The historical background to the document "The economic aspects of the official visit of the President of the Republic of Azerbaijan Heydar Aliyev to Japan". (On February 24-27, 1998)

President of the Republic of Azerbaijan Heydar Aliyev was on an official visit to Japan for the first time at the invitation of the Prime Minister of Japan Ryutaro Hashimoto. President Heydar Aliyev met His Majesty Akihito, the Emperor of the country, Hashimoto Prime Minister, many investors, businessmen, and hold broad negotiations with them in the frames of the visit toTokyo and Kioto. Seven documents were signed between the two countries as a result of this visit. Two most important documents such as ''The joint statement on friendship and partnership between the two countries'', ''The joint statement on the cooperation in the sphere of trade and economy between Japan and Azerbaijan'' were signed on February 26, between Hashimoto, Prime Minister of Japan, and Heydar Aliyev President of Azerbaijan. Other five documents were signed by different bodies of the government. The main documents substantiating the legal-standard of relations between Japan and Azerbaijan are the followings:

1. ''Exchange of notes between the governments of the Republic of Azerbaijan and the Japan Fund of Economic Cooperation with foreign countries on the project of the construction of the North steam-gas Power Station". Tokyo, February 26;

2. ''Exchange of notes and protocol on selfless credit by the government of Japan for the purchase of agricultural machinery and equipment for increasing the food production in Azerbaijan'', Tokyo, February 26, 1998;

3. ''Credit Agreement between the government of the Republic of Azerbaijan and the Import-Export Bank of Japan to finance the project of reconstruction of EP-300 installation at the Ethylene- Propylene plant. Tokyo, February 26, 1998;

4. ''Agreement between the State Oil Company of The Republic of Azerbaijan and the Oil Company of Mitsui on share production,'' Tokyo, February 26,1998;

5. ''Credit agreement between the government of the Republic of Azerbaijan and the Japan Fund of Economic Cooperation with the foreign countries on the project of the construction of the North steam-gas Power Station'', Tokyo, February 27,1998

The policy of the Republic of Azerbaijan aims at establishing mutual profitable cooperation, coordinating the economic interests, creating security mechanisms of mutual interests, and preserving it. On first day of his visit President of Azerbaijan Heydar Aliyev to Japan meet the President of ''Itochu'' Oil Company Minoro Murofushi. It should be noted that the basis of economic relations between Japan and Azerbaijan was established by the participation of ''Itochu'' company to the ''Contract of the Century'' on the joint developments in three oil deposits of the Caspian Sea in the Azerbaijan sector.

The same day the head of '' Itochu'' arranged party in honour of the Azerbaijani President. Then Heydar Aliyev met Ito Shunro, vice-president of ''Nichimen'', Akihiro Tsuchi, president of ''Tomen'', Yeshimo Shgey, president of ''Mitsui'', Yasuda Hiroshy, president of Import-Export Bank, Kimio Fucito, president of the Agency of International Cooperation, Toyoshimo Toro, president of the Development Association of International Cooperation of Japan, Akiro Nishiqaky, president of the Fund of Economic Cooperation with foreign countries, and held negotiations with them.

On the second day of his official visit President Heydar Aliyev meet the Emperor of Japan Majesty Akihito on February 25, 1998.

Then the Azerbaijani President met Shinroco Morahshi, president of one of the largest companies of Japan ''Mitsui'', Miyukhara Kinchy, president of ''Sumytomo'', Kunio Komats, president of the National Oil Corporation, for achieving the development of the economic relations between two countries and held negotiations. The same day they arranged a dinner party in honour of the Azerbaijani President on behalf of the leaders of the National Oil Cooperation of Japan.

On the third day of the visit -on February 26, President of Azerbaijan met the heads of the leading companies of Japan popular for the potential of production in different fields of economy and held negotiations with them.

The talks with Husamiche Masataky, president of ''Nisser Ivai'', Ivao Toriumu, president of ''Marubeny'', Mr.Vada, president of '' Capex'', Ito Shunro vice-president of ''Nichimen'', and the managers of '' Sony Media Uorld'' should be noted particularly. On the same day Heydar Aliyev's large scale meeting was arranged with the investors of Japan on the initiatives of ''Keidanren'' Federations of Economic Organizations , Japan Association for Trade with Russia, Central- Eastern Europe and ''Rotobo'' Trade Association of Japan. Heydar Aliyev made an extensive speech for creating a good imagination about of the economy of Azerbaijan and for attracting capital investments to Azerbaijan. Later the above mentioned companies held an official dinner party in the honour of the Azerbaijani President.

President of Azerbaijan Heydar Aliyev met Mistio Xoriuchy, Minister of Industry and Foreign Trade, on February 27, 1998. They discussed the perspectives of cooperation in the field of industry and economy between the two countries. On the same day President of Azerbaijan Heydar Aliyev came to Kioto.

Kioto was the capital of the country till the twelfth century and now it is known as the center of science of this country. The industrial enterprises with advanced technology characteristic for Japan occupy a great place in this city.

An official reception was arranged on behalf of the prefecture, municipal administration and the Chamber of Trade-Industry of the city. The Azerbaijani President made a broad speech at the reception where the representatives of the business circles of the city took part, he informed them about the economic reforms conducted in Azerbaijan, on the signed documents in Tokyo and the negotiations held between the two countries. On the last day of the visit Heydar Aliyev got acquainted with the manufacturing process with the application of the textile industrial center of Nishichyn-Ory-Calcan in Kyoto.

President Heydar Aliyev is five-day visit was in the focus of attention of mass media. In the frames of his visit Heydar Aliyev gave a broad interview to ''Reuter'' agency, to TV channels of Japan ''Asahy'', ''En-Eych-Key'', newspapers '' Nikkey Symbun'', ''Sankey Simbun'', ''Yomiury Symbun''. This visit was estimated as a historically important one for the establishment of diplomatic, political-economic relations.

According to total statistic figures of 2007 the volume of the trade turnover between Azerbaijan and Japan is $ 295 million. 99 per cent of this share belong the export from this country.

These products are the followings:

-pipes from ferrous metals, metal tubes, still apliances


-mechanical balls, excavators, single-bucket loaders

- spare parts for electric transformers

''Itochu'', ''Mitsui'', ''Sumitoma'', ''Capex'', ''Marubeny'' and other companies invested to the different fields of the Azerbaijani economy, plus industry, power engineering, agriculture, and others, which successfully work at present. The economic relations between Japan and Azerbaijan stepped to the stage of dynamic development at present. After establishing the legal base for implementing the technology and investment of Japan, their government invested US $ 339 million for the construction of the new energy bloc of the Western Power Station of the in the period of 40 years. Then they invested US $ 90 credit for the construction of a steam-generator installation at Ethylene-Propylene plant of Sumgait. After the visit of President Ilham Aliyev to this country on march 8-11, 2006 the politico-economic relations between the two countries have stepped to a new stage of development. This visit improved the bilateral relations. Azerbaijan which is partner of Japan in the Southern Caucasus continues its cooperation with Japan on the appreciating of new technology and to the national economy.

Historical background, on November 14, was renewed in 2008.