Turkey-Azerbaijan Relations: The Economic Dimension

Economic ties play a special role in Turkish-Azerbaijani relations. Since the launch of bilateral ties over two decades ago, the two countries have deepened their economic partnership through bilateral trade, joint energy projects, and foreign direct investments, adding a solid foundation to their multi-faceted strategic cooperation. This article examines these dynamics, putting forward the argument that the patterns of mutual trade and investment have evolved parallel to two complementary processes of change: a) economic conditions in the two countries and b) the broader strategic context within which they operate. It also examines the ways in which, during recent years, investment flows have been the main engine of economic cooperation between Ankara and Baku, consolidating mutual interdependence at a strategic level