Baku, March 14, Tamilla Mammadova, AZERTAC

In recent years, Azerbaijan has been actively transforming its transport infrastructure, aiming to become a key logistics hub at the crossroads of Europe and Asia. The country is investing in the modernization of roads, bridges, ports, and multimodal corridors, recognizing that an efficient transport network is not only an economic asset but also a strategic component of its development. In this context, modern international practices, digital tools, and approaches to road asset management are especially important. These enable not just the construction of new roads, but the management of the entire infrastructure in the most efficient, safe, and climate-resilient way.

AZERTAC presents an interview with Jamshid Sodikov, an infrastructure consultant and expert in road and bridge GIS/HDM-4 modeling, safety, climate resilience, and digital twins. He has participated in projects for the World Bank, the Asian Development Bank, and the European Bank for Reconstruction and Development.

– In recent years, Azerbaijan has actively modernized its road and transport network. How do you assess the role of modern modeling tools, such as HDM-4 and GIS (Geographic Information Systems), in improving road management efficiency?

- Modern tools like HDM-4 and GIS are indeed important, but they need to be properly understood. HDM-4 is a program that helps evaluate the economic efficiency of major road projects. It is particularly useful for projects funded by international organizations such as the World Bank, the Asian Development Bank, or the European Bank for Reconstruction and Development. Using it, one can calculate the benefits of investing in a specific road and justify the decision to investors. However, in everyday road management, most countries use simpler methods. In other words, HDM-4 serves a specific purpose but is not the main road management system.

GIS works differently. It creates maps and stores all information about roads, bridges, tunnels, and other infrastructure. This allows authorities to see the condition of the network, plan repairs, and make decisions based on accurate data about the location and state of assets. But GIS by itself is a tool for visualization and analysis, not a full-fledged management platform.

In short, HDM-4 helps assess the economic efficiency of major projects, while GIS helps visualize and analyze the condition and location of assets to support decision-making. Both tools are important but serve different purposes.

– How can these tools be integrated into a system that truly improves decision-making at all levels of road management?

- This is where Road Asset Management Systems (RAMS) play a crucial role. RAMS integrates different data into a single system: information on road conditions, traffic flows, geometric parameters, road lifecycle models, and GIS data. This creates a unified environment for decision support.

With such a system, road agencies can move from a reactive approach—“repair only the worst sections”—to proactive road management based on data.

Our team demonstrated this approach at the 3rd Regional IRF Congress for Europe and Central Asia, held in Sofia in 2025, using a real example from Tajikistan—a country facing challenges similar to Azerbaijan: post-Soviet management structures, limited analytical resources, complex terrain, and a multilingual environment. The results were impressive: regional managers who previously waited months for analyses could now work directly with the system and receive practical recommendations instantly. The main idea is simple: every engineer becomes a data analyst. Here, artificial intelligence does not replace the specialist; it makes data and analytics accessible to everyone, not just a narrow circle of experts.

For Azerbaijan, which is actively modernizing its road network, implementing a RAMS with AI support is not just about improving efficiency—it is a strategic step that could make the country a regional leader in smart infrastructure management.

– Given your experience in international projects, what steps can help Azerbaijan more effectively attract international investment in infrastructure projects?

- Azerbaijan has a unique strategic advantage: its location at the crossroads of Europe and Asia makes it an important node in international transport corridors, particularly the Middle (Trans-Caspian) Corridor and the North–South route. This already attracts international attention. However, to turn this attention into a stable flow of investments, several steps are necessary.

First, project preparation quality. International investors and financial institutions do not fund projects based on ambition alone. They require thorough economic calculations, cost-benefit analyses, assessment of environmental and social impacts, and realistic forecasts of traffic flows. Even if project preparation costs only 3–5% of the total project value, it significantly increases the likelihood of attracting investment.

Second, transparent and predictable procurement procedures. Compliance with international procurement standards is very important. Organizations like the World Bank, the Asian Development Bank, and the European Bank for Reconstruction and Development have strict rules, and countries that align their national procedures with these standards demonstrate institutional maturity to investors.

Third, a reliable legal framework for public-private partnerships (PPP). For large infrastructure projects—toll roads, bridges, logistics centers—PPPs allow the attraction of private capital that the government cannot fully provide. Private investors want to see a predictable legal environment: clear risk allocation, dispute resolution mechanisms, and regulatory stability guarantees.

Fourth, demonstrating institutional capacity through data. A functioning RAMS platform containing up-to-date information on roads, maintenance history, and investment planning tools shows investors that the country understands its assets, knows its needs, and can track results. Such transparency builds investor confidence.

Fifth, building a reputation based on completed projects. Azerbaijan has successfully completed several major infrastructure projects with the support of international organizations. Each completed project becomes a reference for the next. Documenting lessons learned, maintaining partner relations, and consistently executing projects form a reputation that attracts new investments.

Finally, regional connectivity. Special attention should be given to transport cooperation with Uzbekistan. Both countries are modernizing infrastructure and are interested in developing the Middle Corridor. Strengthening links—expanding ports, coordinating logistics standards, and jointly investing in multimodal corridors—makes projects more attractive to international investors. Azerbaijan and Uzbekistan, as two dynamically developing regional economies, are natural partners, and this cooperation itself sends a strong signal to investors.