Dear Mr. Chairman, members of the Business Council, dear guests,
Ladies and gentlemen!
It is my pleasure and privilege to address you all at this Eighth Plenary Session of the CICA Business Council. Let me begin by expressing my gratitude to Mr. Mammadov, Chair of the Business Council Board, Chairman of the Management Board of KOBIA for his leadership not only in arranging this event, but in coordinating the work of this important CICA institution.
This event holds particular significance, as we began the first year of the Azerbaijani Chairmanship in CICA. Baku assumed this responsibility at a pivotal moment, when Asia is increasingly becoming the primary driver of global scientific and technological progress, and hence, of economic growth across the world.
Azerbaijan has centered its Chairmanship around the theme of “Stronger CICA, connectivity, digitalization and sustainable growth in Asia.” This compelling vision underscores the importance of enhanced cooperation among Member States to address shared challenges while moving towards a transformed CICA as a full-fledged international organization.
As Asia’s economic influence continues to grow on regional and global levels, the CICA economic dimension has never been more relevant in parallel with other significant dimensions – environmental, human, new challenges and threats, and military-political dimensions – that remain equally vital in ensuring peace, security, prosperity and sustainable development across our region.
We deeply appreciate Azerbaijan’s strong focus on small and medium enterprises, investment, business and trade. During our meeting with
Mr. Mammadov in February here in Baku, we discussed initiatives to support SME digitalization, transition to a green economy, and promote women’s entrepreneurship through the CICA Business Council. This advisory body, bringing together representatives from SME associations and government authorities, stands as a cornerstone in fulfilling these crucial economic objectives.
So, today I am glad to facilitate the discussions on ways to develop SMEs, which are the backbone of our economies, driving innovation, creating jobs and contributing to sustainable economic growth across Asia.
Ladies and gentlemen!
Today, we will hear our speakers explore key themes aimed at empowering SMEs in the CICA region, including digitalization, women’s entrepreneurship, and green transition. They will also touch on SMEs’ role in developing smart cities, cross-border trade and e-commerce, and SMEs’ engagement in global value chains. By addressing these challenges and leveraging SMEs’ opportunities in digitalization, green economy and cross-border trade, we can help them thrive in the evolving global landscape.
That being said, CICA Member States also face significant challenges that could be addressed through strategic cooperation and forward-thinking policies. Let me share my thoughts on some of the key challenges and opportunities to address them.
1. Facilitating Digitalization for SME Growth
Digital transformation is no longer an option but a necessity for SMEs. Challenges, such as limited access to technology and digital skills, are immense. But so are the opportunities offered by e-commerce and artificial intelligence.
Azerbaijan has put forward a series of noteworthy initiatives aimed at advancing confidence building measures in this area in 2025, including:
• Conference on implementation of knowledge sharing on digitalization of transport corridors among CICA Member States;
• Event on enhancing SME participation in trade: Facilitating market access through improved e-commerce;
2. Initiatives on the Development of Women Entrepreneurship
Empowering women entrepreneurs is not just a matter of equity, but seems to be a strategic imperative for sustainable economic growth across the CICA region. Azerbaijan, with its strong focus on inclusive economic development, has placed particular emphasis on this issue. The Chairmanship’s initiative to establish a CICA Women Council is a concrete step towards institutionalizing comprehensive cooperation and dialogue among Member States in this area, including through women’s meaningful participation in decision-making processes.
Aligning with the Chairmanship’s priorities, I would like to encourage seeking synergy between CICA’s advisory bodies, such as the Business Council and Youth Council. As young people are apparently the primary drivers of innovation and economic development of the future, I encourage CICA Member States to pay special attention to youth entrepreneurship.
In this regard, the Partnership Network of Leading Universities could be used to unleash the potential of young scholars and research fellows in promoting youth engagement in the development of SMEs. It is crucial that our young people are equipped with the knowledge, skills, and support systems needed to contribute meaningfully to Asia’s sustainable development. In alignment with the UN Sustainable Development Goals, particularly Goal 4 on Quality Education and Goal 8 on Decent Work and Economic Growth, we should invest in educating and empowering the next generation of entrepreneurs.
