BAKU, Azerbaijan, July 9. Azerbaijan could become the pearl of the Caspian region in the coming years thanks to its unique geographical location at the crossroads of East-West and North-South transport routes, the Lead Tourism Development Specialist at the World Bank Group, Shaun Mann said, Trend's correspondent reports from the event.
He made the remark at the event “Unlocking Tourism's Potential to Drive Economic Growth and Diversification.”
According to him, the tourism industry plays an important role in job creation and the development of small businesses.
“Tourism differs from many other sectors in that people arrive in the country with purchasing power, and spending takes place directly at the point of consumption. This makes tourism a unique form of export. The sector offers extensive employment opportunities in the regions, as well as for young people, women, and small businesses. In many countries, tourism is the primary source of employment for young people, in hotels, restaurants, or the tour guide sector. A well-developed tourism value chain has already been established in Baku, but certain gaps remain outside the capital. “Outside Baku, there are shortcomings in ‘last-mile’ infrastructure, the quality and variety of services, as well as in the overall ecosystem for providing tourism services. This limits the length of tourists’ stays,” he noted.
Mann emphasized that the main goal is not only to attract tourists but also to create conditions that encourage them to stay in the country longer and spend more.
"Currently, tourist flows are mainly concentrated in Baku, a limited number of markets, and specific segments, while the impact of tourism on the country’s regions remains relatively limited. Opportunities for further development lie in diversifying tourist destinations and markets. This will largely depend on the expansion of air service. Access to air travel is crucial for tapping into a more diversified base of tourism markets, which contributes to the sector’s long-term sustainability. The World Bank report identifies five key areas for the development of the tourism sector. “These include the development of tourist destinations, improving transportation connectivity, modernizing tourism infrastructure, strengthening the tourism value chain, and enhancing the skills of the workforce and the quality of services provided,” he said.
Furthermore, Mann noted that the promotion of tourist destinations must be accompanied by the development of appropriate infrastructure.
"It is not enough to simply promote a tourist destination. It is necessary to ensure the development of services and infrastructure that meet tourists' expectations. The government should play a leading role in creating basic infrastructure and institutions, while the private sector should invest in the development of the tourism industry. To achieve this, it is necessary to ensure favorable conditions for investment and the further development of small businesses," he explained.
Speaking about the country’s prospects, Mann noted that Azerbaijan enjoys a favorable geographic location.
“In the coming years, Azerbaijan could become the pearl of the Caspian region. The country occupies a unique position at the crossroads of East-West and North-South routes, which opens up significant opportunities for the development of tourism,” he said.
According to the World Bank representative, the further development of the tourism industry requires the concentration of resources and the practical implementation of planned projects.
“It is necessary to move from strategies and marketing plans to concrete actions that will transform tourism destinations. The Caucasus, the Western Balkans, and the countries of the region have significant potential to become one of the new centers of European and Asian tourism thanks to their geographic location and proximity to major markets,” the expert concluded.
