Startups embrace a new era with no work permit hassles, tax incentives Tech Boom in Azerbaijan

The Singapore-based website AsiaOne has published an article saying that as the Ministry of Digital Development and Transport takes the lead in facilitating these changes, entrepreneurs and tech enthusiasts from around the world can now explore the vibrant opportunities within Azerbaijan's dynamic ecosystem. Caliber.Az reprints the article.

In a groundbreaking announcement, Azerbaijan is set to reshape its startup landscape with a series of pioneering initiatives aimed at fostering innovation and attracting global talent. Spearheaded by President Ilham Aliyev, the new measures eliminate the need for work permits, introduce tax concessions within technoparks, and offer comprehensive relocation assistance.

As the Ministry of Digital Development and Transport takes the lead in facilitating these changes, entrepreneurs and tech enthusiasts from around the world can now explore the vibrant opportunities within Azerbaijan's dynamic ecosystem. This strategic move positions Azerbaijan as a prime destination for startups seeking a hassle-free entry into a flourishing market, supported by a host of incentives and a commitment to nurturing technological advancements. Stay tuned for the transformative developments set to redefine Azerbaijan's role in the global innovation landscape.

Moreover, the state offers various opportunities for the development of enterprises. The Innovation and Digital Development Agency, under the Ministry of Digital Development and Transport, mostly offers these opportunities to startups. The agency provides various support for foreign enterprises and companies to easily go into the Azerbaijani market.

No permission is required to provide services or open an office and work in Azerbaijani territory. New developments were started with the latest document signed by Azerbaijani President Ilham Aliyev in this field. Employees from Türkiye and other countries no longer receive permission to work in the technology field in Azerbaijan. At the same time, startups may be exempt from certain taxes as technopark residences.

Another privilege that started to be implemented a few months ago is the tax privilege. Entrepreneurs can benefit from tax concessions by becoming residents of Technopark.

The Ministry of Digital Development and Transport supports companies coming to the Azerbaijani market. The Ministry organizes the entire relocation process, simplifies and supports the documentation process, provides support in legal, financial, bank account opening and other paperwork, and provides all support 24/7.
As it is known, there are many opportunities to improve entry in a young ecosystem and enter the market in the software field. By taking advantage of these, it becomes easier to take ventures globally.

The Caucasus Ventures fund, of which the Innovation and Digital Development Agency is also a Limited Partner in Azerbaijan, invests in startups. The fund has invested in more than 15 startups in 2023. Caucasus Ventures, the region's most active player, offers a preference to startups looking to open an office in Azerbaijan or B2B selling to Azerbaijan.

The development of startups becomes much easier with the concessions and support offered. Azerbaijan provides a gateway to opening up to Asian markets (Kyrgyzstan, Kazakhstan, Uzbekistan, etc.).

All innovations, supports and opportunities related to the ecosystem are published in the local innovation media Tech.az Media.