single event. The forum demonstrated Azerbaijan's intention to integrate its established energy and infrastructure capabilities with new technologies, the digital economy, green energy, and regional connectivity. It’s no coincidence that Baku hosted such a platform. In the upcoming investment phase, the key objective for Azerbaijan is not merely to attract more capital, but to channel that capital into new economic sectors and generate greater added value by leveraging the country's regional connectivity potential. The 2nd Azerbaijan International Investment Forum became a crucial platform for Azerbaijan to present itself to global investors in precisely this context," the analyst added.
