Why is this important
The decrease in investments may signal a weakening of economic cooperation between countries, the sensitivity of Azerbaijani investors to conditions, risks, or returns, and a shift in investment priorities for Azerbaijan.
What happened
- In January-June 2025, Azerbaijan directed $21.4 million in direct investments to Uzbekistan.
- This is $45.9 million less than in January-June 2024 (then — $67.4 million).
- Uzbekistan’s share in the total volume of foreign investments of Azerbaijan amounted to 1.6%, and the republic ranks 10th among recipient countries.
Context
During the same period, Azerbaijan received over $3.2 billion in foreign investments (an 8.2% increase year-on-year). Azerbaijan also increased its foreign investments: approximately $1.35 billion in the first six months of 2025, a 35.2% increase compared to the same period in 2024.
Possible reasons for the decline in investments in Uzbekistan may include: changes in risks, changes in returns, competition with other areas of foreign investment, as well as global economic conditions.
