DOI kodi: 10.52340/ekonomisti.2026.03.02

Expanded Summary

Business tourism remains one of the most significant and economically efficient segments of the global tourism industry. Although its share in the total volume of tourist trips is considerably lower than that of leisure travel, business travelers generate a significant proportion of the revenues of hotels, airlines, exhibition centers, and other participants in the tourism market.

Following the sharp decline caused by the COVID-19 pandemic, the global business travel market has demonstrated steady recovery. According to the Global Business Travel Association (GBTA), global business travel spending reached approximately USD 1.48 trillion in 2024, exceeding the pre-pandemic level of 2019. According to the associations forecasts, if current trends continue, global business travel spending may exceed USD 2 trillion by 2028.

Today, major international organizations spend more than USD 1 million annually on business incentive travel for their employees. Business travel expenditures rank among the major categories of corporate spending, following taxes, human resources, information technology and communications, rent, and other expenses, thereby stimulating the rapid growth of the industry. The global leaders in the business tourism industry include the United States, Australia, France, the United Kingdom, Germany, Austria, and Spain in the West, as well as Japan, China, and South Korea in the East.

In Azerbaijan, as in many countries around the world, business tourism has gradually become one of the important areas of the tourism industry and is currently regarded as one of the factors contributing to economic development. This is facilitated by the expansion of international economic cooperation, the inflow of investment, the organization of international conferences, forums, and exhibitions, as well as the improvement of the necessary tourism and business infrastructure.

The prerequisites for the development of business tourism in Azerbaijan emerged as early as the Soviet period. Enterprises from various regions and Soviet republics undertook business trips aimed at exchanging production experience, studying advanced methods of organizing production, and expanding professional contacts. However, under the planned economy, the scale of such interaction remained limited, as the economic activities of enterprises were regulated by a centralized management system.

A new stage in the history of business tourism in Azerbaijan began after the country gained political independence in 1991 and transitioned to a market economy. An important role in this process was played by the signing of the “Contract of the Century” in 1994, which contributed to attracting foreign investment, expanding international economic cooperation, and increasing business activity.

The signing of the “Contract of the Century” marked the starting point for a large-scale influx of foreign oil and gas companies, investment institutions, and international financial organizations into Azerbaijan. This led to an increase in the number of business visits by representatives of foreign businesses, technical specialists, consultants, and investors. At the same time, the demand increased for high-standard hotels, modern conference halls, ransportation services, and other infrastructure components necessary for organizing business events.

Thus, the foundations of the modern business tourism system in the country were laid. In subsequent years, its development was influenced both by domestic economic transformations and by the expansion of Azerbaijans international relations.

For a more comprehensive assessment of the role of business tourism in the structure of inbound tourist flows, it is appropriate to examine the absolute indicators of tourist arrivals for the subsequent period. According to the State Statistical Committee of the Republic of Azerbaijan, 2.6 million foreign citizens visited the country in 2025. Of these, 1.8 million arrived for tourism purposes, including 1.1 million for leisure and recreation, 396.9 thousand for business purposes, and 20.1 thousand for medical treatment.

For a more comprehensive characterization of business tourism activity, it is appropriate to consider not only inbound but also outbound tourism. According to the State Statistical Committee of the Republic of Azerbaijan, in 2025, 2.1 million people departed the country. A total of 1.3 million people traveled abroad for tourism purposes, including 574.9 thousand for leisure and recreation, 277.6 thousand for business purposes, and 42.6 thousand for medical treatment.

Statistical indicators make it possible to determine the number of trips declared as business trips; nevertheless, they do not fully reflect all forms of business mobility, including short-term business trips, participation in negotiations, corporate events, and other types of professional activities. Therefore, the above indicators should primarily be regarded as a statistical characterization of registered business trips rather than as an exhaustive assessment of the countrys entire business tourism market.

