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This page was last updated on 19 June 2008
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| Introduction | Azerbaijan | Top of Page

Background: | Azerbaijan - a nation with a majority-Turkic and majority-Muslim population - was briefly independent from 1918 to 1920; it regained its independence after the collapse of the Soviet Union in 1991. Despite a 1994 cease-fire, Azerbaijan has yet to resolve its conflict with Armenia over the Azerbaijani Nagorno-Karabakh enclave (largely Armenian populated). Azerbaijan has lost 16% of its territory and must support some 600,000 internally displaced persons as a result of the conflict. Corruption is ubiquitous, and the government has been accused of authoritarianism. Although the poverty rate has been reduced in recent years, the promise of widespread wealth from development of Azerbaijan's energy sector remains largely unfulfilled.

| Geography | Azerbaijan | Top of Page

Location: | Southwestern Asia, bordering the Caspian Sea, between Iran and Russia, with a small European portion north of the Caucasus range
Geographic coordinates: | 40 30 N, 47 30 E
Map references: | Asia
Area: | total: 86,600 sq km land: 86,100 sq km water: 500 sq km note: includes the exclave of Naxcivan Autonomous Republic and the Nagorno-Karabakh region; the region's autonomy was abolished by Azerbaijani Supreme Soviet on 26 November 1991
Area - comparative: | slightly smaller than Maine
Land boundaries: | total: 2,013 km border countries: Armenia (with Azerbaijan-proper) 566 km, Armenia (with Azerbaijan-Naxcivan exclave) 221 km, Georgia 322 km, Iran (with Azerbaijan-proper) 432 km, Iran (with Azerbaijan-Naxcivan exclave) 179 km, Russia 284 km, Turkey 9 km
Coastline: | 0 km (landlocked); note - Azerbaijan borders the Caspian Sea (800 km est.)
Maritime claims: | none (landlocked)
Climate: | dry, semiarid steppe
Terrain: | large, flat Kur-Araz Ovaligi (Kura-Araks Lowland) (much of it below sea level) with Great Caucasus Mountains to the north, Qarabag Yaylasi (Karabakh Upland) in west; Baku lies on Abseron Yasaqligi (Apsheron Peninsula) that juts into Caspian Sea
Elevation extremes: | lowest point: Caspian Sea -28 m highest point: Bazarduzu Dagi 4,485 m
Natural resources: | petroleum, natural gas, iron ore, nonferrous metals, bauxite
Land use: | arable land: 20.62% permanent crops: 2.61% other: 76.77% (2005)
Irrigated land: | 14,550 sq km (2003)
Total renewable water resources: | 30.3 cu km (1997)
Freshwater withdrawal (domestic/industrial/agricultural): | total: 17.25 cu km/yr (5%/28%/68%) per capita: 2,051 cu m/yr (2000)
Natural hazards: | droughts
Environment - current issues: | local scientists consider the Abseron Yasaqligi (Apsheron Peninsula) (including Baku and Sumqayit) and the Caspian Sea to be the ecologically most devastated area in the world because of severe air, soil, and water pollution; soil pollution results from oil spills, from the use of DDT pesticide, and from toxic defoliants used in the production of cotton
Environment - international agreements: | party to: Air Pollution, Biodiversity, Climate Change, Climate Change-Kyoto Protocol, Desertification, Endangered Species, Hazardous Wastes, Marine Dumping, Ozone Layer Protection, Ship Pollution, Wetlands signed, but not ratified: none of the selected agreements
Geography - note: | both the main area of the country and the Naxcivan exclave are landlocked

