]! ^! Azerbaijan - a nation with a Turkic and majority-Muslim population - regained its independence after the collapse of the Soviet Union in 1991. Despite a 1994 cease-fire, Azerbaijan has yet to resolve its conflict with Armenia over the Azerbaijani Nagorno-Karabakh enclave (largely Armenian populated). Azerbaijan has lost 16% of its territory and must support some 571,000 internally displaced persons as a result of the conflict. Corruption is ubiquitous and the promise of widespread wealth from Azerbaijan's undeveloped petroleum resources remains largely unfulfilled. 
]" ^" Southwestern Asia, bordering the Caspian Sea, between Iran and Russia, with a small European portion north of the Caucasus range ^# 40 30 N, 47 30 E ^$ Asia ^% `! 86,600 sq km `" 86,100 sq km `# 500 sq km note: includes the exclave of Naxcivan Autonomous Republic and the Nagorno-Karabakh region; the region's autonomy was abolished by Azerbaijani Supreme Soviet on 26 November 1991 ^& slightly smaller than Maine ^' `! 2,013 km `U Armenia (with Azerbaijan-proper) 566 km, Armenia (with Azerbaijan-Naxcivan exclave) 221 km, Georgia 322 km, Iran (with Azerbaijan-proper) 432 km, Iran (with Azerbaijan-Naxcivan exclave) 179 km, Russia 284 km, Turkey 9 km ^( 0 km (landlocked); note - Azerbaijan borders the Caspian Sea (800 km, est.) ^) none (landlocked) ^* dry, semiarid steppe ^+ large, flat Kur-Araz Ovaligi (Kura-Araks Lowland) (much of it below sea level) with Great Caucasus Mountains to the north, Qarabag Yaylasi (Karabakh Upland) in west; Baku lies on Abseron Yasaqligi (Apsheron Peninsula) that juts into Caspian Sea ^, `% Caspian Sea -28 m `& Bazarduzu Dagi 4,485 m ^- petroleum, natural gas, iron ore, nonferrous metals, alumina ^. `' 19.63% `( 2.71% `) 77.66% (2001) ^/ 14,550 sq km (1998 est.) ^0 droughts ^1 local scientists consider the Abseron Yasaqligi (Apsheron Peninsula) (including Baku and Sumqayit) and the Caspian Sea to be the ecologically most devastated area in the world because of severe air, soil, and water pollution; soil pollution results from oil spills, from the use of DDT as a pesticide, and from toxic defoliants used in the production of cotton _J `K Air Pollution, Biodiversity, Climate Change, Climate Change-Kyoto Protocol, Desertification, Endangered Species, Hazardous Wastes, Marine Dumping, Ozone Layer Protection, Wetlands `L none of the selected agreements ^2 both the main area of the country and the Naxcivan exclave are landlocked 
]# ^3 7,911,974 (July 2005 est.) ^4 `* 26.4% (male 1,063,731/female 1,028,684) `+ 65.7% (male 2,533,762/female 2,665,381) `, 7.8% (male 245,758/female 374,658) (2005 est.) ^5 `! 27.53 years `- 26.09 years `. 29 years (2005 est.) ^6 0.59% (2005 est.) ^7 20.4 births/1,000 population (2005 est.) ^8 9.86 deaths/1,000 population (2005 est.) ^9 -4.64 migrant(s)/1,000 population (2005 est.) ^: `/ 1.05 male(s)/female `0 1.03 male(s)/female `+ 0.95 male(s)/female `, 0.66 male(s)/female `1 0.94 male(s)/female (2005 est.) ^; `! 81.74 deaths/1,000 live births `- 83.58 deaths/1,000 live births `. 79.8 deaths/1,000 live births (2005 est.) ^< `1 63.35 years `- 59.24 years `. 67.66 years (2005 est.) ^= 2.44 children born/woman (2005 est.) ^> less than 0.1% (2003 est.) ^? 1,400 (2003 est.) ^@ less than 100 (2001 est.) ^A `2 Azerbaijani(s) `3 Azerbaijani ^B Azeri 90.6%, Dagestani 2.2%, Russian 1.8%, Armenian 1.5%, other 3.9% (1999 census) note: almost all Armenians live in the separatist Nagorno-Karabakh region ^C Muslim 93.4%, Russian Orthodox 2.5%, Armenian Orthodox 2.3%, other 1.8% (1995 est.) note: religious affiliation is still nominal in Azerbaijan; percentages for actual practicing adherents are much lower ^D Azerbaijani (Azeri) 89%, Russian 3%, Armenian 2%, other 6% (1995 est.) ^E `M age 15 and over can read and write `1 98.8% `- 99.5% `. 98.2% (1999 est.) 
