Azerbaijan’s tourism faces headwinds from Middle East crisis, says official

Rising geopolitical tensions, particularly the escalating conflict between Israel and Iran, may have a negative impact on both Azerbaijani and regional tourism, said Kanan Guluzade, Acting Chairman of Azerbaijan’s State Tourism Agency, in a statement to local media on June 13.

Guluzade emphasised that the tourism sector is one of the most sensitive to geopolitical shifts, citing the COVID-19 pandemic as a vivid example: "We saw this clearly during the pandemic. It was the tourism sector that experienced the deepest crisis."

He also pointed out the repercussions of the Russia-Ukraine war, which led to a reduction in flights to Russia due to security concerns. “Both Russia and Ukraine are priority markets for us,” Guluzade said.

Israel and Iran as key markets

Guluzade highlighted that both Israel and Iran are among Azerbaijan’s priority tourism markets: “Iran ranks among the top five countries in terms of the number of tourists it sends to Azerbaijan. Meanwhile, the arrival of Israeli tourists in any country serves as an indicator of that country’s safety and reliability. In recent years, there has been a steady stream of tourists from Israel to Azerbaijan.”

However, he warned that the rising tensions in the Middle East could escalate into broader crises, further impacting tourism dynamics: “Against the backdrop of the current tensions, further crises may arise.”

Diversification strategy in action

To offset such risks, Guluzade noted that Azerbaijan’s tourism authorities are actively working to diversify their target markets: “The goal is to reduce dependency on markets vulnerable to crises and to maintain a healthy balance in tourist flows.”

He reported that tourist arrivals to Azerbaijan grew by 1.5% in the first five months of the year, largely driven by increased visits from Central Asia, the Far East, and China.

Surge from Arab countries and India’s fluctuation

Guluzade also observed a renewed uptick in tourist numbers from several Arab countries: “Arab tourists usually travel intensively to one destination for 3-5 years and then look for new alternatives. We are currently witnessing the beginning of a second wave of visitors from these countries. Some have shown a 1.3-fold increase in tourist arrivals.”

At the same time, he acknowledged a recent decline in tourists coming from India, which is currently Azerbaijan’s third-largest source market: “Recent tensions have caused a certain decline in this market.”

Nevertheless, Guluzade struck an optimistic tone, concluding: “Despite all of the above, the overall trend is positive. The Azerbaijani tourism sector has already overcome the 1% decline observed at the beginning of the year.”

Azerbaijan to open tourism office in China by year-end

As part of Azerbaijan’s push into new tourism markets, the country plans to open an official tourism office in China by the end of 2025, Guluzade confirmed.

“The Chinese market is one of our top priorities going forward,” he said, noting that decisions on such expansions are made at the national level, followed by international agreements and sector-specific instructions.

Currently, technical and financial arrangements are being finalised for the new office, which will become Azerbaijan’s fourth foreign tourism hub after Tel Aviv, Moscow, and the upcoming branch in Istanbul.

Guluzade also shared updates on the “China Ready” initiative, explaining that special travel guides, online platforms, and printed materials tailored for Chinese tourists are in development: “All this shows how seriously Azerbaijan takes the Chinese market.”

By Tamilla Hasanova