Azerbaijan will reimburse up to 70% of transportation costs for non-oil and gas exporters under a new state support mechanism, First Deputy Economy Minister Elnur Aliyev said. He made the announcement while speaking at the Third National Competitiveness Forum in Baku.
According to Elnur Aliyev, the new support mechanism will also refund a portion of customs clearance costs for small and medium-sized businesses. As an example, the deputy minister noted that 70% of the costs of transporting goods produced in Nakhchivan to other regions of the country are already covered by the state budget.
He also said that half of interest payments on loans taken out in regions other than Baku and Absheron are already being subsidized. According to Aliyev, the state can guarantee up to 90% of the principal loan amount in the territories liberated from occupation, and up to 50% in other regions.
The deputy minister unveiled another change: starting in 2027, the state will take on half the cost of connecting industrial and agricultural enterprises to the electricity grid. In addition, the investment incentive mechanism has been extended until 2029 and currently covers 17 strategic sectors.
Investment and lending figures
As of September 1, 528 business entities had received a total of 633 investment incentive documents. These projects envisage investments of 9.13 billion manats and the creation of roughly 47,000 new jobs.
Elnur Aliyev said Azerbaijan’s Business Development Fund issued preferential loans worth 223 million manats to around 4,300 projects between January and August of this year.
Non-oil and gas exports rise
The deputy minister also said that Azerbaijan’s non-oil and gas exports grew 17.4% year-on-year in January-September 2026, exceeding $2.8 billion. Aliyev said sustaining this growth will require boosting the competitiveness of products, lowering production and transport costs, and strengthening the country’s position in foreign markets.
