BAKU, Azerbaijan, Aug. 6. The Asian Development Bank is considering a project titled Preparing Azerbaijan Sustainable Power Infrastructure Projects.
The project is expected to be financed through the Technical Assistance Special Fund in the amount of $500,000.
No other details of the project have been disclosed at this stage.
According to the latest data from the Asian Development Bank (ADB), Azerbaijan secured $2.53 billion in sovereign financing for 10 projects between 2015 and 2024. More than half of that funding (51%) was allocated to regional cooperation and integration projects, representing one of the highest shares among ADB's peer countries. Another 39% supported private sector development, while 18% was dedicated to climate finance and 10% to digital transformation initiatives.
Over the same period, ADB approved nine non-sovereign operations totaling $963.9 million, all of which were directed toward private sector development. Notably, 78% of these commitments were linked to regional cooperation and integration—the highest proportion among comparable upper middle-income economies in ADB's portfolio.
Data from the Central Bank of Azerbaijan show that ADB's foreign direct investment in the country's economy reached $2.075 million in the first quarter of this year, up $455,000, or 28.1%, from the same period a year earlier.
ADB has also expanded its support for Azerbaijan's energy transition. In April 2025, the bank signed a memorandum of understanding with the Asian Infrastructure Investment Bank (AIIB) and the energy ministries of Azerbaijan, Kazakhstan, and Uzbekistan to support the preparation of a feasibility study for the Caspian Green Energy Corridor, a regional initiative aimed at enabling cross-border trade in renewable electricity.
The bank is also providing technical assistance for renewable energy projects in Azerbaijan. Among its recent initiatives is a pilot floating solar power plant on Boyukshor Lake, launched in 2024 to evaluate the commercial viability of floating photovoltaic technology and lay the groundwork for future large-scale deployment.
These efforts are aligned with ADB's 2025–2029 Country Partnership Strategy for Azerbaijan, which identifies green, resilient and diversified economic growth as a central pillar of cooperation, with a strong focus on clean energy, climate resilience and sustainable infrastructure.