]$ ^F `4 Republic of Azerbaijan `5 Azerbaijan `V Azarbaycan Respublikasi `W none `X Azerbaijan Soviet Socialist Republic ^H republic ^I Baku (Baki) ^J 59 rayons (rayonlar; rayon - singular), 11 cities* (saharlar; sahar - singular), 1 autonomous republic** (muxtar respublika) : rayons: Abseron Rayonu, Agcabadi Rayonu, Agdam Rayonu, Agdas Rayonu, Agstafa Rayonu, Agsu Rayonu, Astara Rayonu, Balakan Rayonu, Barda Rayonu, Beylaqan Rayonu, Bilasuvar Rayonu, Cabrayil Rayonu, Calilabad Rayonu, Daskasan Rayonu, Davaci Rayonu, Fuzuli Rayonu, Gadabay Rayonu, Goranboy Rayonu, Goycay Rayonu, Haciqabul Rayonu, Imisli Rayonu, Ismayilli Rayonu, Kalbacar Rayonu, Kurdamir Rayonu, Lacin Rayonu, Lankaran Rayonu, Lerik Rayonu, Masalli Rayonu, Neftcala Rayonu, Oguz Rayonu, Qabala Rayonu, Qax Rayonu, Qazax Rayonu, Qobustan Rayonu, Quba Rayonu, Qubadli Rayonu, Qusar Rayonu, Saatli Rayonu, Sabirabad Rayonu, Saki Rayonu, Salyan Rayonu, Samaxi Rayonu, Samkir Rayonu, Samux Rayonu, Siyazan Rayonu, Susa Rayonu, Tartar Rayonu, Tovuz Rayonu, Ucar Rayonu, Xacmaz Rayonu, Xanlar Rayonu, Xizi Rayonu, Xocali Rayonu, Xocavand Rayonu, Yardimli Rayonu, Yevlax Rayonu, Zangilan Rayonu, Zaqatala Rayonu, Zardab Rayonu : cities: Ali Bayramli Sahari, Baki Sahari, Ganca Sahari, Lankaran Sahari, Mingacevir Sahari, Naftalan Sahari, Saki Sahari, Sumqayit Sahari, Susa Sahari, Xankandi Sahari, Yevlax Sahari : autonomous republic: Naxcivan Muxtar Respublikasi ^K 30 August 1991 (from Soviet Union) ^L Founding of the Democratic Republic of Azerbaijan, 28 May (1918) ^M adopted 12 November 1995 ^N based on civil law system ^O 18 years of age; universal ^P `6 President Ilham ALIYEV (since 31 October 2003) `7 Prime Minister Artur RASIZADE (since 4 November 2003); First Deputy Prime Minister Abbas ABBASOV (since 10 November 2003) `8 Council of Ministers appointed by the president and confirmed by the National Assembly `9 president elected by popular vote to a five-year term; election last held 15 October 2003 (next to be held October 2008); prime minister and first deputy prime ministers appointed by the president and confirmed by the National Assembly `: Ilham ALIYEV elected president; percent of vote - Ilham ALIYEV 76.8%, Isa GAMBAR 14% ^Q unicameral National Assembly or Milli Mejlis (125 seats; members elected by popular vote to serve five-year terms) `9 last held 4 November 2000 (next to be held NA November 2005) note: 100 members of the current parliament were elected on the basis of single mandate constituencies, while 25 were elected based on proportional balloting; as a result of a 24 August 2002 national referendum on changes to the constitution, all 125 members of the next parliament will be elected from single mandate constituencies `: percent of vote by party - NA%; seats by party - NAP and allies 108, APF "Reform" 6, CSP 3, PNIA 2, Musavat Party 2, CPA 2, APF "Classic" 1, Compatriot Party 1 note: PNIA, Musavat, and APF "Classic" parties refused to take their seats ^R Supreme Court ^S Azerbaijan Popular Front or APF [Ali KARIMLI, leader of "Reform" faction; Mirmahmud MIRALI-OGLU, leader of "Classic" faction]; Civic Solidarity Party or CSP [Sabir RUSTAMKHANLY]; Civic Union Party [Ayaz MUTALIBOV]; Communist Party of Azerbaijan or CPA [Ramiz AHMADOV]; Compatriot Party [Mais SAFARLI]; Democratic Party for Azerbaijan or DPA [Rasul QULIYEV, chairman]; Justice Party [Ilyas ISMAILOV]; Liberal Party of Azerbaijan [Lala Shovkat HACIYEVA]; Musavat [Isa GAMBAR, chairman]; New Azerbaijan Party or NAP [vacant]; Party for National Independence of