BAKU, Azerbaijan, October 21. A total of 57% of the European companies assessed the current economic situation in Azerbaijan as satisfactory, Head of the EU-Azerbaijan Business Forum team for 2024–2026, Ayten Akhundova, said at the EU-Azerbaijan Business Forum 2026 in Baku on Wednesday.
According to Akhundova, the overall assessment of the business climate in the country was also found to be satisfactory, though the results are slightly lower than last year’s figures.
She attributed this primarily to the geopolitical situation in the region.
"Political and social stability continue to be rated as positive factors. Other noted advantages include the reliability and cost of energy resources, as well as the efficiency of logistics, transport, and transport connectivity.
At the same time, companies highlighted several issues that require attention. These include the quality of vocational education and workforce training in Azerbaijan, access to financing, business ethics and payment discipline, access to new technologies, and research and development.
52% of the European companies surveyed plan to expand their operations in Azerbaijan over the next few years, while 25% intend to maintain them at their current level," she noted.
According to her, these figures are also slightly lower than last year’s, which may be linked to the geopolitical situation.
She identified access to commercial partners and clients, strategic partnerships and alliances, and access to the domestic market as the three most attractive factors for companies.
"Untapped investment opportunities include low production costs, access to physical infrastructure, and access to natural resources and raw materials.
Key factors that have influenced company operations in recent years include the limited size of the market, the war in Ukraine and other global conflicts, as well as bureaucracy," she added.
The report presents an updated assessment of Azerbaijan’s economic and business environment from the perspective of European companies operating in the local market. Based on surveys and in-depth interviews with European enterprises, the report covers key factors influencing the investment climate, sector-specific opportunities, business constraints, labor market dynamics, sustainable development, digitalization, and the broader reform agenda that shapes the trajectory of Azerbaijan’s economic development.
The EU-Azerbaijan Business Forum, marking the 30th anniversary of the partnership between the European Union and Azerbaijan and the 10th anniversary of the forum, is being held in Baku today. This year’s forum is held under the theme "Connecting Corridors: Connectivity and Infrastructure." The main focus is on developing transport connectivity and infrastructure, strengthening economic cooperation between the EU and Azerbaijan, and expanding regional trade and investment.
The program includes high-level discussions, thematic sessions, and business meetings involving representatives of the public and private sectors.
