AGP Executive Report

German Spy Scandal: Germany arrested former BND chief August Hanning and a senior colleague over alleged espionage and treason, with reports saying some classified material was linked to Azerbaijan. Azerbaijan-UK Economic Push: In Baku, Economy Minister Mikayil Jabbarov and UK Trade Minister Anas Sarwar discussed expanding trade, investment, and digital cooperation, while the 8th Azerbaijan-UK Joint Intergovernmental Commission also signed documents on green energy, transport connectivity, and urban mobility. Digital Transformation: Finance Minister Sahil Babayev met DCO Secretary-General Deemah AlYahya to discuss financing for AI, innovation, cybersecurity, and reforms to digitalize public finance. Regional Connectivity: A World Bank-linked assessment highlights the Middle Corridor’s potential—up to $55bn needed by 2040 and major freight and travel-time gains—while stressing border and coordination bottlenecks. Security Cooperation: Azerbaijan, Türkiye, and Uzbekistan carried out the “Eternal Brotherhood – V” special forces exercise, focusing on interoperability and counter-terror drills. Sports & Culture: Judo at the Baku World Championships saw French medalist Sarah-Léonie Cysique hospitalized after a head landing; meanwhile, Baku’s Sea Breeze signed for a new CineMastercard multiplex. Human Rights Watch: PNFA activist Anar Guseynov was detained in Baku, according to his party.

Energy & Infrastructure: AzerEnerji is building three new hydropower plants in Lachin—Seyidlar (4.59 MW), Bulovlu (3.16 MW) and Gosasu (2.93 MW)—adding 10.7 MW as turbines and generators are installed, with commissioning expected soon. Middle Corridor & Digital Connectivity: Kazakhstan-Azerbaijan Trans-Caspian fiber-optic cable is set to go live in October, with 390 km already laid between Sumgayit and Aktau. Trade & Logistics: Alat Free Economic Zone’s cargo airport is expected to open by late March/early April 2027, starting with 500,000 tons annually and scaling to at least 2 million. Diplomacy & Regional Peace: Jeyhun Bayramov and U.S. Secretary of State Marco Rubio discussed Armenia-Azerbaijan normalization and regional peace efforts, while Nikol Pashinyan said TRIPP will reshape the South Caucasus economy. Economy Watch: The World Bank cut Azerbaijan’s 2026 growth forecast to 1.2%, and PASHA’s Elman Eminov said inflation stays around 6% despite a current account surplus. Security & Humanitarian: A Geneva exhibition highlights Armenia’s mine warfare against Azerbaijan, calling for a “Mine-Free World.” Sports: Azerbaijan hosted the World Judo Championships in Baku, with local judoka competing on day three.

World Judo Championships in Baku: Azerbaijan hosted the opening ceremony of the 2026 World Judo Championships, with President Ilham Aliyev attending as the event brings 622 fighters from 93 countries to the National Gymnastics Arena. Judo Highlights: Uta Abe won gold in -52 kg and her brother Hifumi Abe took -66 kg, delivering a standout “Abe siblings” double for Japan; Ariane Toro Soler claimed a sixth world title in the women’s final after a tense bout. Black Sea Security Incident: A Saint Kitts and Nevis-flagged vessel was hit by drones in Romania’s exclusive economic zone; two sailors died and others were injured, including eight Azerbaijani crew members. Energy & Business: Gran Tierra said Azerbaijan’s Milli Majlis ratified its onshore Guba-Khazaryani exploration deal, while Hema Energy announced an Oman EPC partnership with Azerbaijan’s BBG Energy. Diplomacy & Digital Cooperation: Azerbaijan’s FM met the Digital Cooperation Organization to expand work on AI, the digital economy, and innovation. Culture & Sports Abroad: Azerbaijan showcased music in South Korea and ashug heritage at Vietnam’s Cultures of the World festival.

