Arab Coordination Group and Azerbaijan Deepen Strategic Partnership for Sustainable Development

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In BAKU, Azerbaijan, a new chapter in Arab-Azerbaijani cooperation unfolded in Baku this week, as the Arab Coordination Group (ACG) and the Government of Azerbaijan convened a high-level roundtable to strengthen ties in infrastructure, clean energy, digital connectivity and transport; sectors central to Azerbaijan’s long-term national vision, Azerbaijan 2030: National Priorities for Socio-Economic Development.

Hosted by H.E. Mikayil Jabbarov, Azerbaijan’s Minister of Economy, the meeting gathered the heads of key Arab development institutions, including the Islamic Development Bank (IsDB), Abu Dhabi Fund for Development (ADFD), Kuwait Fund for Arab Economic Development (KFAED), OPEC Fund for International Development, and the Saudi Fund for Development (SFD).

Together, these leaders explored how strategic investments can help Azerbaijan accelerate its transition toward sustainable growth and greater regional connectivity. Representatives from multiple Azerbaijani ministries, including those responsible for water, roads, transport and digital infrastructure, presented project proposals aimed at diversifying the economy and boosting resilience in the face of global challenges.

The roundtable’s outcomes extend far beyond economics. By targeting sectors such as water management and transportation, the initiative promises to touch the lives of ordinary Azerbaijani families. Improving rural livelihoods and job opportunities, enhancing urban mobility and energy access.

In a region often shaped by historical trade routes and shared cultural ties, this partnership underscores a revival of interregional cooperation. The collaboration blends Arab financial expertise with Azerbaijan’s strategic geographic position, linking the Middle East, the Caucasus, and Central Asia in a renewed vision for sustainable prosperity.

The signing of a Statement of Intent between the Ministry of Economy and ACG institutions formalized a framework for identifying and financing high-priority infrastructure projects. This agreement reflects a broader political and economic trend: emerging economies turning to regional alliances to secure stability and shared growth in an era of global uncertainty. The deal reinforces its role as a hub for East-West connectivity and energy diversification to Azerbaijan. While for the ACG members, it demonstrates a deepening commitment to sustainable, inclusive development that aligns with global climate and digital transformation agendas.

Established in 1975, the Arab Coordination Group has provided over 13,000 development loans to more than 160 countries, positioning it among the world’s leading collective financiers of development. Its work bridges economies and cultures, promoting a model of partnership rooted in solidarity and shared benefit. Principles that resonate strongly in today’s interconnected world.

As ACG and Azerbaijan move forward, the partnership is poised to influence economic outcomes, the social and human dimensions of development; and building resilience, empowering communities, strengthen cultural and political ties across regions.

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