Over the past decades, Azerbaijan has become one of the leading venues in the South Caucasus for major international political, economic, scientific, and industry-specific events. The regular organization of forums, summits, exhibitions, congresses, and conferences contributes to the development of international cooperation and the expansion of business contacts.

Baku plays a particularly prominent role in this process. In recent years, the city has strengthened its position as a venue for international-level events involving representatives of government bodies, businesses, international organizations, and the academic community. The organization of such events contributes to the development of business tourism, increased hotel occupancy, and the expansion of the citys congress and exhibition capacity.

The largest international event in recent years was the 29th Conference of the Parties to the United Nations Framework Convention on Climate Change (COP29), held in Baku from 11 to 22 November 2024. Of particular significance is the fact that COP29 was the first UN climate conference to be held in the post-Soviet space. Heads of state and government from more than 80 countries participated in COP29. According to official information from the organizers, the event was the largest international forum ever held in Azerbaijan, and the conference infrastructure was designed to accommodate approximately 80,000 participants. The organization of COP29 significantly increased hotel occupancy and the utilization of Bakus transport infrastructure and congress venues, demonstrating the country’s capacity to host world-class events.

The annual Baku Energy Week also plays an important role in the development of business tourism. In 2026, it was held from 1 to 3 June and brought together the Caspian Oil & Gas International Exhibition, Caspian Power, and the Baku Energy Forum. The international status of Baku Energy Week is confirmed by the broad geographical representation of its participants. In 2026, 274 companies from 44 countries participated in the event. In addition to Azerbaijan, exhibitors included companies from Europe, Asia, North America, and the Middle East.

Another significant event of international scale was the 13th session of the World Urban Forum (World Urban Forum — WUF13), held in Baku under the auspices of UN-Habitat from 17 to 22 May 2026. The total number of WUF13 participants exceeded 58,000 people from 176 countries, including at least 3,000 online participants. These figures made WUF13 the largest session in the forums 24-year history.

The examples presented above demonstrate that Azerbaijan is steadily strengthening its position as one of the leading centers for hosting international events in the South Caucasus. At the same time, a significant proportion of major international forums, exhibitions, congresses, and conferences are held in Baku, which effectively serves as the countrys primary venue for international-level events.

Despite the results achieved, the potential of business tourism in Azerbaijan has not yet been fully realized. Most major international business events are currently concentrated in Baku; however, opportunities for developing this area also exist in other cities of the country. In particular, Sumgait, as a major industrial center, has the potential to host industry meetings, business negotiations, and specialized events. Ganja, as a major regional and industrial center, also has certain opportunities, as do Mingachevir, which is associated with energy and industrial production, and Gabala and Sheki, which already possess tourism infrastructure and experience in hosting various events. The development of business travel in Gusar may also become a promising area, particularly given its tourism potential. More active involvement of the regions in business tourism would make it possible to expand the geographical coverage of events, reduce the concentration of business activity in the capital, and simultaneously stimulate the development of hotel, transport, and service infrastructure in the regions.

At the same time, further development of business tourism is associated not only with increasing the number of venues for events but also with improving their quality and functional capabilities. Equally important is improving the quality of services and training specialists capable of ensuring the organization of international-level events.

Particular attention should be paid to the development of the statistical and information base for business tourism. Official statistics make it possible to determine the number of registered business trips; however, they provide only a limited picture of the overall scale of the MICE market, the expenditure structure of business tourists, the duration of their stay, and the economic impact of international events.

Improving government policy in this area is also of great importance. Key priorities include the development of public-private partnership mechanisms, support for organizers of international exhibitions, forums, and congresses, improvement of the regulatory and legal framework, as well as the promotion of Azerbaijan and its regions as venues for business events.

Given Azerbaijans advantageous geographical location, developed transport infrastructure, expanding international cooperation, and accumulated experience in hosting world-class events, the country has significant potential for further development of business tourism. With continued government support and active private-sector participation, this segment can become one of the factors contributing to the diversification of the national economy, enhancement of the countrys international competitiveness, and further strengthening of its position in the business tourism market.