Russia and Azerbaijan are working on diversification of economic relations

 Russia and Azerbaijan are working on diversification of economic relations

Almost 90% of Russian investments in Azerbaijan account for the oil and gas sector, the head of the Azerbaijan Export and Investment Promotion Foundation (AZPROMO), Rufat Mammadov, said at the Azerbaijan-Russia business forum being held in Baku.

In recent years Russian companies have invested $1.8 billion in Azerbaijan’s economy, $1.6 billion of this amount accounts for the oil and gas sector and another $200 million accounts for investments in the non-oil sector, he explained.

According to Mammadov, intensive work is currently underway to diversify our economic relations, which is the priority for both sides.

"Russia has great experience in diversification of the economy, Azerbaijan is also on the same path," Trend cited the head of AZPROMO as saying.

He also noted that Russia is the only country with whose federal constituents Azerbaijan has direct economic contacts. Azerbaijan has agreements with 78 regions of Russia in the economic sphere, and with 17 federal subjects in trade, economic, cultural and humanitarian spheres, he added. "We have bilateral intergovernmental commissions on developing cooperation with four federal subjects," the head of AZPROMO noted.

According to him, the volume of trade turnover between Azerbaijan and Russia in 2015 will be higher than in 2014.

"599 companies with Russian shares have been registered in Azerbaijan. The volume of direct investments of Azerbaijan in Russia has exceeded $1 billion in the last 10 years," Mammadov informed.