Akademik Məlumat İdarəetmə Sistemi
Azərbaycanda iqtisadi islahatların həyata keçirilməsi xüsusiyyətləri və problemləri, vol.2, no.24, pp.168-178, 2025 (Peer-Reviewed Journal)
The global economy is undergoing a profound transformation driven by the swift progress in artificial
intelligence (AI), machine learning, and digital technologies (Schwab, 2017). This shift is marked by
increasing automation, data-driven decision-making, and the integration of "smart systems" across various
sectors, leading to higher productivity and the emergence of new business models. Countries that adapt
flexibly to these changes achieve greater competitiveness and sustainable development opportunities
(Sachs, 2015).
For Azerbaijan, the need for economic diversification is evident, given its heavy dependence on
hydrocarbon revenues. Global demand for oil remains unstable, with sharp fluctuations in energy prices,
compounded by international geopolitical tensions and climate change challenges (Mammadov, 2025).
The traditional economic structure, primarily based on oil and gas exports, is insufficient for long-term
stability. In this context, AI technologies can be viewed as a key opportunity to accelerate Azerbaijan's
industrial and technological development stages (Trajtenberg, 2018).
AI technologies enable the optimization of industrial processes (through predictive maintenance and more
efficient resource allocation), improve governance efficiency (via automated administrative mechanisms
and enhanced policy analysis), make financial services more accessible and inclusive (thanks to
personalized banking and fintech solutions), and strengthen financial systems (with advanced forecasting
and fraud detection methods) (Goldfarb, 2018). Additionally, AI supports education development,
promotes innovative entrepreneurship (by reducing market entry barriers for startups), and leverages
Azerbaijan's geostrategic position to become a regional digital hub.
This article examines the significance of AI-based reforms, drawing on approaches from international and
local researchers, and presents a multi-stage roadmap to ensure their realistic, ethical, and inclusive
implementation (Mammadov, 2025).
A pivotal event in this context is the approval of the "Artificial Intelligence Strategy of the Republic of
Azerbaijan for 2025–2028" by President Ilham Aliyev in March 2025 (Aliyev, 2025). This strategy
demonstrates the state's commitment to utilizing AI for national development goals. Its main objectives
include accelerating AI development, supporting scientific research, improving information infrastructure,
and forming an innovative, secure, and inclusive AI ecosystem. Priorities encompass enhancing economic
competitiveness, creating a favorable environment for AI adoption, advancing education and research,
strengthening the legal framework, promoting public-private partnerships, and raising public awareness
(Digital Watch Observatory, 2025). The strategy also focuses on ethical AI applications, shared
infrastructure creation, and international cooperation, aiming to solidify Azerbaijan's position in the global
digital economy.