Supporting free entrepreneurship is vital for fostering economic growth, innovation, and prosperity in the country. Azerbaijan has taken various steps to create an environment conducive to entrepreneurial activities.
Azerbaijan has implemented regulatory reforms aimed at simplifying business registration procedures. The country has introduced online platforms for business registration making it easier and quicker for entrepreneurs to establish their companies. This reduces the time and paperwork involved in the registration process. Efforts have been made to simplify business licensing procedures, reducing the number of required licenses and permits and making the process more transparent.
Azerbaijan has undertaken tax reforms to create a more favorable environment for businesses. This includes reducing corporate tax rates, simplifying tax procedures, and offering tax incentives to promote investment and entrepreneurship. Additionally, reforms in customs procedures have been implemented to facilitate trade and business operations. This includes the introduction of electronic customs declarations and simplified customs clearance procedures, reducing the time and costs associated with importing and exporting goods.
The government has introduced various incentives to attract investment and promote entrepreneurship. These include tax breaks, subsidies, and other forms of support for businesses operating in priority sectors or regions.
Facilitating access to finance for entrepreneurs, particularly small and medium-sized enterprises (SMEs), is crucial. This can be achieved through initiatives such as microfinance programs, venture capital funds, and improved access to banking services. SMEs play a significant role in Azerbaijan's economy, contributing to job creation, innovation, and economic growth. SMEs are hubs of innovation and entrepreneurship in Azerbaijan, driving economic dynamism and competitiveness. They contribute to technological advancement, product development, and the introduction of new business models. SMEs make up 99.6% of the country's entrepreneurs in 2022.
Azerbaijan has adopted policies and strategies to promote SME development and entrepreneurship. These include the National SME Development Strategy, which outlines measures to support SMEs, improve their competitiveness, and enhance their contribution to the economy.
Azerbaijan has invested in entrepreneurship education and skills development programs to equip aspiring entrepreneurs with the knowledge and capabilities needed to succeed in business. This includes providing training in areas such as business management, financial literacy, and marketing. By investing in entrepreneurship education, Azerbaijan aims to nurture a new generation of innovative and enterprising individuals who can contribute to the country's economic development and prosperity.
The country actively participates in regional economic integration efforts and has negotiated free trade agreements to encourage international trade and investment. This opens up new markets and opportunities for Azerbaijani entrepreneurs to expand their businesses globally.
Entrepreneurial activity in Azerbaijan has increased a lot, President of the National Confederation of Entrepreneurs (Employers' Organization) of the Republic of Azerbaijan Mammad Musayev said at the conference "State-entrepreneurial partnership: the basis of sustainable economy" held in Baku on January 12, 2024.
The president of the National Confederation emphasized that, currently, the number of people actively engaged in entrepreneurial activity in Azerbaijan is more than 759,000.
Overall, these business reforms aim to create a more competitive and dynamic business environment in Azerbaijan, fostering entrepreneurship, innovation, and economic growth.
Faiq Mahmudov
The article focuses on the theme of "Promotion of free entrepreneurship and liberal economy in Azerbaijan"
The article was published with the support of the Media Development Agency of the Republic of Azerbaijan (MEDIA)
