Azerbaijan is emerging as a tech hub in Central Eurasia, shifting from its oil-driven past to a digital and Green Economy. By 2026, Azerbaijan aims to reach $5 billion in non-oil exports and increase private sector GDP contribution to 88%, driving demand for tech solutions, creating opportunities for startups, and fostering innovation ecosystem support. Over 200 startups are active in Azerbaijan, with a target of reaching 500 by 2026, including at least one valued over $50 million.
Azerbaijan offers strong startup support through 13 local acceleration and incubation programs, 16 hackathons, and ideathons planned in 2025. Ten programs, led by international and local groups like Startup Wise Guys, Viveka, and SABAH.Hub, help train talent and grow new companies. Azerbaijan plans to attract 100+ investments by 2026. Azerbaijan’s first two locally-domiciled VC funds, Caucasus Ventures & InMerge Ventures, fuel growth in the ecosystem by supporting startup innovation.
Under the Azerbaijan 2030 initiative, the government promotes digital entrepreneurship through startup support, venture funding, and accelerator programs. The “Concept of Digital Development in the Republic of Azerbaijan” was approved in January 2025 to accelerate economic development and quality of life through digital technologies. The Azerbaijan Startup Visa simplifies business setup for foreign entrepreneurs, fostering economic growth by attracting innovative ventures.
Azerbaijan’s Artificial Intelligence Strategy 2025–2028 provides preferential entrepreneurship loans and expanded support to advance AI adoption. The establishment of an AI innovation hub within three years will further strengthen Azerbaijan’s position in the field. The Azerbaijan Innovation Center, opened in October 2024, will lead startup ecosystem development through incubation, acceleration, investment, and collaboration. The SABAH.city innovation cluster will launch in 2025 with state-of-the-art data centers, cutting-edge research facilities, and advanced co-working spaces.
