At the fifth Saudi-Azerbaijani Business Forum, both nations discussed enhanced collaboration to boost Saudi investment in Azerbaijan’s key sectors, including energy, tourism, and infrastructure

Saudi Arabia is intensifying its focus on boosting investments in Azerbaijan, as the current trade volume between the two nations, valued at $13.4 million, signals untapped growth potential. At the fifth Saudi-Azerbaijani Business Forum held in Baku, key figures from both countries gathered to explore new avenues for economic collaboration, aiming to strengthen ties and promote diversification across vital sectors.

Hassan Moejeb Al-Hwaizy, chairman of the Federation of Saudi Chambers, emphasised the importance of enhancing trade relations, particularly in light of both Saudi Arabia and Azerbaijan’s efforts to pursue diversified economic development. Speaking to over 300 investors and officials at the forum, Al-Hwaizy underscored the opportunities available for private-sector partnerships, noting that increased cooperation between the two nations could unlock substantial growth.

Among those in attendance was Azerbaijan’s Deputy Minister of Economy, Elnur Aliyev, who highlighted the potential for further Saudi investment in his country. Aliyev pointed to Saudi investments, particularly in renewable energy projects spearheaded by ACWA Power, as an example of the fruitful partnership already in place. He encouraged additional investments in sectors such as agriculture, logistics, and healthcare, noting that Azerbaijan offers a favourable investment climate, including tax exemptions, free money transfers, and simplified procedures in its free economic zones.

Orkhan Mammadov, chairman of the Azerbaijani Business Council, reinforced the message of economic collaboration. In a post on X, Mammadov expressed optimism about the growing partnership between Saudi Arabia and Azerbaijan, noting that the forum provided a platform to explore new areas of cooperation. “Our meetings are always interesting and business-like. This time was no different. At the 5th meeting of our business council, we tried to find new areas of cooperation with our entrepreneurs,” Mammadov said. He added that the council is committed to expanding trade relations between the two countries, reflecting the forum’s goal of identifying new investment opportunities.

One of the key proposals discussed at the forum was the establishment of a joint sovereign investment fund. This initiative, proposed by Azerbaijan’s Minister of Economy Mikayil Jabbarov during discussions with Al-Hwaizy, would direct investments into crucial sectors like energy, tourism, and infrastructure. The proposal aligns with both nations’ broader goals of economic diversification, a central theme of the forum.

Jabbarov also presented Azerbaijan’s strong infrastructure and strategic position as key factors that make it an attractive destination for Saudi investors. The country’s free economic zones, which offer favourable conditions for foreign businesses, were a focal point of discussions, as they present significant opportunities for Saudi companies looking to invest in Azerbaijan’s growing economy.

Al-Hwaizy, during his remarks, pointed out that addressing logistical challenges would be essential to further increasing Saudi investments in Azerbaijan. He highlighted renewable energy, infrastructure, tourism, and agriculture as key sectors where Saudi investors could make a significant impact, given the Kingdom’s expertise and experience in these areas. “Strengthening economic cooperation in these fields will benefit both nations as we pursue diversified development,” he said.

Beyond the economic discussions, the forum also spotlighted efforts to streamline trade between the two nations. Ahmed Al-Dukhail, chairman of the Saudi-Azerbaijani Business Council, outlined plans to facilitate the import of raw materials from Azerbaijan to support Saudi industries while boosting Saudi exports to Azerbaijan. Al-Dukhail called for the removal of legislative and logistical barriers that currently hinder smoother trade, emphasising that simplifying these processes would create new opportunities for businesses in both countries.

Saudi Ambassador to Azerbaijan Essam Al-Jutaili echoed the sentiment, reaffirming the embassy’s commitment to supporting Saudi investors through the joint committee. He also encouraged Azerbaijani businesses to take advantage of investment opportunities in Saudi Arabia, noting the Kingdom’s efforts to create a welcoming environment for foreign investors.

As both nations seek to diversify their economies, the forum marked a significant step toward deeper cooperation. The event served as a platform for Saudi and Azerbaijani officials to discuss how they can leverage their respective strengths to foster economic growth. The discussions at the forum centred not only on immediate investment opportunities but also on long-term collaboration that could shape the future of both economies.

The Saudi-Azerbaijani partnership is particularly timely as both countries continue to pursue ambitious development goals. For Saudi Arabia, this aligns with Vision 2030, a comprehensive plan to diversify the Kingdom’s economy away from oil reliance by investing in new sectors. Azerbaijan, meanwhile, is seeking to attract foreign investment to develop key industries, including energy, tourism, and infrastructure.

With the potential for further collaboration in these areas, the forum laid the groundwork for future investments and partnerships. As the two countries continue to build on their growing economic ties, the Saudi-Azerbaijani Business Forum is set to play a crucial role in facilitating new projects and fostering deeper connections between the business communities of both nations.