15 years ago, the telecommunication sector was suffering from underdevelopment and corruption. But today, we don't have anymore corruption and anybody can install as many lines as he wants. We even provide credit facilities to allow the people to get access to our telecommunication services. We also try to provide the same service anywhere in the country. There is no region of Azerbaijan where you cannot have access to a telephone. This development could only happen through gaining the country's independence and the high commitment of late President Heydar Aliyev to the telecommunication sector.

15 years ago, the telecommunication sector was suffering from underdevelopment and corruption. But today, we don't have anymore corruption and anybody can install as many lines as he wants. We even provide credit facilities to allow the people to get access to our telecommunication services. We also try to provide the same service anywhere in the country. There is no region of Azerbaijan where you cannot have access to a telephone. This development could only happen through gaining the country's independence and the high commitment of late President Heydar Aliyev to the telecommunication sector.

Also, you will find an internet club anywhere in Azerbaijan. Internet service providers are growing. In Baku, you have high speed connections (up to 90Mbit) but unfortunately still a lot of people don't use this service. The penetration is only around 35%. That's because we are in our transition period. Also, one important factor is the fact that computer technology is still too expensive for Azeri people and students. So we are trying to buy those computers and provide them to the population at a lower price and now we can feel that internet users are increasing. At the Ministry of Communications, we pay special attention to e-communication. We provide services through our cables to the 15 existing ISP in the country and our wish is to develop the internet faster.

We are witnessing the privatization of Backcell as well as Azercell on the GSM market. Can you give us a brief overview of the development policy your ministry is implementing in the telecommunication sector in that respect?

As far as the privatization of the telecommunication sector is concerned, I would say that it has been completed a long time ago as 65% of the telecommunication services are currently provided by private companies, which is a significant figure. We have indeed completed the privatization of Backcell now belonging 100% to an Israeli company. Our strategy was to start privatizing joint-ventures. This plan, which was set up 2 years ago, took some delay but now we are trying to catch up and accelerate the process. We have around 10 JV in Azerbaijan: Azercell, AzEurotel and others…. Following the privatization of Backcell, we are now preparing the privatization of Azercell, which should be completed by end 2004. We are also confident that other JV's privatizations will be completed by the same time. Obviously, we give priority to the original private shareholder of the JV when it comes to sell the State's shares.

All companies in the sector are ready for privatization. They provide good-quality services but as far as the State-owned company is concerned, AzTelecom, the Government is fully involved in modernizing its infrastructure and services. Digital systems can be applied to our infrastructure and we target a 60%-implementation of digital systems by the end of 2004 and this will be the highest percentage among all CIS countries. We really feel that Azerbaijan is experiencing a transition period and we are doing our best to fully get involved in that process.

Being a Regulation Authority, does your Ministry plan to offer new telecommunication licences in the near future?

In Azerbaijan, we have 2 mobile operators and they can provide the country with the best services. But if anyone addresses to us in order to implement new licences, we would consider this opportunity. We actually think that within one or two years we can bring in new generations of mobile services in Azerbaijan. We will of course try to involve private companies in the process.

How do you plan the restructuring of the AzTelecom?

The privatization of AzTelecom will be done through a tender. We will open the market to existing Azeri operators as well as foreign companies or any individual. However, we will have to prevent the creation of a monopolistic situation. We want to enhance competitiveness.

What would be your personal message to our readers?

7 years ago, Late President Heydar Aliyev declared the Azeri market open to foreign investors. Today, for a foreign investor, there is no major obstacle to investing in Azerbaijan. The only concern is that there must be a clear mutual interest from both sides. We understand that foreign investors are coming here to make profits. But we need to be honest and protect Azeri people's interest. So, we are ready to cooperate with any foreign investor keeping in mind this principle.
On the other hand, one of our priorities is to get credit lines at low interest rates, around 7 or 8% for 3 or 5 years. The telecommunication sector has a need to set up companies that can produce modern equipment technologies and we can provide support to any foreign investor ready to set up production units in the country as well as to importers of new technologies.

Could you tell us more about your professional experience and how you became minister of Telecommunications?

Yes! I got appointed as Minister in 3 hours. I was Deputy Minister and I one day I got a call from the presidency. I did not know why the President Heydar Aliyev wanted to see me. Then the President started talking to me about his disappointment over the situation in the Telecommunications sector. He insisted on the need to dramatically improve the situation and then asked me if I could make it. His plan was to appoint me as minister. So I answered that if he really trusted me he could count on me to solve that issue. And half an hour later, the decree was prepared so that I could be officially appointed as minister of Telecommunications. Late President Heydar Aliyev gave a great contribution to the development of the telecommunication sector in Azerbaijan. A book has even been written but it is in Azeri. In the '80s, when he was 1st Secretary of the Communist party in Moscow he had drawn a plan for the telecommunication sectors but unfortunately it did not get applied. And it is upon his election in 1993 that he raised that issue again for Azerbaijan and personally instructed me to implement a new concept for the development of telecommunications in the country.