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AZERBAIJAN

Since June 2005

Pillar Telecom infrastructure & competition  |  Indicator Licensing restrictions to operate in the telecom market
Law of the Republic of Azerbaijan on Telecommunications (Telekommunikasiya haqqında Azərbaycan Respublikasının Qanunu)
Under the Law on Telecommunications, Art. 6 grants the state authority over telecommunications regulation, including licensing, which Art. 8 requires to be carried out under Azerbaijani law. Pursuant to Art. 39, operators and service providers are required, in accordance with statutory provisions, to establish conditions facilitating operational-search, intelligence, and counter-intelligence activities. This obligation encompasses the installation of supplementary technical equipment within telecommunications networks, and the maintenance of confidentiality regarding the methods employed in such measures, as stipulated by the competent executive authority.
The application forms for licences for telecommunications services must include the technical conditions relating to specialised equipment intended for the acquisition of information from telecommunications and other communication networks. These conditions must be approved by the Ministry of National Security for the purpose of safeguarding national security. In accordance with these technical conditions, applicants must also provide a warranty concerning the supply of specialised equipment that enables the acquisition of information, from the standpoint of national security, across all types of communication systems that are designed, installed and operated within the public telecommunications network, except for networks owned by institutions or enterprises that do not have access to the public telecommunications network. These requirements apply to services such as IP telephony (Internet telephony), data transfer, fixed-line telephony, radiotrunk and wireless telephony, the organisation of national and international telecommunication channels, and cellular mobile services with specification of the technological standard.
Coverage Telecommunications sector

AZERBAIJAN

Since December 2021, entry into force in February 2022

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Indicator Maximum foreign equity share
Law of the Republic of Azerbaijan on Media (Media haqqında Azərbaycan Respublikasının Qanunu)
Pursuant to Art. 26 of the Law on Media, where the founder of a media entity, including online platforms, is a natural person, this person must be a citizen of Azerbaijan who is permanently resident within the country. In cases where the founder is a legal entity, at least 75% of its authorised capital must be owned by a citizen or citizens of Azerbaijan permanently residing therein and/or by a legal entity or entities duly registered in the country.
Coverage Media sector

AZERBAIJAN

Reported in 2022, last reported in 2024

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Indicator Maximum foreign equity share
Reported foreign ownership cap
It is reported that Azerbaijani legislation requires the state to retain a controlling interest in enterprises operating within the satellite communications sector, thereby restricting foreign and domestic private ownership to no more than 49% of equity in such companies. The specific statutory provision establishing this requirement has not been located.
Coverage Satellite communications sector

AZERBAIJAN

Since July 1997

Pillar Intellectual Property Rights (IPRs)  |  Indicator Practical or legal restrictions related to the application process for patents
Law No. 312-IQ on Patents (25 iyul 1997-ci il tarixli No. 312-IQ nömrəli Patent haqqında Azərbaycan Respublikasının Qanunu)
Article 27.2 of the Law on Patents stipulates that foreign legal and natural persons shall file their applications with the authority designated by the relevant executive body exclusively through patent attorneys registered with that authority, unless otherwise provided for in international treaties to which Azerbaijan is a party.
Coverage Horizontal

AZERBAIJAN

Since July 1997
Since November 2019

Pillar Intellectual Property Rights (IPRs)  |  Indicator Practical or legal restrictions related to the application process for patents
Law No. 312-IQ on Patents (25 iyul 1997-ci il tarixli No. 312-IQ nömrəli Patent haqqında Azərbaycan Respublikasının Qanunu)

Resolution No. 437 of the Cabinet of Ministers of the Republic of Azerbaijan: On the approval of the “Requirements relating to the patent application claims document” (Azərbaycan Respublikası Nazirlər Kabinetinin Qərarı No. 437: “Patentin alınması barədə iddia sənədinə aid Tələblər”in təsdiq edilməsi haqqında)
Art. 27.7 of the Law on Patents stipulates that applications for a patent must be prepared in the Azerbaijani language. Other components of the application file may be submitted either in Azerbaijani or in another language. Where any part of the application file is submitted in a language other than Azerbaijani, a translation into Azerbaijani must be provided within two months from the date of filing. All correspondence relating to the application shall be conducted in Azerbaijani.
Section 1.18 of the “Requirements relating to the patent application claims document” stipulates that the claims and abstract of an invention or utility model must be prepared in both Azerbaijani and Russian.
Coverage Horizontal

AZERBAIJAN

Since July 1997

Pillar Intellectual Property Rights (IPRs)  |  Indicator Practical or legal restrictions related to the enforcement of patents
Law No. 312-IQ on Patents (25 iyul 1997-ci il tarixli No. 312-IQ nömrəli Patent haqqında Azərbaycan Respublikasının Qanunu)
Art. 18 of the Law on Patents stipulates that, in order to safeguard national security interests, the competent executive authority may authorise the use of a patent relating to an invention, utility model, or industrial design without the consent of the patent holder. In such circumstances, the patent holder is entitled to receive appropriate compensation. Should the patent holder dispute the amount of compensation awarded, they may challenge the decision through administrative procedures or before the courts.
Coverage Horizontal

AZERBAIJAN

Since December 1995

Pillar Intellectual Property Rights (IPRs)  |  Indicator Participation in the Patent Cooperation Treaty (PCT)
Patent Cooperation Treaty (PCT)
Azerbaijan is a party to the Patent Cooperation Treaty (PCT).
Coverage Horizontal