| People | Azerbaijan | Top of Page

Population: | 8,177,717 (July 2008 est.)
Age structure: | 0-14 years: 24.6% (male 1,061,318/female 947,607) 15-64 years: 68.6% (male 2,753,277/female 2,855,406) 65 years and over: 6.8% (male 208,293/female 351,816) (2008 est.)
Median age: | total: 27.9 years male: 26.3 years female: 29.7 years (2008 est.)
Population growth rate: | 0.723% (2008 est.)
Birth rate: | 17.52 births/1,000 population (2008 est.)
Death rate: | 8.32 deaths/1,000 population (2008 est.)
Net migration rate: | -1.97 migrant(s)/1,000 population (2008 est.)
Sex ratio: | at birth: 1.14 male(s)/female under 15 years: 1.12 male(s)/female 15-64 years: 0.96 male(s)/female 65 years and over: 0.59 male(s)/female total population: 0.97 male(s)/female (2008 est.)
Infant mortality rate: | total: 56.43 deaths/1,000 live births male: 62.09 deaths/1,000 live births female: 49.98 deaths/1,000 live births (2008 est.)
Life expectancy at birth: | total population: 66.31 years male: 62.2 years female: 71 years (2008 est.)
Total fertility rate: | 2.05 children born/woman (2008 est.)
HIV/AIDS - adult prevalence rate: | less than 0.1% (2003 est.)
HIV/AIDS - people living with HIV/AIDS: | 1,400 (2003 est.)
HIV/AIDS - deaths: | fewer than 100 (2001 est.)
Nationality: | noun: Azerbaijani(s) adjective: Azerbaijani
Ethnic groups: | Azeri 90.6%, Dagestani 2.2%, Russian 1.8%, Armenian 1.5%, other 3.9% (1999 census) note: almost all Armenians live in the separatist Nagorno-Karabakh region
Religions: | Muslim 93.4%, Russian Orthodox 2.5%, Armenian Orthodox 2.3%, other 1.8% (1995 est.) note: religious affiliation is still nominal in Azerbaijan; percentages for actual practicing adherents are much lower
Languages: | Azerbaijani (Azeri) 90.3%, Lezgi 2.2%, Russian 1.8%, Armenian 1.5%, other 3.3%, unspecified 1% (1999 census)
Literacy: | definition: age 15 and over can read and write total population: 98.8% male: 99.5% female: 98.2% (2006 est.)

