Azerbaijan, strategically located between Europe and China with developed aviation, rail, pipeline, and maritime infrastructure, is emerging as a new leading logistics center amid the reshaping of global supply chains in Eurasia, according to Gulnara Khaidarshina, Chief CIS Economist and Deputy Head of Research at Russia's Gazprombank.

Despite external crisis events, Azerbaijan continues to show one of the highest levels of reserves in the CIS, with total gold reserves amounting to around $58 billion in 2022 and covering 49.5 months of imports. Assets of the sovereign fund SOFAZ have also reached a record high of $49 billion, thanks to high hydrocarbon prices and a positive trend in the hydrocarbon market amid global economic recovery.

Furthermore, economic diversification in Azerbaijan will continue to be facilitated by new projects in Karabakh, which include the construction of new transport and social infrastructure, industrial parks, and renewable energy facilities. According to Khaidarshina's estimates, the non-oil and gas sector's share in GDP will approach 70% by 2024, marking the highest level in the country's contemporary history.

In addition, Khaidarshina noted that Azerbaijan is benefiting from an influx of tourists and cash remittances, which are aiding in the recovery of the country's non-oil and gas sector. As an oil and gas exporter, Azerbaijan is also one of the key beneficiaries of high hydrocarbon prices and the reorientation of supply chains.