AZERBAIJAN

Since June 1996

Pillar Intellectual Property Rights (IPRs)  |  Indicator Copyright law with clear exceptions
Law No. 115-IQ of 5 June 1996, on Copyright and Related Rights (5 iyun 1996-cı il tarixli No. 115-IQ nömrəli Müəlliflik Hüququ və Əlaqəli Hüquqlar Haqqında Azərbaycan Respublikasının Qanunu)
Azerbaijan’s copyright framework is established under Law No. 115‑IQ; however, the statutory exceptions it provides do not conform to the fair use or fair dealing models, thereby limiting the lawful use of copyrighted works by third parties. The relevant exceptions are dispersed across various provisions of the Law, including Art. 18, which concerns the reprographic reproduction of works by libraries, archives, and educational institutions; Art. 19, which regulates the use of works for informational, scientific, educational, and other related purposes; Art. 20, which provides for the use of works permanently located in public spaces; Art. 23, which pertains to ephemeral, short‑term recordings made by broadcasting organisations; and Art. 24, which addresses the reproduction of computer software and databases, as well as the decompilation of computer programs.
Coverage Horizontal

AZERBAIJAN

Reported in 2022, last reported in 2025

Pillar Intellectual Property Rights (IPRs)  |  Indicator Enforcement of copyright online
Reported limitations in copyright enforcement
It is reported that copyright enforcement is weak in Azerbaijan. Although Azerbaijani law protects copyrights, the use of unlicensed software by both the private and public sectors is commonplace. In 2022, the Copyright Agency of Azerbaijan reported a 71% software piracy rate.
Coverage Horizontal

AZERBAIJAN

Since 2006

Pillar Intellectual Property Rights (IPRs)  |  Indicator Adoption of the WIPO Copyright Treaty
WIPO Copyright Treaty
Azerbaijan has adopted the World Intellectual Property Organization (WIPO) Copyright Treaty.
Coverage Horizontal

AZERBAIJAN

Since 2006

Pillar Intellectual Property Rights (IPRs)  |  Indicator Adoption of the WIPO Performances and Phonograms Treaty
WIPO Performances and Phonograms Treaty
Azerbaijan has adopted the World Intellectual Property Organization (WIPO) Performances and Phonograms Treaty.
Coverage Horizontal

AZERBAIJAN

N/A

Pillar Tariffs and trade defence measures applied on ICT goods  |  Indicator Participation in the WTO Information Technology Agreement (ITA) and 2015 expansion (ITA II)
Lack of participation in the Information Technology Agreement (ITA) and in ITA Expansion Agreement (ITA II)
Azerbaijan is not a signatory of the 1996 World Trade Organization (WTO) Information Technology Agreement (ITA) nor the 2015 expansion (ITA II). In fact, the country is an observer and not a full member of the WTO.
Coverage ICT goods

AZERBAIJAN

Since July 2023, entry into force in January 2024
Since December 2001, until January 2024

Pillar Public procurement of ICT goods and online services  |  Indicator Other limitations on foreign participation in public procurement
Law of the Republic of Azerbaijan on Public Procurement No. 988‑VIQ (Dövlət satınalmaları haqqında Azərbaycan Respublikasının Qanunu No. 988‑VIQ)

Law of the Republic of Azerbaijan on Public Procurement No. 245‑IIQ (Dövlət satınalmaları haqqında Azərbaycan Respublikasının Qanunu No. 245‑IIQ)
Art. 33.13 of the Law on Public Procurement stipulates that, when evaluating bids, the procurement commission shall apply a procurement preference of up to 20% in favour of bids offering procurement items of local origin, and the application of this preference must be recorded in the final protocol. This preference also extends to goods for which any stage of the production process is carried out within the territory of the Republic of Azerbaijan.
A similar provision establishing a domestic preference was contained in Art. 36.9 of the previous Public Procurement Law.
Coverage Horizontal

AZERBAIJAN

Since July 2023, entry into force in January 2024

Pillar Public procurement of ICT goods and online services  |  Indicator Other limitations on foreign participation in public procurement
Law of the Republic of Azerbaijan on Public Procurement No. 988‑VIQ (Dövlət satınalmaları haqqında Azərbaycan Respublikasının Qanunu No. 988‑VIQ)
Art. 38.10 of the Law on Public Procurement stipulates that the successful supplier may enter into subcontract agreements for the provision of services where permitted by the bidding documents. The aggregate value of such subcontract agreements may not exceed 50% of the total value of the procurement contract and at least 20% of the total value of all subcontracted work must be allocated to micro, small, or medium‑sized business entities registered in the Republic of Azerbaijan.
Coverage Horizontal

AZERBAIJAN

Since July 2023, entry into force in January 2024
Since December 2001, as amended in December 2018, until January 2024

Pillar Public procurement of ICT goods and online services  |  Indicator Other limitations on foreign participation in public procurement
Law of the Republic of Azerbaijan on Public Procurement No. 988‑VIQ (Dövlət satınalmaları haqqında Azərbaycan Respublikasının Qanunu No. 988‑VIQ)

Law of the Republic of Azerbaijan on Public Procurement No. 245‑IIQ (Dövlət satınalmaları haqqında Azərbaycan Respublikasının Qanunu No. 245‑IIQ)
Art. 48 of the Law on Public Procurement provides that the contracting authority may employ the request‑for‑quotations procedure for the procurement of items that have an existing and readily accessible market. Depending on the estimated contract value, this procedure must be conducted among specific categories of suppliers, and only their bids may be considered. Where the estimated value does not exceed 30,000 manats (approx. USD 17.600), participation is limited to suppliers classified as micro or small business entities. Where the estimated value ranges from 30,000 to 100,000 manats (approx. USD 58.800), suppliers classified as micro, small, or medium‑sized business entities may participate.
Art. 50‑1 of the previous Public Procurement Law likewise imposed mandatory participation requirements for micro, small, and medium‑sized enterprises in public procurement procedures.
Coverage Horizontal

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