| Afat Mammadova Mammadhuseyn Digital Infrastructure and Regional Economic Development: Comprehensive Assessment of Digitalization in the Regions of Azerbaijan |
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| Abstract. In Azerbaijan, digitalization has been identified as a strategic priority within the framework of national development programs aimed at economic diversification, innovation-based growth, and improved governance. The article offers a comprehensive methodological framework that combines socio-economic indicators and spatial analysis to assess digital development in the regions of Azerbaijan, including large urban centers and the Karabakh Economic Region. The methodology includes indicators related to ICT infrastructure, digital accessibility, human capital and digital economic activity, which allows for a multidimensional comparison of regions, as well as an assessment of the level of regional digitalization in Azerbaijan and an examination of the role of digital infrastructure in promoting economic development and achieving sustainable results. Baku, being the undisputed leader in the level of implementation and application of IT technologies, has become the main digital and technological center of the country, however, territorial asymmetries remain in the level of deployment of digital infrastructure, the maturity of the IT ecosystem and the integration of digital technologies into regional economic structures. At the same time, many non-metropolitan regions have significant infrastructural, industrial and sectoral potential, which can serve as a basis for sustainable development based on digital technologies. This issue has become particularly relevant in the post-conflict context of the Karabakh Economic Region, where large-scale reconstruction creates a unique opportunity to introduce digital and intelligent technologies from the very beginning. Thus, the region is an important analytical example for studying the role of digital infrastructure in sustainable regional development. Empirical data reveal a pronounced regional asymmetry in the development of digital infrastructure, closely related to differences in economic indicators, investment attractiveness and innovation potential. The results highlight the strategic importance of targeted investments in digital infrastructure for balanced regional development and sustainable economic transformation. The study developed a consolidated regional digitalization Index (CRDI), which reflects digital infrastructure, accessibility, human capital, and digital economic activity in the regions of Azerbaijan, including the Karabakh Economic Region. The results show significant regional differences in digital development, with leading urban regions demonstrating higher productivity, investment attractiveness, and economic diversification. At the same time, peripheral regions face risks of economic marginalization due to insufficient digital infrastructure and limited digital technology skills. The results show that digitalization acts as the most important factor of regional competitiveness, but requires additional investments in human capital and institutional capacity. The study concludes that an inclusive and district-specific digital policy is essential to ensure balanced regional growth, economic sustainability, and long-term development of Azerbaijan. |
| Keywords: digital economy, regional development, digital infrastructure, sustainable development, Azerbaijan |
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| DOI: https://doi.org/10.54381/itta2026.2.07 |