| Government | Azerbaijan | Top of Page

Country name: | conventional long form: Republic of Azerbaijan conventional short form: Azerbaijan local long form: Azarbaycan Respublikasi local short form: Azarbaycan former: Azerbaijan Soviet Socialist Republic
Government type: | republic
Capital: | name: Baku (Baki, Baky) geographic coordinates: 40 23 N, 49 52 E time difference: UTC+4 (9 hours ahead of Washington, DC during Standard Time) daylight saving time: +1hr, begins last Sunday in March; ends last Sunday in October
Administrative divisions: | 59 rayons (rayonlar; rayon - singular), 11 cities (saharlar; sahar - singular), 1 autonomous republic (muxtar respublika) rayons: Abseron Rayonu, Agcabadi Rayonu, Agdam Rayonu, Agdas Rayonu, Agstafa Rayonu, Agsu Rayonu, Astara Rayonu, Balakan Rayonu, Barda Rayonu, Beylaqan Rayonu, Bilasuvar Rayonu, Cabrayil Rayonu, Calilabad Rayonu, Daskasan Rayonu, Davaci Rayonu, Fuzuli Rayonu, Gadabay Rayonu, Goranboy Rayonu, Goycay Rayonu, Haciqabul Rayonu, Imisli Rayonu, Ismayilli Rayonu, Kalbacar Rayonu, Kurdamir Rayonu, Lacin Rayonu, Lankaran Rayonu, Lerik Rayonu, Masalli Rayonu, Neftcala Rayonu, Oguz Rayonu, Qabala Rayonu, Qax Rayonu, Qazax Rayonu, Qobustan Rayonu, Quba Rayonu, Qubadli Rayonu, Qusar Rayonu, Saatli Rayonu, Sabirabad Rayonu, Saki Rayonu, Salyan Rayonu, Samaxi Rayonu, Samkir Rayonu, Samux Rayonu, Siyazan Rayonu, Susa Rayonu, Tartar Rayonu, Tovuz Rayonu, Ucar Rayonu, Xacmaz Rayonu, Xanlar Rayonu, Xizi Rayonu, Xocali Rayonu, Xocavand Rayonu, Yardimli Rayonu, Yevlax Rayonu, Zangilan Rayonu, Zaqatala Rayonu, Zardab Rayonu cities: Ali Bayramli Sahari, Baki Sahari, Ganca Sahari, Lankaran Sahari, Mingacevir Sahari, Naftalan Sahari, Saki Sahari, Sumqayit Sahari, Susa Sahari, Xankandi Sahari, Yevlax Sahari autonomous republic: Naxcivan Muxtar Respublikasi
Independence: | 30 August 1991 (from Soviet Union)
National holiday: | Founding of the Democratic Republic of Azerbaijan, 28 May (1918)
Constitution: | adopted 12 November 1995
Legal system: | based on civil law system; has not accepted compulsory ICJ jurisdiction
Suffrage: | 18 years of age; universal
Executive branch: | chief of state: President Ilham ALIYEV (since 31 October 2003) head of government: Prime Minister Artur RASIZADE (since 4 November 2003); First Deputy Prime Minister Yaqub EYYUBOV (since June 2006) cabinet: Council of Ministers appointed by the president and confirmed by the National Assembly elections: president elected by popular vote to a five-year term (eligible for a second term); election last held 15 October 2003 (next to be held in October 2008); prime minister and first deputy prime minister appointed by the president and confirmed by the National Assembly election results: Ilham ALIYEV elected president; percent of vote - Ilham ALIYEV 76.8%, Isa GAMBAR 14%
Legislative branch: | unicameral National Assembly or Milli Mejlis (125 seats; members elected by popular vote to serve five-year terms) elections: last held 6 November 2005 (next to be held in November 2010) election results: percent of vote by party - NA; seats by party - Yeni 58, Azadliq coalition 8, CSP 2, Motherland 2, other parties with single seats 9, independents 42, undetermined 4
