Baku, Azerbaijan, Feb. 19
By Azad Hasanli – Trend:
Estonian investors have shown interest in investing in telecommunications and ICT sectors in Azerbaijan, Deputy Secretary General for Business Development of Estonian Ministry of Economic Affairs Viljar Lubi said in an exclusive interview with Trend.
“Relations between Estonia and Azerbaijan are amicable and have evolved from mutual cordiality to closer partnership over the past few years. Estonia was one of the countries that supported Azerbaijan in joining the Council of Europe,” Lubi said.
The two nations are connected by a number of agreements for cooperation, among others agreement on cooperation in railway transport, in customs matters, and in facilitation and mutual protection of investments, he added.
Azerbaijani investments to Estonia amount to 2.2 million euros, with the sectors that have attracted investments have been wholesale and retail businesses, but also real estate, Lubi said, underlining the increase of Azerbaijani investments.
“There are 16 Azerbaijani holding companies and the same amount of businesses with Azerbaijani partnerships in Estonia. Azerbaijani investments in Estonia are rising, numerous Azerbaijani logistics, consultation, IT, wholesale, and restaurant businesses are opening offices and representations in Estonia,” he said.
“Azerbaijani investors, on the other hand, might be pleasantly surprised at the ease of doing business in Estonia. The advantages of doing business in Estonia among others are the zero percent income tax on retained or reinvested profits, but also highly skilled workforce. Estonia ranks as one of the most business friendly environments in the world, and our innovative e-services offer smooth business procedures,” according to Lubi.
“Software development, mechanical engineering, high-tech systems, cyber security and many other sectors propose a competitive environment,” he added.
Closer links between Azerbaijan and Estonia are reflected by the growth in the bilateral trade, Lubi noted.
“The two countries trade in various goods and products. The main export articles from Estonia to Azerbaijan in recent years were machinery and equipment (68 percent), wood and wood products (14 percent), but also paper and cardboard products (5 percent). The main import articles have been mostly numerous food products such as nuts, juices, water,” he said.
According to the State Customs Committee of Azerbaijan, the trade turnover with Estonia reached $3.23 million in 2017 (a near 5-percent increase for the year), with Azerbaijani exports totaling almost $700,000.
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