Bilateral Agreements for the Promotion and Protection of Investments

Bilateral investment treaties and other treaties on foreign investment provide additional guarantees to foreign investors, and areaimed at establishing a more favorable investment climate. Under Azerbaijani law, international treaties prevail over local lawregulating the same issue (except for the Constitution and acts adopted by referendum).Azerbaijan has ratified 49 bilateral treaties on the mutual protection of investments, as show below, with several more treatiescurrently under negotiation. Azerbaijan is also party to a number of multilateral treaties concerning foreign investment.

DOUBLE TAXATION PREVENTION TREATIES

Azerbaijan has entered into and implemented bilateral treaties for the avoidance of double taxation with 55 countries. Thesecountries are listed in Table 3 below. As may be gleaned from the table, treaties with Jordan, Spain, Denmark and Israel havebeen signed by the parties and await their ratification by the Parliament of the Republic of Azerbaijan