Diplomacy & Economy: President Ilham Aliyev met newly appointed ambassadors of Malaysia and Austria, urging upgrades in economic cooperation across energy, investment and tourism. Regional Connectivity: Azerbaijan-backed digital trade reforms along the Trans-Caspian International Transport Route (TITR) are cutting cargo delivery times from 38 days to 13–17, with a target of 10–12 days. Agriculture & Industry: Azerbaijan plans a 230-hectare greenhouse zone in liberated territories using modern tech to boost higher-value output. Energy & Trade: Azerbaijan directed 75.3% of fixed capital investment to the non-oil and gas sector in 2025, underscoring a shift toward construction and installation in the wider economy. Culture: Ganja hosted the Fidan Hajiyeva International Opera Festival stage, while Baku is set to host the 6th Booktrailer International Film Festival and the CINEMO mobile film festival. Sports: Azerbaijan’s Ahmad Yusifov won gold at the World Judo Championships in Baku as Wakana Koga took women’s -48kg. Neighboring Borders: Georgia said border delimitation and demarcation with Azerbaijan and Armenia will continue in a friendly format.

Azerbaijan-EU Talks: Azerbaijan’s Deputy FM Yalchin Rafiyev met an EU COEST delegation in Baku to discuss a new partnership agreement, energy and transport connectivity, climate cooperation, and progress on the Armenia-Azerbaijan peace agenda. Football: Azerbaijan beat Lithuania 1-0 in the UEFA Nations League, with Abdulakh Khaybulaev scoring in the 25th minute; the win puts Azerbaijan top of the group. Armenia Border/Peace: Armenia denied claims about any positions near Berdavan being transferred to Azerbaijan, while Armenia’s PM Nikol Pashinyan said signing and ratifying the initialed peace deal remains a government priority. Regional Connectivity: Georgia’s PM Irakli Kobakhidze said the TRIPP route would complement the Middle Corridor, not compete with it, as freight demand grows. Defense & Industry: Bayraktar Teknoloji Azerbaijan unveiled the KASIRGA loitering munition at ADEX 2026, highlighting autonomous takeoff/landing and strike/recon roles. Human Rights Case: An Azerbaijani woman identified as Diana left Lahore for Baku under police escort amid an ongoing assault case.

Diplomacy & Peace Process: President Ilham Aliyev shared a video from the 8th Congress of the New Azerbaijan Party, reiterating his line that “there is no place for emotions in politics” and warning that without restraint a “third Victory Arch” could have been raised in Yerevan. Human Rights & Armenia-Azerbaijan: A German human rights coalition urged the Hessian Peace Prize committee to link any peace recognition for Armenia’s PM Nikol Pashinyan to concrete steps on displaced Armenians, hostages held in Baku, and protection of Armenian heritage in Nagorno-Karabakh. Regional Security: Azerbaijan, Türkiye and Uzbekistan held the “Power of Unity-2026” drills in Hojavend, rehearsing drone warfare, electronic attacks, border incidents and maritime operations with 3,500+ troops. Economy & Investment: SOFAZ and Brookfield signed a strategic partnership, with SOFAZ managing $72bn and the deal aimed at unlocking new regional investment platforms. Sports (Azerbaijan): Canada’s Taylor Ruck won silver (200m backstroke) and bronze (100m freestyle) at the World Aquatics Swimming World Cup in Baku. Sports (Global): Chaos hit the Bahrain GP in Malaysia as Lewis Hamilton’s car suffered a software issue during formation laps, while Max Verstappen took pole. Commemoration: Azerbaijan marked Jabrayil City Day, six years since the city’s liberation on Oct. 4, 2020. Finance: Central Bank data showed Azerbaijani banks’ deposits rising 37.5% to 46.053bn manats by Sept. 1, 2026.

