EU Allocates €200 Million for Azerbaijan’s Connectivity and Economic Investment Growth.

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In a significant move to bolster infrastructure in Azerbaijan, European Commission President Ursula von der Leyen announced that the European Union is set to provide up to €200 million in grants. This financial aid aims to enhance transport, energy, and digital infrastructure projects in the country, with expectations that these grants will leverage up to €2 billion in additional public and private investments.

The announcement was made during a meeting in Baku with Azerbaijani President Ilham Aliyev. The discussions between von der Leyen and Aliyev centered around strengthening energy cooperation, enhancing regional connectivity, and advancing the peace process between Armenia and Azerbaijan. A proposal for a new EU-Azerbaijan connectivity partnership was also put forward by von der Leyen during the talks.

In recent years, the energy dynamics between Azerbaijan and the EU have seen a notable shift. President Aliyev highlighted that Azerbaijani gas exports to EU member states have surged by approximately 65% following an energy agreement signed with the EU in 2022. Currently, ten EU countries are importing gas from Azerbaijan, underscoring the growing energy ties between the two regions.

Additionally, von der Leyen announced a €20 million support program aimed at aiding border communities. This initiative focuses on critical areas such as healthcare, mine clearance, rural development, and providing assistance to small businesses, reflecting the EU’s commitment to fostering regional development and stability.

The European Commission president’s visit to the South Caucasus will continue with scheduled talks in Armenia, as part of her ongoing efforts to reinforce the EU’s partnerships and presence in the region.

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