Azerbaijan plans to implement new projects in the fields of transport, energy, water security and digital connectivity using public-private partnership (PPP) mechanisms, Deputy Economy Minister Samad Bashirli said during his speech at the session titled “Cross-Border Infrastructure Public-Private Partnership (PPP) Projects for Regional Connectivity,” organized within the framework of the annual meetings of the Islamic Development Bank Group in Baku, APA reports.
“Today, the global economy is facing complex challenges such as infrastructure and financing gaps, fragmentation of supply chains, financial instability, digital transformation and the growing demand for sustainable connectivity,” he said.
According to the deputy minister, in the modern era infrastructure is not merely a transport or geopolitical issue:
“Infrastructure forms the foundation of trade, investment, industrial cooperation, food and energy security, as well as inclusive economic growth. However, amid growing investment needs and fiscal constraints, governments cannot achieve these goals alone.”
Bashirli noted that public-private partnership has become an important tool in this regard:
“According to the World Bank, private sector investment in infrastructure increased by 16 percent in 2024, exceeding USD 100 billion and surpassing this threshold for the first time since the pandemic.”
He emphasized that Azerbaijan is among the countries demonstrating in practice the economic impact of regional connectivity:
“The development of the Middle Corridor, the expansion of transit and logistics capabilities, the modernization of transport infrastructure and the promotion of industrial zones demonstrate Azerbaijan’s commitment to regional integration.”
The deputy minister also noted that Azerbaijan is preparing significant projects in the field of public-private partnership:
“Currently, an extensive portfolio of PPP projects is being formed in the areas of water supply, transport, tourism, education and social infrastructure. Our flagship project in this direction is the Caspian Sea water desalination plant to be implemented in Sumgayit.”
According to him, the plant will have the capacity to produce 300,000 cubic meters of drinking water per day:
“This is the first pilot project implemented under Azerbaijan’s new PPP framework and is an example of successful cooperation between the government, international financial institutions and private investors.”
Bashirli added that there is significant potential to expand PPP projects in the future in the fields of transport corridors, renewable energy, water security, logistics centers, climate-resilient infrastructure and digital connectivity.
“Sustainable prosperity cannot be achieved in isolation. Connectivity is not only about roads, ports and energy lines, but also about building trust, shared economic interests and cross-border development,” the deputy minister emphasized.