Military Drills: Azerbaijan, Turkey and Uzbekistan staged “Power of Unity-2026” in Azerbaijan’s Hojavend, with 3,500 troops rehearsing drone swarms, electronic warfare, border incidents and sea operations. Regional Diplomacy: Azerbaijan’s MFA said FM Jeyhun Bayramov spoke by phone with Iran’s Abbas Araghchi on bilateral ties, regional security and cooperation. NATO Politics: Politico reports NATO plans for deeper cooperation with Armenia and Azerbaijan are stuck, blamed on a France–Turkey dispute inside the alliance. Sports in Baku: The World Aquatics Swimming World Cup wrapped up with Azerbaijan setting national records, while Canada’s Taylor Ruck won silver (200m backstroke) and bronze (100m freestyle). Economy & Finance: Central Bank data showed Azerbaijani banks’ deposits rising 37.5% and net foreign assets up to $19.1bn; M3 money supply grew 15.1% y/y. Public Safety: Azerbaijan’s Interior Ministry seized 68kg of drugs and detained suspects, including an Iranian citizen. Culture & Heritage: A kelaghayi exhibition opened in Ankara, and Dresden hosted a symposium on “Kitabi-Dede Gorgud.”

F1 & Sports: Max Verstappen grabbed pole for the Bahrain Grand Prix in Malaysia, edging Lewis Hamilton for a front-row battle as George Russell qualified eighth; meanwhile, Turan Tovuz play Fenerbahçe in a Baku friendly with proceeds going to the Karabakh Revival Fund, and Azerbaijan marks the 6th anniversary of the liberation of Sugovushan and Talysh. Great Return & Infrastructure: Under the Great Return program, 180 families (591 people) were relocated to Sugovushan, where housing, a renovated school, hydropower upgrades, and a new mosque support the return; Talish restoration also continues. Security & Diplomacy: Azerbaijan’s State Security Service warns that AI-powered cyberattacks are being run by foreign criminal networks, urging citizens to report suspicious messages. Energy & Economy: Azeri Light crude fell to $124.01 per barrel at Augusta port, while Sugovushan-1 and -2 generated 61.6 million kWh over five years after reconstruction. International Role: UN Secretary-General António Guterres appointed Azerbaijani Ramiz Alekperov as Assistant Secretary-General for Safety and Security starting January 2027. Politics & Regional Ties: Azerbaijan and Switzerland discussed bilateral cooperation and Armenia-Azerbaijan normalization, including humanitarian demining and connectivity.

Human Rights Watch: 46 imprisoned Azerbaijani activists, politicians, journalists and defenders urged international bodies to focus on the full pattern of politically motivated persecution, saying Azerbaijan has 328 political prisoners. Border & Security: Azerbaijan’s NSS clarified that only one serviceman (Nasimi Musayev) illegally crossed into Armenia; it rejected claims of multiple people or ongoing searches. Smuggling Crackdown: Georgia stopped an illegal shipment of cigarettes and undeclared medicines headed to Azerbaijan, worth over 1.06 million GEL. EU Engagement in Liberated Areas: EU Council COEST delegations visited Shusha, Khankendi and Aghdam, including mine-clearance briefings and reconstruction updates. Energy & Connectivity: Azerbaijan and the EU held a High-Level Energy Dialogue in Brussels, stressing gas supply security and clean-energy cooperation; Azerbaijan also said it supplied 12.8 bcm of gas to Europe last year. Sports & Culture: Mona McSharry won 100m breaststroke gold in Baku at the World Aquatics World Cup; Azerbaijan promoted tourism in Austria and opened Ski Center Baku, billed as the world’s second-largest indoor ski facility.

YAP Congress & Aliyev’s Message: President Ilham Aliyev opened the 8th Congress of the New Azerbaijan Party in Baku, saying Heydar Aliyev’s return to power was “the demand of the people,” stressing the National Leader’s course remains unchanged, and highlighting Azerbaijan’s growing international respect and role in energy security. Energy Markets: Azeri Light crude rose about 4.6% to $124.76 per barrel, with the 2026 state budget earlier calculated on a much lower average oil price. Defense & Regional Security: Azerbaijan, Türkiye and Georgia held a 13th trilateral defense meeting in Shusha, while Azerbaijan and Georgia discussed expanding joint military exercises; the “Power of Unity – 2026” drill also concluded. Diplomacy & Peace Process: Hikmet Hajiyev said peace with Armenia must be implemented in practice, not just “on paper,” and urged Armenia to prepare society for peace. Trade & Connectivity: Azerbaijan and Greece advanced customs cooperation talks in Athens, and Baku also pushed investment and joint project opportunities with Türkiye. Culture Abroad: Azerbaijan showcased carpet and fashion heritage at Paris Fashion Week, spotlighting cultural ties through contemporary design.

