In order to expand investment activity, improve the business environment, and increase industrial production, the Decree of the President of the Republic of Azerbaijan No. 745 dated January 18, 2016 "On additional measures related to investment promotion" and Decree No. 877 dated April 20, 2016 approved "Rule of Issuing a Confirmation Document for the Import of Machinery, Technological Equipment and Devices to Legal Entities and Individual Entrepreneurs who Have Received a Promotion Document" and Decree No. 1913 dated December 20, 2022 on Improving the Investment Promotion Mechanism by Creating an Investment Promotion Mechanism favorable conditions have been created for legal entities and individual entrepreneurs to obtain tax and customs benefits. According to the latest changes made to the investment promotion mechanism, the investment promotion document for a period of 3 years from January 1, 2023 industrial districts, agricultural parks, tourism and recreation zones, relevant It is given to the projects to be implemented in the territories (Baku, Sumgait, Ganja cities, Absheron region and other cities and regions except the territories freed from occupation), as well as to the strategic projects to be implemented in the directions determined by the head of the country. In the new mechanism, the area of recycling of waste, which is important from the ecological point of view, has been added to the criteria, and the areas of activity for tourism have been expanded. The new mechanism is mainly focused on the development of regions and increasing investment potential. The investment promotion document is a document that provides the basis for obtaining the concessions specified in the Tax Code of the Republic of Azerbaijan and the Law of the Republic of Azerbaijan "On Customs Tariff" for a period of 7 years from the date of receipt of that document. These benefits apply to:
In total, 596 investment promotion documents were submitted to 494 business entities until 01.10.2024. As a result of the implementation of the projects submitted with the investment promotion document, more than 7.2 billion manats will be invested in local production, and more than 39.9 thousand jobs will be created. 13% of the promoted projects belong to the city of Baku and surrounding settlements, and 87% to the regions. 61.9% of the submitted investment promotion documents cover projects to be implemented in industry, 34.6% in agriculture, 1.8% in logistics, and 1.7% in tourism.
Including, 2023- During the year, 15 investment promotion documents were presented to 15 business entities. 41.7 million manats will be invested in local production and 502 new jobs will be created as a result of the implementation of the projects for which the investment promotion document was submitted. Various industrial and agricultural products produced by operating enterprises are exported to different countries of the world (CIS, Europe, Arab countries, etc.).
Breakdown of given ITS by years
Breakdown of given ITS by years
Until 01.10.2024, 5,988 approval documents were issued for the import of machinery, technological equipment and devices worth 1.2 billion US dollars, and entrepreneurs received a discount of 284.6 million US dollars from the taxes and duties applied in import.
Value of equipment imported with discount
(million US dollars)
In total, for 316 projects (53%) for which investment promotion documents have been issued, the value of imported equipment with supporting documents (invested amount) has exceeded the minimum investment amount provided for those projects. 12 investment promotion documents have been submitted. As a result of the implementation of the projects for which the investment promotion document was submitted, 1.5 billion will be allocated to local production. It is planned that investments up to AZN will be made and 1138 jobs will be opened. At the same time, 40 approval documents for the import of equipment, technological equipment and devices worth 30.3 million US dollars were issued to legal entities and individual entrepreneurs who received the investment promotion document during the mentioned period, and the entrepreneurs were exempted from taxes and duties applied on import.
Sample Application to obtain an Investment Promotion Document Sample Application to obtain a supporting document Guidelines
