Indian External Affairs Minister Subrahmanyam Jaishankar visited Baku on 23 October, marking the first bilateral visit by an Indian foreign minister to Azerbaijan in eight years. The diplomatic engagement seeks to repair relations strained after Baku backed Pakistan following Indian military strikes in May 2025. Tensions had triggered a 56 percent drop in Indian tourist arrivals alongside diplomatic friction over Azerbaijan’s Shanghai Cooperation Organization bid.
Both governments are now prioritizing economic cooperation, with bilateral trade reaching approximately $600 million in nine months, up from $401 million in 2025. Azerbaijan exported 524,338 tons of crude oil to India during this period, representing a fourfold increase. Energy trade leads the bilateral economic recovery. Over 1,000 Indian companies currently operate in Azerbaijan, while ONGC Videsh holds a 2.925 percent stake in the Azeri oil fields. Transport connectivity along the International North-South Transport Corridor remains central to New Delhi’s strategy. However, unresolved Indian defense sales to Armenia continue to test the bilateral thaw.