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Thursday, July 2, 2026

Azerbaijan Receives €200 Million from EU for Investment and Connectivity Boost

European Commission President Ursula von der Leyen has committed the European Union to providing up to €200 million in grants to Azerbaijan. This funding aims to bolster transport, energy, and digital infrastructure projects in the country, with the expectation that it will catalyze up to €2 billion in public and private investments. The announcement was made during von der Leyen’s visit to Baku, where she met with Azerbaijani President Ilham Aliyev to discuss various collaborative efforts, including energy cooperation and regional connectivity.

In addition to the grants, von der Leyen proposed a new connectivity partnership between the EU and Azerbaijan, underscoring the importance of strategic ties in the region. President Aliyev highlighted the success of the 2022 energy agreement with the EU, noting that Azerbaijani gas exports to EU member states have surged by approximately 65%, with 10 European countries now receiving gas supplies from Azerbaijan.

Further enhancing the EU’s support for Azerbaijan, von der Leyen announced a €20 million program designed to assist border communities. This initiative will focus on improving healthcare services, facilitating mine clearance, promoting rural development, and providing aid to small businesses in the region.

Von der Leyen’s visit to the South Caucasus includes plans to hold talks in Armenia, as she continues her diplomatic efforts in the region. Her discussions with President Aliyev also touched on the peace process between Armenia and Azerbaijan, highlighting the EU’s role in fostering regional stability and cooperation.

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