ADEX 2026 Defense Push: Azerbaijan showcased new domestically made assault rifles and drones at ADEX, while China displayed a J-10C fighter model in Azerbaijani markings amid reports of a potential export deal. Turkic States Security Industry: In Baku, OTS defense-industry heads backed a 2027 roadmap for joint projects, co-production and localization. EU and Regional Connectivity: Hikmet Hajiyev told EU officials Azerbaijan-EU ties are strategic, citing energy security and the Middle Corridor, plus a push toward a renewed partnership framework. Sports & Culture: World Aquatics President Al-Musallam met PM Ali Asadov ahead of the Baku stop of the Swimming World Cup; Moldova and Azerbaijan signed a five-year theater cooperation memorandum. Public Services & Transport: Azerbaijan Airlines took delivery of another Airbus A321neo; ADY will add four daily Baku–Tbilisi–Baku services from Nov 1 with lower fares. Safety & Tech: Emergency services warned about EV charger fire risks; Azerbaijan demonstrated its AI cyber threat platform Sangar. Regional Tensions: Armenia detained an Azerbaijani serviceman after a shooting in Syunik, while Azerbaijan opened a criminal case over a missing serviceman in the Lachin direction. Economy Snapshot: Azerbaijan’s exports to Luxembourg jumped 306-fold in Jan–Aug 2026.

ADEX-2026 Defense Push: Türkiye and Azerbaijan signed deals worth over $500M, including 14 Hürkuş-II trainer aircraft and defense systems, while ASELSAN moves toward a Nakhchivan production facility and Elbit Systems proposes localizing production in Azerbaijan. AI for Public Services: Azerbaijan’s Digital Development ministry and SpaceXAI signed an MoU to test Grok-based AI in government services, and SOFAZ with Brookfield inked an MoU to explore investment opportunities across Azerbaijan, the Caucasus and Central Asia. CICA Media Forum: In Baku, leaders stressed “Building Trust through Media,” with focus on media literacy, fighting disinformation, and strengthening CICA’s role in regional dialogue. Regional Security & Training: Unity Power-2026 included cyber and hybrid threat scenarios, while Azerbaijan, Georgia and Türkiye completed a mountain training course in Georgia. Sports & Culture: Baku hosted the World Aquatics Swimming World Cup, and Azerbaijan will send 21 U17 boxers to the European Championships in Montenegro. Diplomacy & Economy: Azerbaijan and Jordan agreed visa-free travel, Georgia plans to continue border delimitation with Azerbaijan, and a new SME investment/export promotion agency began operations.

ADEX-2026 Defense Push: President Ilham Aliyev told lawmakers that strengthening Azerbaijan’s defense capability is a priority, as the ADEX-2026 exhibition highlights expanding local production and international interest. Turkey Deals: Azerbaijan and Türkiye signed defense contracts worth over $500 million at ADEX-2026, including 14 HÜRKUŞ-II trainer aircraft and multiple systems from Turkish firms. Classified Info Agreements: Milli Majlis approved an accord with Slovakia on exchanging and protecting classified information, and also moved on visa-free cooperation with Jordan. Regional Diplomacy: Azerbaijan’s Deputy PM Shahin Mustafayev met senior Iranian officials in Tehran, including parliament and energy leaders, to advance joint projects. Energy Talks: Azerbaijan’s energy minister met Greece’s counterpart on gas supplies and energy transition, noting nearly 700 million cubic metres supplied to Greece in eight months. Public Health Incident: 50 people were poisoned at a wedding venue in Kurdamir; conditions range from moderate to severe. Sports & Culture: Azerbaijan’s table tennis players won medals in Tbilisi, while the Kurmukh church dispute with Georgia drew renewed attention to sovereignty and heritage coordination.

