Azerbaijan and Turkmenistan Strengthening ties in Business

Business Materials 9 June 2008 14:38 (UTC +04:00)

Azerbaijan, Baku, 9 June / Trend corr. I.Khalilova / The Azerbaijani Export and Investment Promoting Fund (AZPROMO) reported that 25 businessmen would visit Ashgabat to participate in the first Azerbaijan-Turkmen business-forum on 16 June. Such an interest was shown by the companies engaged in the production of construction materials, food industry and tourism.

"This is the first attempt to regulate the business relations between the countries. However, the lack of bank representatives is due to the closure of Turkmenistan financial sector," AZPROMO said (the state's share in the banking system of Turkmenistan exceeds 90%).

The Deputy Minister of Economic Development of Azerbaijan and AZPROMO President will represent Azerbaijan in the meeting.

According to Azerbaijan, as for 2007, the trade turnover between both countries made up $53.9mln. About $40.3mln is from the import operations.

Within the few next years, Azerbaijan and Turkmenistan have planned to increase the trade turnover to $500 mln.

The relations between the two countries were restored after the election of President Gurbangulu Berdimuhammad. The agreement on the economic relations was reached after the first visit of the Turkmen President to Azerbaijan. At the same time, the Turkmen Embassy was re-opened in Baku.

The Embassy of Turkmenistan in Azerbaijan was transferred from Baku to Ashgabad during soothing of political and economic relations between the countries in 2001.

The differences between the countries worsened due to the disputable fields in the Caspian Sea (Kapaz), disputes in defining the sea border line and the sum of Azerbaijani state debt to Turkmenistan since 1990s. Azerbaijan paid off its debt worth $ 44.8mln to Turkmenistan for the purchased gas on threshold of Turkmen President's visit to Azerbaijan. Certain promotions are reached regarding the status of the Caspian Sea.

On 9 June, the official currency rate totaled 0,8169 AZN/USD.

The correspondent can be contacted at: http://www.trend.az/