FROM BENEFICIARIES TO DONORS

On January 21-25, Davos, Switzerland hosted the 49^th World Economic Forum (WEF), bringing together the leaders of major corporations and businesses, as well as the heads of more than sixty countries around the world. The theme of the forum, Globalization 4.0: Shaping a Global Architecture in the Age of the Fourth Industrial Revolution, turned out to be more than relevant.

Shutdown of leaders

Absence of major world players in Davos, who had regularly visited the forum previously, was unprecedented. Leaders of the US, Russia, France and Great Britain could not come to Switzerland for different reasons. This was by no means an accidental phenomenon, but rather revealing amidst discussions on global instability.

Just before the WEF, the Trump administration suddenly announced a shutdown of all federal institutions. Democratic majority in the Congress under the Republican presidency has caused the US power crisis. Democrats block many initiatives of the US President, in particular the construction of a three-thousand-kilometre wall on the border with Mexico. Threating President Trump with impeachment, they make him take proactive measures. The has eventually activated a favourite transatlantic toy called the "Controlled Chaos". However, the growing tension between the executive and legislative bodies in the US threatens to drag the world's largest economy into a lingering instability.

Thanks to Brexit and the Yellow Vests movement in France, both Teresa May and Emmanuel Macron cancelled participation in Davos. Both politicians are facing strong opposition in their countries, causing lower degree of optimism in the forecasts of the world's leading analysts. To make things worse, the International Monetary Fund (IMF) has published a discouraging forecast for global economic growth in 2019-2020, downgrading the US, UK and China as the top three countries with slowing economic growth. On the contrary, Brazil and India, the two most growing economies of the world, will strengthen their positions in the next two years.

Due to preparations for the meeting with the Turkish president Recep Tayyip Erdogan, the Russian president Vladimir Putin had to cancel his participation in the WEF either. Situation in Syria calls for immediate coordination of actions between Russian and Turkish military, waiting for a go-ahead command from their commanders-in-chief.

On the other hand, Russia, which is struggling with Western sanctions, has little to offer to the global economy. After all, it is easier to reach agreements with countries that do not support anti-Russian sanctions in a bilateral format.

In other words, those who have ignored the forum are more interested in political issues than in economics. In the absence of global players, the Davos Forum has in fact demonstrated a growing interest in the shadow leaders of the global economy.

Azerbaijan and WEF

In comparison with other delegations, the Azerbaijani delegation led by President Ilham Aliyev looked more distinguished in Davos. Mr. Aliyev has taken part in all Davos conventions since 2008. The president participated and spoke at official sessions, and held individual negotiations with the heads of states and international corporations.

The statements of Mr. Aliyev on the margins of the forum have been later quoted by world analysts. Thus, speaking at the session devoted to oil markets, President of Azerbaijan noted the importance of maintaining stable oil prices and the prolongation of the OPEC+ meetings.

"I think that countries, companies and consumers are all interested in maintaining the price range around $60-70 per barrel. If we need extended periods to maintain this price range, I think it would be wise to do this," Mr. Aliyev said. Ilham Aliyev also had talks with the heads of the largest oil and gas companies, including LUKoil, Total, BP and others.

President of Azerbaijan has also paid much attention to the development of global transport infrastructure. He suggested a clear formula underlining the significance of investing in international transport projects: "Someday, oil and gas will run out, but the transport infrastructure will remain forever. We connect continents and countries, creating a more predictable future."

President Aliyev also met with Armenian Prime Minister Nikol Pashinian, demonstrating that the Nagorno-Karabakh problem is a priority for Azerbaijan.

In numerous interviews with leading foreign media outlets, the president has repeatedly focused on the Nagorno-Karabakh conflict as a factor of instability in the South Caucasus.

Azerbaijan has always actively participated in the World Economic Forum and in its various projects. In 2013, Azerbaijan hosted one of the WEF regional projects "Strategic dialogue on the future of the South Caucasus and Central Asia". At the forum held in Baku, the participants discussed the issues related to the development of industry, natural resources, transport, infrastructure, agriculture, finance, and telecommunications. The Baku forum has become an important platform for regional and global players in evaluating the main challenges and opportunities associated with the future of the region, contributing to the implementation of global transport and energy projects with direct involvement of Azerbaijan.

Understanding the importance of processes in the global contributed to the sustainable development of Azerbaijan. In a relatively short period, Azerbaijan has become a donor of regional and global significance. It is a shareholder of the International Bank for Reconstruction and Development (IBRD) and the International Finance Corporation (IFC).

The world economy and international financial institutions highly appreciate the structural and economic reforms implemented in Azerbaijan by President Ilham Aliyev. Azerbaijan regularly (every year) receives high ratings in various international economic reports. In 2018, the WEF included Azerbaijan among the top three leaders of the Inclusive Development Index, which most accurately reflects the economic progress of countries. Many heads of world companies are trying not to miss their chance to talk with President Aliyev in Davos. This also confirms the ratings of international organisations on Azerbaijan. In Davos, Mr. Aliyev met with the leaders of such famous companies as CISCO, Visa, SAP SE, Microsoft, Signify, Procter & Gamble Europe, Lazard Freres, The Boston Consulting Group, etc.

Quiet economic oasis

History of the World Economic Forum dates back to 1971, when Klaus Schwab, a professor at the University of Geneva, could bring together leading businessmen and politicians in Switzerland to discuss the prospects for the development of European business in the world market. Since then, every year in January in the small town of Davos, the leaders gather to identify the vectors of the global economy.

Switzerland continues to remain a quiet economic oasis in the Alps thanks to efforts of its citizens. In recent centuries, you can relax here, gain strength and draw plans for the future.

Opening the 49^th forum this year, its founder and permanent director Klaus Schwab noted that the "fourth wave of globalization" should be oriented as much as possible to human well-being and make it sustainable amidst global instability. However, the provision of global cooperation is possible only with increased interaction. Therefore, the forum program included many discussions on various topics. Traditional talk about strategic forecasts in the field of energy, the digital economy, global financial risks, globalization, emerging markets this year was added to discussions about cryptocurrency, modern slavery, cybersecurity, the future of democracy and much more.

But not only formal sessions were held during the WEF. Majority of forum participants have gathered here for informal communication. Four days of endless movement in a small space allowed corporate bosses, politicians and journalists to hold a large number of meetings that could be of interest now and in the future.