You may rarely have heard of Azerbaijan as a favorite destination to establish offshore companies or accounts, but lately it has attracted the attention of foreign investors because of its recent economic growth thanks to oil and gas exports.

Azerbaijan is located in the Caucasus region between Western Asia and Eastern Europe. The benefit of the aforementioned growing economy is that even non-export sectors such as construction, banking and real estate are on the rise.

In this jurisdiction, tourism is a crucial factor for continued socio-economic progress due to the revenues reported. Job creation, business opportunities and infrastructure improvements to name a few of the features benefiting.

The country aims to continue promoting and developing tourism in order to diversify its economy beyond oil activity, opening the doors to foreign investment to strengthen this aspect.

Azerbaijan has the virtue of being ranked 18th in terms of ease of doing business as revealed by the World Bank in its Doing Business report.
This country has good credentials among all the economies of the world, which creates a beneficial environment for foreigners who choose this destination to establish their businesses.

What are the disadvantages of this jurisdiction?

As not everything can be perfect, Azerbaijan may face the fact that most foreign investment and international trade is monopolized in one sector, and that is energy.

One thing that can be a problem is the geographic boundaries of the jurisdiction, Azerbaijan's physical location between Russia and Iran creates an environment where the transit of illicit funds can take place.

If this jurisdiction has caught your attention and you would like more information on foreign investments, please contact our Foster Swiss consultants!

For more information on this topic or any request related to our services, you can contact us directly at info@fosterswiss.com