Azerbaijan overview
The Republic of Azerbaijan is located on the southern edge of the Caucasus Mountains in Transcaucasia, and borders Iran to the south, Armenia to the west, Georgia to the northwest, Russia to the north and the Caspian Sea to the east.
Azerbaijan’s economy expanded in the first half of 2018, with revived output in the services sector due to improved terms of trade. Azerbaijan’s economic performance should strengthen, helped by natural gas exports and a moderate acceleration in domestic demand.
If the oil price is maintained, the current account surplus is projected to average at 10% of the GDP until 2020. Non-oil sector growth is expected to average at 2.7% due to rising market confidence, which will allow improvements in the banking sector and a gradual recovery in investment, with inflation remaining below 3%.
The UK is the single largest investor in Azerbaijan and UK companies are well placed to increase business. There are currently more than 450 UK companies doing business in Azerbaijan. In addition to oil and gas, UK companies have been successful in areas such as construction management and design, retail and education.
MARKET EXPERTS
Thank you to our Market Experts
8