Azerbaijan to create powerful defense industry in 2007 – Aliyev

ITAR-TASS News Agency, Russia
January 23, 2007 Tuesday

Azerbaijan will create "a powerful defense industry" this year.
"This year’s budget envisions considerable funds to strengthen
the material-technological basis of the industry, which have to be
used effectively," Azerbaijani President Ilkham Aliyev said at a
behind-closed-dollars Cabinet meeting on Monday.

The text of the president’s speech was carried by official Baku
sources.

"It’s no secret that we buy equipment and armaments to strengthen
the army; and we’ll continue to do so," he said.

But Azerbaijan has to launch its own production of military
equipment. "One has to invest money in it. We must develop the
defense sector to support ourselves; and we’ll score a success in
this direction," the head of state underlined.

Azerbaijan’s defense spending in 2007 will reach one billion dollars;
and the figure will increase in the future, according to him.

The growing economic potential of the country, and the strengthening of
its army, together with diplomatic activity and Azerbaijan’s growing
role in the sphere of ensuring energy security "strengthens the
country’s positions, creating excellent opportunities for resolving
the Karabakh conflict," the president said.

Aliyev urged Armenia to unconditionally withdraw from the occupied
territories of Azerbaijan, underlining that in this case it would be
possible to resolve the Karabakh conflict.

In his opinion, the year 2006 yielded no practical results in the
settlement of the problem."

At the same time, Aliyev underlined that "the Azerbaijani side is
committed to the process of negotiations" and that "the Prague process
is an acceptable format for them."

He is convinced that this format is capable of ensuring Azerbaijan’s
interests and the restoration of justice.

"The territorial integrity of Azerbaijan has never been and never
will be a subject of discussions," Aliyev stated.