Great Return Update: More former IDP families are being relocated to liberated areas: 9 families (60 people) to Shukurbeyli in Jabrayil, 17 families (78) to Khojaly, and 16 families (55) to Khojavand, as Azerbaijan continues President Ilham Aliyev’s program. Defense & Security: President Aliyev visited ADEX 2026 and Securex Caspian in Baku, praising the international quality of Azerbaijan’s defense industry and stressing defense capability as a state priority. Digital Services: Azerigas is rolling out digital gas contract signing using SİMA via mygov and ASAN centers, cutting paperwork and visits. Education & Rights: Reports say hijabi students were turned away from school after new uniform rules, with students seen in tears. Energy Talks: Azerbaijan and Iran discussed joint projects and expanding cooperation, including electricity imports for the winter season and energy swaps. International Cooperation: Azerbaijan’s ASAN Service model is set to be introduced in the Dominican Republic, becoming the 53rd country to adopt it. Business & Trade: An Indian firm will build a $117.7m packaging plant in Alat FEZ with 60,000 tons annual capacity. Oil Prices: Azeri Light crude fell 3.49% to $118.22/bbl at Italy’s Augusta port. Sports Diplomacy: CIS sports cooperation meetings in Almaty covered preparations for upcoming CIS Games and the “Sports Capitals” program.

AIIB Hosting Bid: AIIB President Zou Jiayi praised Azerbaijan as a reliable partner and confirmed the bank’s 12th Annual Meeting will be held in Baku on July 14-15, 2027. Connectivity & Transport: Azerbaijan highlighted its transport and green-infrastructure push at AIIB events in Doha, while Iran’s President Masoud Pezeshkian told Azerbaijani officials that expanding rail and air links is key to deeper ties. EU Outreach: A European Commission delegation visited Nakhchivan, with talks focused on long-term cooperation and the role of corridors like Zangezur/TRIPP in boosting regional transit. Defense Diplomacy: At ADEX-2026, Azerbaijan’s defense chief met Belarus and Sudan counterparts on military-technical cooperation, while Slovakia said it will present a joint automated mortar system with Azerbaijan. Business & Industry: An Indian firm (UFlex) will build a $117.7m packaging plant in Alat FEZ, and Azerbaijan also discussed cooperation with Standard Chartered to deepen access to global finance. Humanitarian & Rights: An Azerbaijani NGO representative raised landmine risks and missing persons at the UN Human Rights Council in Geneva. Travel: St Kitts and Nevis signed a visa-waiver deal with Azerbaijan at UNGA, and Azerbaijan Airlines plans four weekly Brussels-Baku flights from May 2027. Russia Cash Curbs: Russia introduced a cap of 1 million rubles on cash exports to Azerbaijan and other states.

AIIB & Green Energy: Azerbaijan’s Economy Minister Mikayil Jabbarov says talks with the Asian Infrastructure Investment Bank focused on future cooperation, new projects, and a “green” electricity market concept. Sports Diplomacy: President Ilham Aliyev met FIFA chief Gianni Infantino, highlighting preparations for the first-ever FIFA U-15 World Cup & Festival in Azerbaijan and the FIFA U-20 World Cup 2027. Cyber Skills: Azerbaijan won its first-ever WorldSkills Shanghai 2026 cybersecurity “Medal of Excellence,” with a team scoring 702 points. Tech & Investment: ICT investment rose 49.4% to 320 million manats, while BSTDB disbursed €697.6m for projects in Azerbaijan. Education Rules: New school uniform amendments for state institutions effectively restrict headscarves, citing secular standards. Regional Trade: Turkey urged faster customs procedures and shorter border waits between Georgia, Azerbaijan and Türkiye. Health & Culture: Azerbaijan performed one heart transplant from a deceased donor in 2026 and premiered the “Harmony” documentary in Rome on religious tolerance. Safety & Society: 64 drowning deaths were recorded in non-beach areas this year, and a driver was injured after hitting an anti-tank mine in Shusha.