Azerbaijani President To Hold Talks With US Leader On April 28

AZERBAIJANI PRESIDENT TO HOLD TALKS WITH US LEADER ON APRIL 28

EurasiaNet, NY
April 10 2006

In what some American analysts see as a US response to recent Russian
moves that strengthened Moscow’s Caspian Basin energy position, the
White House has announced that US President George W. Bush will hold
talks with Azerbaijani leader Ilham Aliyev on April 28 in Washington.

“Azerbaijan is a key ally in a region of great importance and a
valued partner,” said a White House statement issued April 10. The
statement added that Bush and Aliyev “will discuss a range of issues
including democracy promotion and cooperation in the Caucasus, energy
diversification, and our common commitment to working together to
advance freedom and security.”

Despite the Bush administration’s characterization of Baku as a “key
ally,” US officials had been resisting the idea of a face-to-face
meeting between Bush and Aliyev, in large measure due to the tainted
elections held in Azerbaijan in recent years. [For background see
the Eurasia Insight archive].

US concerns about Azerbaijan’s spotty record on democratization,
however, appeared to diminish significantly following the early April
announcement that Kazakhstan would enhance energy cooperation with
Russia, the main US economic and political rival in Central Asia.

[For background see the Eurasia Insight archive]. Kazakhstan’s
agreements with Russia heightened concern about Astana’s participation
in the US-backed Baku-Tbilisi-Ceyhan pipeline. [For background see
the Eurasia Insight archive]. US officials are also trying to arrange
a summit meeting, or potentially two, between Bush and Kazakhstani
President Nursultan Nazarbayev.

Details of the Bush-Aliyev summit were reportedly discussed during an
April 7 meeting between Azerbaijani Foreign Minister Elmar Mammadyarov
and US Secretary of State Condoleezza Rice in Washington.

Earlier the same day Mammadyarov outlined Azerbaijan’s policy goals
and concerns during an appearance at the Heritage Foundation.

Mammadyarov sought to dispel the country’s poor democratization
image. He insisted that democratization, the rule of law and the
protection of human rights are priorities now, in stark contrast to
the Soviet era when Azerbaijan was the subject of the Communist command
economy. However, he cautioned that the transformation would be slow,
citing the country’s lack of experience in democratization.

He also said that improving Azerbaijan’s “human capital,” would be
a gradual process, in part because it is a “generational issue.”

The Asian Development Bank recently projected Azerbaijani GDP
growth to total 30.5 percent in 2006 and over 27 percent next
year. But Mammadyarov acknowledged that relatively high inflation
rates, caused by the massive and rapid rise in oil and gas revenues,
posed a problem. To avoid the advent of so-called Dutch Disease, the
foreign minister said that the Azerbaijani government was promoting
agricultural ventures, particularly cotton and winemaking.

Azerbaijan is also investing heavily in infrastructure improvements.

A top priority, Mammadyarov stated, was the expansion of the country’s
road and rail network. Plans are focusing on a $320-million rail route
that would stretch from Azerbaijan, via Georgia, to Turkey and beyond
to Western Europe.

Mammadyarov additionally indicated that he would strive to call
increasing international attention to Azerbaijan’s position on the
Nagorno-Karabakh issue. [For background see the Eurasia Insight
archive]. “We cannot now live with such 20th century phenomena as
forced border and ethnic changes,” he said. At the same time, he
stressed that a durable solution to the Karabakh conflict should be
based on negotiations. In recent weeks, some Azerbaijani officials,
including President Aliyev, have spoken of the possibility of resuming
armed hostilities if a political deal isn’t reached soon.

Editor’s Note: Washington-based writer Alex van Oss contributed
reporting for this article.