Nakhchivan on the Threshold of a Renaissance: Centuries-Old Isolation Transforms into the Region's Main Advantage

The ancient land of Nakhchivan has never in its modern history had such opportunities for development as it does today. The region, which suffered for decades from its geographical position, is gaining the opportunity to turn it into its main advantage, writes the newspaper "Kaspi."

For decades, geography was the main constraint on the autonomous republic. Separated from the main territory of Azerbaijan and finding itself in conditions of transport isolation as a result of the Armenian-Azerbaijani conflict, Nakhchivan was forced to develop in virtual isolation, as an economic enclave. But today, the very same geography that created problems for decades may turn into its main advantage.

Following the restoration of Azerbaijan's territorial integrity and the agreements reached in Washington, the transport map of the South Caucasus is fundamentally changing. The opening of communications between the main territory of Azerbaijan and Nakhchivan is capable of transforming the autonomous republic into a crucial transit hub between Azerbaijan, Turkey, Armenia, and Iran, and on a broader scale — between Central Asia, the Caspian, and Europe.

Nakhchivan has found itself at the intersection of several promising directions at once. Overland communication between the main territory of Azerbaijan and Turkey may pass through it. At the same time, the Araz corridor through Iranian territory is being developed. In a broader context, these communications may become an additional link in the Middle Corridor connecting China and Central Asia with European markets.

As a result, Nakhchivan gains the opportunity to realize its full rich potential. This is precisely why the changes taking place today are capable of gradually transforming the very economic profile of the region.

A new stage in the economy

Traditionally, the region's economy relied on agriculture, the food industry, construction materials production, trade, and government investment. In the new situation, logistics, export-oriented production, energy, and tourism may be added to these.

Special opportunities are opening up in the energy sector. Nakhchivan possesses significant potential in solar energy production, and Azerbaijan has already begun turning this advantage into a separate direction for the development of the autonomy. During a recent visit to Nakhchivan, President Ilham Aliyev familiarized himself with the construction of the "Shams-1" and "Garbi Ufug" solar power plants, since it is precisely the development of electricity generation that is capable of ensuring Nakhchivan's transformation into a green energy zone.

On the other hand, the development of industrial zones opens additional opportunities for attracting investment. The Sharur Industrial Quarter has already been established in Nakhchivan, designed to accommodate small and medium enterprises in the non-oil sector, where the creation of necessary infrastructure continues. A more ambitious project is the Nakhchivan Industrial Park