Azerbaijan or PNIA [Etibar MAMMADLI, chairman]; Social Democratic Party of Azerbaijan or SDP [Araz ALIZADE and Ayaz MUTALIBOV] note: opposition parties regularly factionalize and form new parties ^T Sadval, Lezgin movement; self-proclaimed Armenian Nagorno-Karabakh Republic; Talysh independence movement; Union of Pro-Azerbaijani Forces (UPAF) ^U AsDB, BSEC, CE, CIS, EAPC, EBRD, ECO, FAO, GUUAM, IAEA, IBRD, ICAO, ICFTU, ICRM, IDA, IDB, IFAD, IFC, IFRCS, ILO, IMF, IMO, Interpol, IOC, IOM, ISO, ITU, MIGA, OAS (observer), OIC, OPCW, OSCE, PFP, UN, UNCTAD, UNESCO, UNIDO, UPU, WCO, WFTU, WHO, WIPO, WMO, WToO, WTO (observer) ^V `N Ambassador Hafiz PASHAYEV `O 2741 34th Street NW, Washington, DC 20008 `P [1] (202) 337-3500 `Q [1] (202) 337-5911 ^W `N Ambassador Reno L. HARNISH III `Z 83 Azadlyg Prospecti, Baku AZ1007 `[ American Embassy Baku, Department of State, 7050 Baku Place, Washington, DC 20521-7050 `P [9] (9412) 98-03-35, 36, 37 `Q [9] (9412) 656-671 ^X three equal horizontal bands of blue (top), red, and green; a crescent and eight-pointed star in white are centered in red band 
]% ^Y Azerbaijan's number one export is oil. Azerbaijan's oil production declined through 1997 but has registered an increase every year since. Negotiation of production-sharing arrangements (PSAs) with foreign firms, which have thus far committed $60 billion to long-term oilfield development, should generate the funds needed to spur future industrial development. Oil production under the first of these PSAs, with the Azerbaijan International Operating Company, began in November 1997. Azerbaijan shares all the formidable problems of the former Soviet republics in making the transition from a command to a market economy, but its considerable energy resources brighten its long-term prospects. Baku has only recently begun making progress on economic reform, and old economic ties and structures are slowly being replaced. One obstacle to economic progress is the need for stepped up foreign investment in the non-energy sector. A second obstacle is the continuing conflict with Armenia over the Nagorno-Karabakh region. Trade with Russia and the other former Soviet republics is declining in importance while trade is building with Turkey and the nations of Europe. Long-term prospects will depend on world oil prices, the location of new pipelines in the region, and Azerbaijan's ability to manage its oil wealth. ^Z $30.01 billion (2004 est.) ^[ 9.8% (2004 est.) ^\ purchasing power parity - $3,800 (2004 est.) ^] `; 14.1% `< 45.7% `= 40.2% (2002 est.) ^^ 5.09 million (2004 est.) ^_ agriculture and forestry 41%, industry 7%, services 52% (2001) ^` 1.2% (official rate) (2004 est.) ^a 49% (2002 est.) _! `> 2.8% `? 27.8% (1995) _d 36 (1995) _" 4.6% (2004 est.) _P 65.1% of GDP (2004 est.) _# `@ $2.715 billion `A $2.801 billion, including capital expenditures of NA (2004 est.) _Q 18.9% of GDP (2004 est.) _$ cotton, grain, rice, grapes, fruit, vegetables, tea, tobacco; cattle, pigs, sheep, goats _% petroleum and natural gas, petroleum products, oilfield equipment; steel, iron ore, cement; chemicals and petrochemicals; textiles _& 4% (2004 est.) _' 17.55 billion kWh (2002) _( 17.37 billion kWh (2002) _) 505 million kWh (2002) _* 1.558 billion kWh (2002) _+ 312,800 bbl/day (2004 est.) _, 140,000 bbl/day (2001 est.) _- NA _. NA _R 589 million bbl (1 January 2002) _S 5.72 billion cu m (2001 est.) _T 6.72 billion cu m (2001 est.) _U 0 cu m (2001 est.) _V 1 billion cu m (2001 est.) _W 62.3 billion cu m (1 January 2002) _X $-2.899 billion (2004 est.) _/ $3.168 billion f.o.b. (2004 est.) _0 oil and gas 90%, machinery, cotton, foodstuffs _1 Italy 26.6%, Czech Republic 11.9%, Germany 8.1%, Indonesia 6.4%, Romania 6.2%, Georgia 6%, Russia 5.3%, Turkey 5.2%, France 4.1% (2004) _2 $3.622 billion f.o.b. (2004 est.) _3 machinery and equipment, oil products, foodstuffs, metals, chemicals _4 Russia 16.1%, UK 12.5%, Turkey 10.5%, Germany 7.8%, Ukraine 5.6%, Netherlands 4.9%, US 4.1%, Italy 4% (2004) _Y $875 million (2004 est.) _5 $1.832 billion (2004 est.) _6 ODA, $140 million (2000 est.) _7 Azerbaijani manat (AZM) _8 Azerbaijani manats per US dollar - 4,913.48 (2004), 4,910.73 (2003), 4,860.82 (2002), 4,656.58 (2001), 4,474.15 (2000) _9 calendar year 
]& _: 923,800 (2002) _; 870,000 (2002) _< `B inadequate; requires considerable expansion and modernization; teledensity of 10 main lines per 100 persons is low (2002) `C the majority of telephones are in Baku and other industrial centers - about 700 villages still without public telephone service; satellite service connects Baku to a modern switch in its exclave of Naxcivan `D country code - 994; the old Soviet system of cable and microwave is still serviceable; a satellite connection to Turkey enables Baku to reach about 200 additional countries, some of which are directly connected to Baku by satellite providers other than Turkey (1997) _= AM 10, FM 17, shortwave 1 (1998) _> 2 (1997) _? .az _@ 586 (2004) _A 300,000 (2002) 
]' _e `! 2,957 km `e 2,957 km 1.520-m gauge (1,278 km electrified) (2004) _B `! 28,030 km `E 25,890 km `F 2,130 km (2002) _[ gas 4,451 km; oil 1,518 km (2004) _C Baku (Baki) _K `! 81 ships (1,000 GRT or over) 253,004 GRT/318,922 DWT by type: cargo 26, passenger 2, passenger/cargo 8, petroleum tanker 41, roll on/roll off 2, specialized tanker 2 `\ 3 (2005) _D 50 (2004 est.) _E `! 27 `] 2 `G 6 `^ 15 `_ 3 `T 1 (2004 est.) _L `! 23 `G 1 `^ 1 `_ 6 `T 15 (2004 est.) _\ 2 (2004 est.) 
]( _F Army, Navy, Air and Air Defense Forces _M 18 years of age for compulsory and voluntary military service; law passed December 2001 raises maximum conscription age from 28 to 35 (December 2001) _] males age 18-49: 1,961,973 (2005 est.) Manpower fit for military service: males age 18-49: 1,314,955 (2005 est.) _^ `` 82,358 (2005 est.) _N $121 million (FY99) _O 2.6% (FY99) 
]) _H Armenia supports ethnic Armenian secessionists in Nagorno-Karabakh and since the early 1990s has militarily occupied 16% of Azerbaijan - Organization for Security and Cooperation in Europe (OSCE) continues to mediate dispute; over 800,000 mostly ethnic Azerbaijanis were driven from the occupied lands and Armenia; about 230,000 ethnic Armenians were driven from their homes in Azerbaijan into Armenia; Azerbaijan seeks transit route through Armenia to connect to Naxcivan exclave; Azerbaijan, Kazakhstan, and Russia ratify Caspian seabed delimitation treaties based on equidistance, while Iran continues to insist on an even one-fifth allocation and challenges Azerbaijan's hydrocarbon exploration in disputed waters; bilateral talks continue with Turkmenistan on dividing the seabed and contested oilfields in the middle of the Caspian; Azerbaijan and Georgia cannot resolve the alignment of their boundary at certain crossing areas _c IDPs: 571,000 (conflict with Armenia over Nagorno-Karabakh) (2004) _I limited illicit cultivation of cannabis and opium poppy, mostly for CIS consumption; small government eradication program; transit point for Southwest Asian opiates bound for Russia and to a lesser extent the rest of Europe 