Azerbaijan, France to set up interregional committee

Azerbaijan and France have inked a Memorandum of Understanding on inter-regional cooperation.

The document was undersigned by Azerbaijan's Minister of Economy Shahin Mustafayev and Secretary General of the National Commission on Decentralization and Interregional Cooperation of France Bertrand Fort in Baku.

The agreement lays a legal framework for deepening and diversifying cooperation between regions of the two countries.

Under the MoU, the two countries will set up a joint management committee that will work to develop interregional cooperation and collaboration in the field of decentralization. The committee will be co-chaired by representatives of Azerbaijan's Ministry of Economy and the French Ministry of Foreign Affairs and International Development.

While addressing the signing ceremony, Mustafayev stressed the importance of high-level political relationships between Azerbaijan and France and noted the contribution of mutual visits by the heads of the states.

The sides emphasized that establishment of Azerbaijani Culture Center in France and AzerbaijanFrance Intergovernmental Economic Commission positively contributes to the expansion of relations.

Highlighting the significance of continuing cooperation between the two countries, the minister stressed that the inter-regional cooperation is one of the important directions of French-Azerbaijani cooperation.

Mustafayev further mentioned that the International Wine and Winegrowing Festivals held in Ganja played an important role in expansion of ties between businessmen of the two countries and exchange of experiences in winegrowing sector, which is one of the high export-potential non-oil sectors.

Moreover, the parties emphasized the importance of expanding cooperation on personnel training in various directions.

Baku and Paris enjoy a common interest in developing the collaboration and partnership in economy, as the bilateral ties rely on strong political ties.

The French companies invested about $2.4 billion in Azerbaijan's economy, while over 40 companies with French capital operate in Azerbaijan. French companies are also involved in projects implemented by public investment.

Bulk of French investments, surely falls to share of the oil and gas industry. However, given the priority to diversify the economy, Azerbaijan wants to see more investment in other sectors of the economy.

Trade turnover between Azerbaijan and France amounted to $557.1 million in January-October 2016, $430.3 million of which accounts for exports to France, according to Azerbaijan’s State Customs Committee.