Professor: Russia, Azerbaijan should enhance technological co-op between business entities

Baku, Azerbaijan, April 11

By Matanat Nasibova - Trend:

There has been quite a high level of volatility In the global economy in recent years, with turbulence being observed directly in the financial market as well, and the global financial crisis of 2008-2009 became clear manifestation of this, deputy director of the Russian School of Economics, Professor Elshad Mammadov said.

He made the remarks at the round table meeting on the topic “Security Problems of the South Caucasus and the Caspian region countries” held in the press center of Trend News Agency.

He said that global economy is switching to the stage of the formation of a new, already the sixth technological order, the geography of centers of activity, and the structural component of economic development are changing.

“This sets new challenges for the national economies of Azerbaijan and Russia, which have many similarities,” he noted. “To some extent, this is related to our Soviet past and, at the same time, to a large extent to the key areas of our economies of those times, namely, the energy, oil and gas spheres. This puts before our governments a choice in terms of options for diversifying our economies, because the new technological order comprises first of all restrictions related to the use of energy, the transition to new alternative energy options, diversification towards high-tech areas.”

He added that positive dynamics in trade is one of the key points in the sphere of cooperation between Russia and Azerbaijan.

“There is a definite tendency towards stabilization,” he said. “At the same time, the figure of $2.5 billion is very far from the potential that our countries have. I believe that by 2025 we will be able to talk about trade turnover of at least $10 billion, but for this it is necessary to increase investments, the level of technological cooperation between our economic entities, and this is one of the key tasks of the economic blocs of Russia and Azerbaijan.”

“From the point of view of our non-oil sector, and given that Azerbaijan is implementing a policy of diversifying the economy, Russia is a priority direction,” he said. “It is very important to implement investment programs in the near future, to switch to mutual settlements in our national currencies, which, given the scientific and economic analysis, is quite a realistic prospect. For this, it is necessary to carry out a set of measures so that this transition is directed towards the improvement of our foreign trade and so that business entities don’t suffer from this. First of all, it is necessary to ensure the stability of our national currencies, and here I would like to note that over the past three years, the Azerbaijani manat has maintained its position at a stable level, which, unfortunately, cannot be said about the Russian ruble.”

Mammadov noted that both Azerbaijan and Russia have a rather impressive positive balance, a substantial external trade balance, and with an adequate policy, it won’t be difficult to achieve stability in the foreign exchange market and sustainability in terms of faster investment growth.

The event participants discussed Russian-Azerbaijani cooperation in the context of new challenges for the Caspian region, the development of North-South, East-West transport corridor systems as a condition for ensuring security of the Caspian region.

They also discussed signing of the “Constitution of the Caspian Sea” in the context of ensuring regional security in the South Caucasus, regional conflicts and security in the South Caucasus, the fight against terrorism in Azerbaijan, the deepening of economic ties between Azerbaijan and Russia in the light of the formation of a new technology structure in the global economy and economic security, as well as intensification of regional integration and the coordination of the actions of the Eurasian countries in removing tensions and preventing new challenges, the problem of mutual understanding of the North and South Caucasus as a common security system for border states.

From the Azerbaijani side, Azerbaijani MP Rasim Musabayov, head of the Expert Council of the Baku Network, Ph.D. Elkhan Alasgarov, moderator and expert Gulnara Mammadzade, editor-in-chief of the Sputnik-Azerbaijan news agency Ilgar Valizade, professor of Azerbaijan University of Economics Elshad Mammadov, senior adviser of the Baku International Multiculturalism Center Tofiq Abbasov, national security expert, doctor of law Professor Kamil Salimov took part in the meeting.

Stanislav Chernyavsky, director of the Center for Post-Soviet Studies at Moscow State Institute of International Relations, Konstantin Kurylev, director of the Center for Studies of Post-Soviet Countries and Leonid Gusev, senior researcher at the Moscow State Institute of International Relations of the Russian Foreign Ministry participated from the Russian side.

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