Judicial branch: | Supreme Court
Political parties and leaders: | Azadliq (Freedom) coalition (Popular Front Party, Liberal Party, Citizens' Development Party); Azerbaijan Democratic Party or ADP [Sardar JALALOGLU]; Azerbaijan Democratic Reforms Party (ADRP) Youth Movement [Ramin HAJILI]; Azerbaijan Popular Front or APF, now split in two [Ali KARIMLI, leader of "Reform" APF party; Mirmahmud MIRALI-OGLU, leader of "Classic" APF party]; Azerbaijan Public Forum [Eldar NAMAZOV]; Citizens' Development Party [Ali ALIYEV]; Civil Solidarity Party or CSP [Sabir RUSTAMKHANLY]; Dalga Youth Movement [Vafa JAFAROVA]; Green Party [Mais GULALIYEV and Tarana MAMMADOVA]; Hope (Umid) Party [Iqbal AGAZADE]; Ireli Youth Movement [Jeyhun OSMANLI, Roya TALIBOVA, Farhad MAMMADOV, Elnara GARIBOVA, Elnur MAMMADOV, Ziya ALIYEV]; Justice Party [Ilyas ISMAILOV]; Liberal Party of Azerbaijan [Lala Shovkat HACIYEVA]; Magam Youth Movement [Emin HUSEYNOV]; Motherland Party [Fazail AGAMALI]; Musavat (Equality) [Isa GAMBAR, chairman]; Musavat Party Youth Movement [Elnur MAMMADLI]; National Democratic Party or Grey Wolves (Nationalist, Pan-Turkic) [Iskender HAMIDOV]; Open Society Party [Rasul GULIYEV, in exile in the US]; Party for National Independence of Azerbaijan or PNIA [Ayaz RUSTAMOV]; Popular Front Party Youth Movement [Seymur KHAZIYEV]; Social Democratic Party of Azerbaijan or SDP [Araz ALIZADE and Ayaz MUTALIBOV (in exile)]; Turkish Nationalist Party [Vugar BAYTURAN]; United Azerbaijan Party [Karrar ABILOV]; United Azerbaijan National Unity Party [Hajibaba AZIMOV]; United Party [Tahir KARIMLI]; Yeni (New) Azerbaijan Party [President Ilham ALIYEV]; Yeni Azerbaijan Party Youth Movement [Ramil HASANOV]; Yox (No) Youth Movement [Ali ISMAYILOV] note: opposition parties regularly factionalize and form new parties;
Political pressure groups and leaders: | Sadval, Lezgin movement; self-proclaimed Armenian Nagorno-Karabakh Republic; Talysh independence movement; Union of Pro-Azerbaijani Forces or UPAF; Karabakh Liberation Organization
International organization participation: | ADB, BSEC, CE, CIS, EAPC, EBRD, ECO, FAO, GCTU, GUAM, IAEA, IBRD, ICAO, ICRM, IDA, IDB, IFAD, IFC, IFRCS, ILO, IMF, IMO, Interpol, IOC, IOM, IPU, ISO, ITSO, ITU, ITUC, MIGA, NAM (observer), OAS (observer), OIC, OPCW, OSCE, PFP, SECI (observer), UN, UNCTAD, UNESCO, UNIDO, UNWTO, UPU, WCO, WFTU, WHO, WIPO, WMO, WTO (observer)
Diplomatic representation in the US: | chief of mission: Ambassador Yashar ALIYEV chancery: 2741 34th Street NW, Washington, DC 20008 telephone: [1] (202) 337-3500 FAX: [1] (202) 337-5911 Consulate(s) general: Los Angeles
Diplomatic representation from the US: | chief of mission: Ambassador Anne E. DERSE embassy: 83 Azadliyg Prospecti, Baku AZ1007 mailing address: American Embassy Baku, US Department of State, 7050 Baku Place, Washington, DC 20521-7050 telephone: [994] (12) 4980-335 through 337 FAX: [994] (12) 4656-671
Flag description: | three equal horizontal bands of blue (top), red, and green; a crescent and eight-pointed star in white are centered in red band

