South Caucasus needs angel investment, Azerbaijani official says

The South Caucasus needs broader access to venture capital and angel investment to support the growth of innovative businesses, Chairman of Azerbaijan's Small and Medium Business Development Agency (KOBIA) Orkhan Mammadov has stated.

Speaking at a business forum held as part of the 28th Annual Meeting of the Black Sea Trade and Development Bank's Board of Governors in Baku, he emphasised the importance of expanding equity-based financing mechanisms across the region, Caliber.Az reports, citing local media.

"These include venture capital, private equity funds, and angel investments. Such tools are still underdeveloped in our region, yet they play a crucial role in supporting innovative, high-growth companies with export potential. Of course, financing alone is not enough. Strong partnerships are equally vital,” he noted.

According to him, government, state banks, public institutions, business support organisations, chambers of commerce, other business associations, and the private sector must work together to provide SMEs not only with financial backing but also with technical support and mentorship.

Mammadov added that, alongside improved access to financing, closer cooperation among public institutions, financial organisations, business associations and the private sector is essential to help small and medium-sized enterprises secure both funding and the expertise needed for sustainable growth.

By Bakhtiyar Abbasov