AZERBAIJAN SIGNALS EASTWARD TILT WITH PRESIDENTIAL VISIT TO JAPAN
By Fariz Ismailzade
Eurasia Daily Monitor, DC
March 13 2006
President Ilham Aliyev’s official visit to Japan on March 8 marks
another milestone in Azerbaijan’s slow re-orientation toward Asia.
During the visit, he met with Japanese Emperor Akihito, Prime Minister
Junichiro Koizumi, Foreign Minister Taro Aso, and the head of the
Japanese International Development Agency (ANS TV, March 8).
Aliyev and Koizumi signed several agreements to expand bilateral
cooperation.
Aliyev delivered a keynote speech at the Japanese Institute for
International Relations and attended a business forum that hosted
more than 150 businessmen from both countries (Echo, March 8).
Hosting business forums in conjunction with President Aliyev’s visits
abroad has become a regular event, which shows his strong commitment
to developing economic ties with foreign countries and attracting
new investment to Azerbaijan.
The business agenda for Aliyev’s visit is particularly noteworthy. It
included presidential meetings with the heads of several large Japanese
companies, including Itochu and Inpex, as well as with members of
the Japanese-Azerbaijani Parliamentary Friendship Society.
The growing Japanese demand for energy makes Tokyo a reliable and
eager partner of Azerbaijan, which is increasing its oil production
year-by-year. At the same time, the development of infrastructure in
Azerbaijan requires technical assistance from abroad. During the visit,
Azerbaijan and Japan signed an agreement on the provision of technical
assistance to Azerbaijan by the Japanese government (Trend, March 7).
One of the key goals of President Aliyev’s visit was to draw more
Japanese investments into the Azerbaijani economy, particularly
sectors other than oil. Speaking at the Business Forum in Tokyo,
Aliyev said, “We have a very good investment climate. Azerbaijan
highly values direct foreign investments. We have received a great
deal of assistance from Japan in the past. But now, the time for
real, active cooperation has come” (Xalq Qazeti, March 12). During
his meeting with President Aliyev, Prime Minister Koizumi also noted
the friendly nature of bilateral relations and stressed that Japan
was looking for reliable a partner in the region (Sherg, March 11).
Japanese businesses have already invested more than $844 million
in Azerbaijan, primarily in the oil sector. Mitsui and Mitsubishi
provided Azerbaijan with loans up to $274 million for construction of
the “Severnaya” power generation plant in the vicinity of Azerbaijan’s
capital, Baku. The plant came online in early 2003.
Altogether, Japan’s overall assistance to Azerbaijan through various
organizations has reached $694 million, including $74 million in grants
(Turan, March 6).
Japan has been particularly keen on funding the construction and
repair of new public schools in Azerbaijan and providing educational
opportunities for the country’s youth. For his efforts to promote
education in Azerbaijan, former Japanese ambassador to Azerbaijan
Toshiyuki Fujiwara was awarded with the highest state prize ever given
to a foreign ambassador, the Order of Honor, and ANS Media Group
named him “Man of the Year.” Azerbaijan has opened a department of
Japanese language at Baku State University, where more than 40 students
currently study. Aliyev also hopes to draw the Japanese government’s
attention to the plight of internally displaced persons in Azerbaijan,
a population that receives less and less humanitarian assistance each
year. Japan is traditionally one of the largest humanitarian donors
around the world.
With Western countries and organizations pressing Aliyev regarding
democratization, the Azerbaijani president feels much more comfortable
with the less-demanding Eastern partners. Thus, the development of
relations with the Middle Eastern countries as well as with China,
Japan, and Pakistan are seen as priorities. Although Azerbaijani
foreign policy officials continue to claim that the country is pursuing
a balanced foreign policy, a strong bias toward Asia is evident.
Azerbaijan also hopes that Japan will support its case regarding
the ongoing Karabakh conflict with Armenia. Baku is prepared to
support Japan’s nomination to the UN Security Council in exchange
for help with Karabakh. Lider TV reported on March 8 that President
Aliyev had devoted much of his speech at the Japanese Institute for
International Relations to the Karabakh conflict. Koizumi confirmed
Japan’s recognition of Azerbaijan’s territorial integrity during his
private talks with Aliyev (Sherg, March 11).
Ties between Japan and Azerbaijan are increasing markedly. First
established in 1992, bilateral relations skyrocketed following former
president Heydar Aliyev’s visit to Japan in 1998. Baku subsequently
negotiated with Japanese companies to secure their involvement in
the Ateshgeh, Mugandeniz, and Yanan Tava Caspian oil fields (Zerkalo,
March 8). Azerbaijan recently opened a new embassy in Tokyo.
At the moment, Azerbaijani-Japanese trade is nearly $70.6 million, yet
much of it ($52.3 million) comes from imports of Japanese products into
Azerbaijan, such as steel pipes, electric appliances, transmissions,
spare parts, and telecommunication materials.
Azerbaijan exports alcohol, carpets, plastic, and textiles.
The visit should open new opportunities for bilateral cooperation.
Novruz Mammadov, head of the International Relations Department within
Aliyev’s office, told Trend News Agency on March 7, “The visit carries
a very important nature, both from the side of inter-governmental
and also inter-parliamentary relations. The purpose of the visit is
to deepen these relations in all spheres.”