| Economy | Azerbaijan | Top of Page

Economy - overview: | Azerbaijan's high economic growth in 2006 and 2007 is attributable to large and growing oil exports. Azerbaijan's oil production declined through 1997, but has registered an increase every year since. Negotiation of production-sharing arrangements (PSAs) with foreign firms, which have committed $60 billion to long-term oilfield development, should generate the funds needed to spur future industrial development. Oil production under the first of these PSAs, with the Azerbaijan International Operating Company, began in November 1997. A consortium of Western oil companies began pumping 1 million barrels a day from a large offshore field in early 2006, through a $4 billion pipeline it built from Baku to Turkey's Mediterranean port of Ceyhan. By 2010 revenues from this project will double the country's current GDP. Azerbaijan shares all the formidable problems of the former Soviet republics in making the transition from a command to a market economy, but its considerable energy resources brighten its long-term prospects. Baku has only recently begun making progress on economic reform, and old economic ties and structures are slowly being replaced. Several other obstacles impede Azerbaijan's economic progress: the need for stepped up foreign investment in the non-energy sector, the continuing conflict with Armenia over the Nagorno-Karabakh region, pervasive corruption, and elevated inflation. Trade with Russia and the other former Soviet republics is declining in importance, while trade is building with Turkey and the nations of Europe. Long-term prospects will depend on world oil prices, the location of new oil and gas pipelines in the region, and Azerbaijan's ability to manage its energy wealth.
GDP (purchasing power parity): | $65.47 billion (2007 est.)
GDP (official exchange rate): | $31.32 billion (2007 est.)
GDP - real growth rate: | 23.4% (2007 est.)
GDP - per capita (PPP): | $7,700 (2007 est.)
GDP - composition by sector: | agriculture: 6.2% industry: 63.3% services: 30.5% (2007 est.)
Labor force: | 5.243 million (2007 est.)
Labor force - by occupation: | agriculture: 41% industry: 7% services: 52% (2001)
Unemployment rate: | 4.3% official rate (2007 est.)
Population below poverty line: | 24% (2005 est.)
Household income or consumption by percentage share: | lowest 10%: 3.1% highest 10%: 29.5% (2001)
Distribution of family income - Gini index: | 36.5 (2001)
Inflation rate (consumer prices): | 16.6% (2007 est.)
Investment (gross fixed): | 28% of GDP (2007 est.)
Budget: | revenues: $7.67 billion expenditures: $9.256 billion (2007 est.)
Public debt: | 6.4% of GDP (2007 est.)
Agriculture - products: | cotton, grain, rice, grapes, fruit, vegetables, tea, tobacco; cattle, pigs, sheep, goats
Industries: | petroleum and natural gas, petroleum products, oilfield equipment; steel, iron ore; cement; chemicals and petrochemicals; textiles
Industrial production growth rate: | 25% (2007 est.)
Electricity - production: | 23.8 billion kWh (2007 est.)
Electricity - consumption: | 27.5 billion kWh (2007 est.)
Electricity - exports: | 880 million kWh (2005)
Electricity - imports: | 2.082 billion kWh (2005)
Oil - production: | 934,700 bbl/day (2007 est.)
Oil - consumption: | 160,000 bbl/day (2007 est.)
Oil - exports: | 795,600 bbl/day (2007 est.)
Oil - imports: | 3,924 bbl/day (2004)
Oil - proved reserves: | 7 billion bbl (17 April 2007 est.)
Natural gas - production: | 6.3 billion cu m (2007 est.)
Natural gas - consumption: | 9.8 billion cu m (2007 est.)
Natural gas - exports: | 0 cu m (2005 est.)
Natural gas - imports: | 4.373 billion cu m (2005)
Natural gas - proved reserves: | 849.5 billion cu m (17 April 2007 est.)
Current account balance: | $9.01 billion (2007 est.)
Exports: | $21.27 billion f.o.b. (2007 est.)
Exports - commodities: | oil and gas 90%, machinery, cotton, foodstuffs
Exports - partners: | Italy 44.7%, Israel 10.7%, Turkey 6.1%, France 5.5%, Russia 5.4%, Iran 4.6%, Georgia 4.5% (2006)
Imports: | $6.045 billion f.o.b. (2007 est.)
Imports - commodities: | machinery and equipment, oil products, foodstuffs, metals, chemicals
Imports - partners: | Russia 22.4%, UK 8.6%, Germany 7.7%, Turkey 7.3%, Turkmenistan 7%, Ukraine 6%, China 4.2% (2006)
Economic aid - recipient: | ODA, $223.4 million (2005 est.)
Reserves of foreign exchange and gold: | $4.273 billion (31 December 2007 est.)
Debt - external: | $2.399 billion (31 December 2007 est.)
Stock of direct foreign investment - at home: | $7.829 billion (2007 est.)
Stock of direct foreign investment - abroad: | $4.912 billion (2007 est.)
Market value of publicly traded shares: | $NA
Currency (code): | Azerbaijani manat (AZN)
Exchange rates: | Azerbaijani manats per US dollar - 0.8581 (2007), 0.8934 (2006), 4,727.1 (2005), 4,913.48 (2004), 4,910.73 (2003) note: on 1 January 2006 Azerbaijan revalued its currency, with 5,000 old manats equal to 1 new manat
Fiscal year: | calendar year