3. Supporting the Green Transition of SMEs
Building on the distinguished legacy of COP29, Azerbaijan acknowledges that its responsibilities transcend the role of a host and extend well beyond the immediate scope of the conference. Guided by a forward-looking vision propelled by the wise leadership of H.E. President Ilham Aliyev, the Azerbaijani Chairmanship is committed to advancing climate diplomacy within the CICA framework and embedding long-term sustainability into the regional agenda.
4. Role and Contribution of SMEs in Developing Smart Cities and National Incentives for Their Support
Asia is densely urbanized in many regions, particularly in its eastern, southeastern, and southern parts. Indeed, as stated by the President of Kazakhstan H.E. Kassym-Jomart Tokayev during the Sixth CICA Summit in 2022 and certainly even more relevant today, “Asia has become a recognized global economic leader in both nominal and purchasing power parity GDP…, 21 out of the 30 largest cities worldwide are in Asia”.
The digital transformation of trade presents unprecedented opportunities for SMEs in the CICA region to overcome traditional market access barriers.
However, to fully realize these benefits, coordinated policy efforts are crucial. By working together, CICA Member States can build an enabling environment where SMEs can thrive through innovation, integration, and cooperation, bridging physical and digital borders alike.
In this regard, let me remind the audience that the updated CICA Catalogue of CBMs and the new Modalities document provide its Member States with even greater capabilities to collaborate and exchange best practices on a wide range of issues. Speaking of cross-border trade and
e-commerce, I am grateful to Bangladesh for initiating seminars on this topic last year.
6. Global Value Chain Participation
Member States might want to consider encouraging the participation of their SMEs in global value chains (GVCs) by connecting them with larger enterprises and multinational corporations. This could be achieved through supplier development programs, B2B matchmaking events, and technology-sharing initiatives.
Dear Mr. Chairman, members of the Business Council!
As we look forward to gathering for the upcoming Business Forum to explore practical ways to empower our economies, I am pleased to announce a newly developed eBook that highlights key economic trends, business opportunities, and some successful case studies from across the CICA region. The eBook will be officially presented during the Business Forum, and I believe it will be especially valuable for those seeking to build resilient, competitive SMEs – a cornerstone of sustainable economic growth.
As we assist the Chairmanship in implementing its strategic priorities, I would like to report some progress on the ongoing CICA transformation. We have already moved forward on this path and aim to further strengthen CICA’s institutional capacity. Let me go over the Chairmanship’s priorities that are related to CICA’s economic dimension.
Kazakhstan, as the former CICA Chair, has initiated the establishment of the Council on Sustainable Connectivity. The discussions at the Special Working Group in 2024 have shown interest among the Member States.
It is worth highlighting the activities initiated by Azerbaijan to implement confidence building measures in this area during 2025–2026, namely:
• Conference on implementation of knowledge sharing on digitalization of transport corridors among CICA Member States;
• Conference of CICA Port Authorities.
Ladies and gentlemen!
Speaking of the economic agenda in broader terms, let me remind you that CICA possesses a unique mechanism for collecting projects and voluntary funds for their implementation. Just a couple of months ago, the CICA Fund launched its first project in central Afghanistan to advance sustainable wheat cultivation. This project, proposed by Kazakhstan, represented a key step in regional cooperation for sustainable development. I again thank Iraq for its initial contribution.
Established in 2022, the Fund supports confidence building measures through voluntary contributions, operating with transparency, voluntariness, consensus, and accountability. I hope CICA Member States will propose more projects and donate to further development and prosperity across Asia.
Once again, I would like to commend the consistent and dedicated efforts of the CICA Business Council and look forward with great anticipation to its continued success under Azerbaijan’s guidance in fostering enhanced economic cooperation and the sustainable growth of SMEs across our Member States.
I thank you.
