Azerbaijan's investments in Russia surpass $1 billion

/By AzerNews/

By Nigar Orujova

Azerbaijan remains a stable partner of Russia on the background of the recent economic instability in the region.

Direct investments of Azerbaijan in the Russian economy exceeded $1 billion, said Shahin Mustafayev, Economy and Industry Minister.

He made the statement during a meeting with Arkady Dvorkovich, Russia’s Deputy Prime Minister who was on his one-day visit to Baku on February 10.

The biggest volume of the direct investments was made in 2013 in the amount of $250 million.

Meanwhile, Russia has invested in the economy of Azerbaijan more than $1.8 billion dollars since 2004.

More than 600 companies with Russian capital are operating in Azerbaijan at present.

"Relations between Azerbaijan and Russia are at a high level and appropriate legal framework has been set up in the economic sphere, which consists of nearly 170 documents," said Mustafayev.

Azerbaijan and Russia have the capacity to expand cooperation in the fields of agriculture, engineering, pharmacology, and others, he believes.

The minister added that Russian companies can take advantage of favorable opportunities created in the industrial parks of Azerbaijan.

In turn, Dvorkovich said there is a need for enhanced cooperation in trade and investment fields.

Russia ranks fourth in the list of foreign trade partners of Azerbaijan.

The trade turnover between Azerbaijan and Russia in 2014 stood at $1.96 billion, of which some $1.3 billion accounted for imports from Russia to Azerbaijan, while $640.3 million accounted for the exports to Russia, according to the Azerbaijani State Customs Committee.

Azerbaijan and Russia are going to sign a plan of cooperation in investment field until 2020.

In addition, today, Russia is counting on the participation of Azerbaijani investors in the projects of construction of logistics centers for agricultural products in the south and in the central region of the Federation, Dvorkovich said during his visit.

"Our partners have built a good logistics center in Moscow and Azerbaijani goods have already started coming to this center. Thus, Moscow has received a faster and more reliable access to Azerbaijani goods," he said.

Meanwhile, Azerbaijan’s meat products are expected to enter the Russian market.

Azerbaijani products have gained a chance to enter a larger market following the recent western sanctions on Russia over Ukraine crisis in late 2014.