Azerbaijan Services Tenders

Market size: Estimated at AZN 41.8 billion in 2022, accounting for 51.1% of Azerbaijan's GDP.
Growth: Expected to grow at a CAGR of over 1% until 2027.
Key segments: Trade and automotive repair (8.2%), transport and logistics (6%), construction (4.8%), agriculture, forestry and fisheries (4.8%), hospitality services (1.6%), information and communications (1.4%).
Trends: Diversification of the economy, growing middle class, and government investment are driving growth.

Government Procurement in the Sector
Spending: Azerbaijani government allocated approximately AZN 3.29 billion for services in 2023.
Key categories: IT services, consulting services, construction and infrastructure services, transport and logistics services, healthcare services.

Main Services Procured
IT services: Software development, data analytics, network security, e-government solutions.
Consulting services: Business process improvement, engineering consulting, environmental consulting, project management.
Construction and infrastructure services: Building and road construction, infrastructure maintenance, engineering services.
Transport and logistics services: Freight forwarding, warehousing, logistics management, oil and gas transport.
Healthcare services: Medical imaging, pathology services, ambulance services, hospital management.

Top Authorities for Services Procurement
Ministry of Finance: Oversees government procurement policies and regulations.
Central Procurement Agency (CPA): Manages the government's procurement process.
State Oil Company of Azerbaijan (SOCAR): Procures services related to oil and gas exploration and production.
Ministry of Transport, Communications and High Technologies: Handles procurement for IT services and telecommunications.

Top Winners of Services Procurement
AzerTelecom: Leading telecommunications provider, awarded contracts for IT infrastructure and network services.
AzVirt: Major IT services company, securing contracts for software development and e-government solutions.
PASHA Holding: Diversified group of companies, often winning contracts for construction and infrastructure projects.
Azertrans: National transport and logistics company, awarded contracts for freight forwarding and logistics services.

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