You can benefit from the government support and incentives provided for establishing a business in Garabagh and East Zangezur

Tax and Customs Incentives Offered to Residents of the Liberated Territories

Until 1 January 2033:

  • Profit (income), property, land, and simplified taxes: 0%
  • VAT and customs duties on the import of equipment and raw materials for relevant economic activities: 0%
  • Tax on dividend income: 0%

VAT Refund for Accommodation Services Provided to Individuals in Hotels

  • For cashless payments: 30% refunded
  • For cash payments: 5% refunded

State Guarantees for Loans

Up to 90% of loans obtained by entrepreneurs from banks and non-bank credit institutions are guaranteed by the state.

Main requirements for a state-guaranteed loan:

  • Loan amount up to 5 million AZN
  • Annual interest rate up to 15%
  • Loan term up to 7 years

Subsidies for Loan Interest

  • Up to 10 percentage points of the annual interest rate on guaranteed loans are subsidized by the state for a period not exceeding 36 months.
  • A grace period of up to 36 months is applied (not exceeding half of the loan term). During this period, no principal payments are required—only interest is paid.

Application: www.e-gov.az

Subsidization of Mandatory State Social Insurance Contributions

Mandatory state social insurance payments made by employers for hired workers are subsidized from the state budget as follows:

  • Until 1 January 2026: 100%
  • 1 January 2026 – 1 January 2029: 80%
  • 1 January 2029 – 1 January 2031: 60%
  • 1 January 2031 – 1 January 2033: 40%

Mandatory social insurance contributions paid by self-employed individuals engaged in entrepreneurial activity are subsidized at 100%.

Mandatory social insurance contributions paid by self-employed individuals operating without hiring employees are subsidized at 100% for 10 years.

Utility Subsidies

For entrepreneurs engaged in production activities, 20% of monthly utility expenses will be covered by the state until 1 January 2033.

Support for Specialists Working and Residing in Liberated Territories

  • Additional 5 days of paid leave annually for 5 years
  • Application of a 1.2 coefficient to tariff salaries

One-time allowance of 600 AZN

Incentives for Foreign Specialists

For a period of 5 years:

  • No labor migration quota is applied
  • Processing time for work permit applications reduced to up to 5 days
  • Work permits for employees may be extended for up to 2 additional years
  • Discounts on state fees for work permits

Incentives and Exemptions Offered in the Aghdam and "Araz Valley Economic Zone" Industrial Parks

Residents of industrial parks are exempt for 10 years from the date of registration from:

  • Property, land, and profit taxes
  • VAT and customs duties on the import of machinery and equipment

"Plug & Play" Infrastructure Funded by the State in Industrial Parks

  • Substation, transformers, distribution facilities
  • Natural gas supply line
  • Power transmission line
  • Road and railway access
  • Fiber optic cable line
  • Drinking, technical, rainwater, and fire-protection water supply systems
  • Sewerage networks