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  • 2024-10-23

The Socioeconomic Consequences of Prolonged Closure of Azerbaijan’s Land and Sea Borders

By Gubad Ibadoghlu, a senior policy analyst at the Economic Research Center

Abstract
Since March 2020, Azerbaijan has maintained the closure of its land borders with Russia, Iran, and Georgia. While initially framed as a response to the global pandemic, this decision carries profound and lasting implications. Although the government may perceive political benefits, the broader public continues to bear the economic costs. The direct and indirect consequences of these closures are substantial and warrant thorough examination. This article aims to explore the complex social and economic repercussions—both immediate and long-term—resulting from the prolonged closure of Azerbaijan’s land and sea borders.

Keywords: Azerbaijan-Georgia border, Azerbaijan-Russia border, Azerbaijan-Iran border, regional economy, cross-border trade, cross-border regional economy, transportation, tourism, unemployment, immigration, inflation

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Economic Research Centre (ERC) is a policy research oriented think tank established in 1999. The Center is conducting regular research on macro-economic policy, including conceptual definitions, calculation, and modeling of alternative macro-economic indicators.

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