Closed Land Borders Are Holding Back Tourism in Azerbaijan, Expert Says

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AZE.US

Azerbaijan’s tourism industry remains heavily dependent on a short peak season, with nearly half of annual turnover generated during just five months.

Lower travel costs, more direct flights and the reopening of land borders could help attract visitors throughout the year, an economist says.

As AZE.US reports, citing Khazar TV, tourism activity in Azerbaijan rises mainly during the summer and winter, while demand remains considerably weaker during the rest of the year.

An industry analysis found that a large share of accommodation revenue is generated during five peak-season months. June, July and August alone account for approximately 34.1% of annual revenue.

However, tourism indicators in April, May and October are only 0% to 10% below the monthly average, suggesting that these months could also become part of a broader tourism season if supported by appropriate pricing and marketing policies.

Economist Khalid Karimli said low visitor numbers during the off-season reduce hotel occupancy and demand for related services, forcing many tourism businesses to operate at a loss.

The problem also discourages investment and contributes to higher prices during the busiest months, he said. Azerbaijan’s strong seasonal dependence is one reason vacations in the country are frequently perceived as more expensive than in competing tourism destinations.

A similar concentration is evident in the food service sector. Five peak-season months accounted for 48.2% of annual turnover in 2024 and 47.1% in 2025.

Karimli said Azerbaijan should diversify its tourism products, develop distinct offerings for different regions and revise pricing policies during the off-season.

“The more affordable it is for tourists to reach Azerbaijan, the more competitive the country will become in the tourism market,” Karimli said.

He called for reducing the costs travelers face before entering Azerbaijan, expanding direct air connections and reopening the country’s land borders. The latter, he argued, could stimulate regional tourism and increase visitor numbers from neighboring countries.

Hotels and tourism operators should also develop joint travel packages and launch targeted marketing campaigns in countries that Azerbaijan considers priority markets.

Expanding year-round tourism is among the objectives of Azerbaijan’s newly approved 2026-2030 State Tourism Development Program. However, overcoming seasonality will remain difficult without cheaper transportation and more accessible entry options.

AZE.US

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