Over 100 companies with foreign investments operate in Azerbaijan

/By Azernews/

By Nazrin Gadimova

Over 100 companies with foreign investments operate in Azerbaijan as of early 2016, reads a report by the country’s Taxes Ministry released on March 16.

Since the beginning of 2016, the ministry registered 25,508 taxpayers, including 23,828 individuals and 1,680 legal entities (114 of which are enterprises with foreign investments), according to the report.

The ministry further said that the foreign-invested companies operating in economy’s non-oil sector have expanded their interests. Thus, earlier these companies were represented in such spheres as industry, construction and transport, while now they are also engaged in trade, tourism and sphere of services.

Sparkassen Advisory Services and DB International GMBH (both from Germany), General Engineering Services and Supply Company LP and Cieco BTC UK Limited (both from UK), as well as U.S. Trea International Group Inc. are among the new companies operating in the country.

Moreover, such foreign companies as Estonian SKYBUS, Austrian Vega International Car Transport & Logistic-Trading Gesellschaft, French Airbus Ds Geo Sa, Norwegian Qinterra Technologies AS and EPI limited are operating in the country.

The ministry further noted that foreign investors' interest in Azerbaijan following the measures taken to improve business and investment climate and simplify business registration, as well as increased state support for entrepreneurs.

Attraction of foreign investments into the country and increase in the number of large companies with broad financial capabilities contribute to the development of Azerbaijan’s private sector, the ministry emphasized.

On the background of the worldwide economic fluctuations, Azerbaijan’s government is keen on diversifying the economy by encouraging local entrepreneurs and attracting foreign investments.

The head of the state has repeatedly stated that business development and the deepening of radical reforms are the priority issues for Azerbaijan at this stage.

Experts believe that one of the key points here is to attract investment. Thus, the head of the state has signed a decree to encourage investment activities, improve business environment, increase industrial production, as well as create a mechanism and normative legal acts related to encouragement of investments.

Thus, the amendments to the Tax Code, approved by the head of state on February 16, provide for tax benefits to legal and physical entities engaged in investment activities. Following the amendments, the entrepreneurs will get the relevant document, granting them with tax and customs privileges.