| Communications | Azerbaijan | Top of Page

Telephones - main lines in use: | 1.189 million (2006)
Telephones - mobile cellular: | 3.324 million (2006)
Telephone system: | general assessment: inadequate; requires considerable expansion and modernization; teledensity of 15 main lines per 100 persons is low; mobile-cellular penetration is increasing and is currently about 40 telephones per 100 persons domestic: fixed-line telephony and a broad range of other telecom services are controlled by a state-owned telecommunications monopoly and growth has been stagnant; more competition exists in the mobile-cellular market with three providers in 2006; satellite service connects Baku to a modern switch in its exclave of Naxcivan international: country code - 994; the old Soviet system of cable and microwave is still serviceable; satellite earth stations - 2 (2007)
Radio broadcast stations: | AM 10, FM 17, shortwave 1 (1998)
Television broadcast stations: | 2 (1997)
Internet country code: | .az
Internet hosts: | 3,067 (2007)
Internet users: | 829,100 (2006)

| Transportation | Azerbaijan | Top of Page

Airports: | 35 (2007)
Airports - with paved runways: | total: 27 over 3,047 m: 2 2,438 to 3,047 m: 6 1,524 to 2,437 m: 13 914 to 1,523 m: 4 under 914 m: 2 (2007)
Airports - with unpaved runways: | total: 8 914 to 1,523 m: 1 under 914 m: 7 (2007)
Heliports: | 1 (2007)
Pipelines: | gas 3,857 km; oil 2,436 km (2007)
Railways: | total: 2,122 km broad gauge: 2,122 km 1.520-m gauge (1,278 km electrified) (2006)
Roadways: | total: 59,141 km paved: 29,210 km unpaved: 29,931 km (2004)
Merchant marine: | total: 86 ships (1000 GRT or over) 421,061 GRT/460,968 DWT by type: cargo 26, passenger 2, passenger/cargo 9, petroleum tanker 45, roll on/roll off 1, specialized tanker 3 registered in other countries: 4 (Georgia 1, Malta 3) (2007)
Ports and terminals: | Baku (Baki)

| Military | Azerbaijan | Top of Page

Military branches: | Army, Navy, Air and Air Defense Forces (2008)
Military service age and obligation: | men between 18 and 35 are liable for military service; 18 years of age for voluntary military service; length of military service is 18 months and 12 months for university graduates (2006)
Manpower available for military service: | males age 16-49: 2,278,888 females age 16-49: 2,291,770 (2008 est.)
Manpower fit for military service: | males age 16-49: 1,696,167 females age 16-49: 1,923,556 (2008 est.)
Manpower reaching militarily significant age annually: | males age 16-49: 94,402 females age 16-49: 89,686 (2008 est.)
Military expenditures - percent of GDP: | 2.6% (2005 est.)

| Transnational Issues | Azerbaijan | Top of Page

Disputes - international: | Armenia supports ethnic Armenian secessionists in Nagorno-Karabakh and since the early 1990s has militarily occupied 16% of Azerbaijan; over 800,000 mostly ethnic Azerbaijanis were driven from the occupied lands and Armenia; about 230,000 ethnic Armenians were driven from their homes in Azerbaijan into Armenia; Azerbaijan seeks transit route through Armenia to connect to Naxcivan exclave; Organization for Security and Cooperation in Europe (OSCE) continues to mediate dispute; Azerbaijan, Kazakhstan, and Russia have ratified Caspian seabed delimitation treaties based on equidistance, while Iran continues to insist on an even one-fifth allocation and challenges Azerbaijan's hydrocarbon exploration in disputed waters; bilateral talks continue with Turkmenistan on dividing the seabed and contested oilfields in the middle of the Caspian; Azerbaijan and Georgia continue to discuss the alignment of their boundary at certain crossing areas
Refugees and internally displaced persons: | refugees (country of origin): 2,400 (Russia) IDPs: 580,000-690,000 (conflict with Armenia over Nagorno-Karabakh) (2007)
Trafficking in persons: | current situation: tier rating: Tier 2 Watch List - (2008)
Illicit drugs: | limited illicit cultivation of cannabis and opium poppy, mostly for CIS consumption; small government eradication program; transit point for Southwest Asian opiates bound for Russia and to a lesser extent the rest of Europe

This page was last updated on 19 June 2008