THE LAW OF SCIENCE IN AZERBAIJAN

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 The Law of Science in Azerbaijan

Introduction

The 2016 Law of the Republic of Azerbaijan on Science changed and improved

Azerbaijan's scientific infrastructure. There is an outline of the scientific organization,

administration, and promotion of the law. It also examines scientific subjects' goals, rights,

responsibilities, and funding options. This law's seven chapters and forty articles define and

clarify forty scientific and intellectual fields. It establishes the institutional and legal framework

for protecting scientists, disseminating their work, and state engagement (CIS Legislation, 2016).

The Azerbaijani government approved the "State Programme on the Development of Science in

the Republic of Azerbaijan for 2009-2015" in 2009. This policy aimed to boost scientific

research, increase national scientific expertise, and expand academic-private sector partnerships.

Technology, biology, energy, and agriculture dominated.

The Azerbaijan National Academy of Sciences is crucial to scientific research financing

and assistance. Grants, fellowships, and scholarships to worthy individuals subsidize research.

The government created a State Fund for Information Technology Development and a State

Programme for Education Development to fund scientific research nationwide (Menashy, 2013).

The statute's passage has led to several notable events. The Ministry of Education will rename

itself the Ministry of Science and Education and establish a national scientific day and a new

governmental agency for education and science. The government has also launched many

programs to improve research nationwide. The Ministry of Science and Education received 37

institutions from the Azerbaijan National Academy of Sciences (ANAS) after its dissolution in

2022. Institutions included botanical gardens, experiment-industrial plants, high-technology

parks, museums, scientific production associations, and astrophysical observatories. The

Ministry of Culture presently has three more departments. After restructuring, the National

Academy of Sciences will oversee 26 research institutions. The Azerbaijani scientific community

has profited from these reforms, although more work remains. Azerbaijan needs entrepreneurial

higher education institutions (HEIs) to compete in the global market. State-funded research

transparency and selection processes have also been subject to questioning (Ahmedbeyli, 2022).

Contribution of the Analysis to the Existing Literature

Azerbaijan poses unique challenges in gaining funding for scientific research and

development, and this examination of the country's Science Law and its impact on science

funding contributes to the existing body of knowledge by providing light on these challenges. It

thoroughly examines the country's scientific strategy and its implications for the funding

program. The assessment also aims to investigate strategies used in successful cases in other

countries that may aid in overcoming these impediments and streamlining grant registration

while expanding private sector involvement in R&D funding. This viewpoint gives new insight

by looking at successful models in other countries and evaluating their adoption in Azerbaijan.

The research contributes to the body of knowledge by offering a more nuanced view of the

dynamics between Azerbaijan's science policy, funding mechanisms, and the barriers to

expanding the country's scientific community. It presents new insights and ideas for improving

grant registration procedures and enticing the private sector to contribute to R&D funding by

examining how other countries have tackled comparable difficulties.

Objectives of the Analysis

This critical policy analysis paper will investigate the effects of implementing the Law on

Science in Azerbaijan on science funding. Specifically, it will examine the implications of

limited government funding and the obstacles research institutions encounter when accessing and
registering foreign grants. Furthermore, the study explores the feasibility of streamlining the

grant registration process and incentivizing the private sector to invest in research and

development. The paper will also draw insights from successful practices in other countries to

propose strategies and recommendations for enhancing science funding in Azerbaijan.

Research Question

How does the law affect science funding in light of restricted government funding and

difficulties obtaining foreign funds?

What solutions might be extrapolated from successful cases in other countries to expedite

grant registration and stimulate private-sector participation in research development and

funding?

Methodology

Research Approach: A mixed-methods approach is suitable because it will

comprehensively understand the issue by combining quantitative data analysis with qualitative

insights from key stakeholders.

Data Collection: The research involved collecting primary and secondary data to analyze

the effects of the Law on Science on science funding in Azerbaijan. Preliminary data is obtained

through interviews with policymakers, researchers, representatives from research institutions,

and other relevant stakeholders. Secondary data are sourced from reports, policy documents, and

statistical databases from organizations such as the State Statistical Committee of the Republic of

Azerbaijan, the OECD, and the United Nations Economic Commission for Europe.

Quantitative Analysis: Analyzing the quantitative data from the State Statistical

Committee and other relevant sources to assess the trends and patterns of science funding in

Azerbaijan over time, calculating percentages of R&D expenditures concerning GDP and state
budget expenditures, and examining the changes in these figures over the years. The findings are

compared with international benchmarks and averages from organizations like the OECD.

Qualitative Analysis: Conduct qualitative analysis of the primary data collected through

interviews. The research used thematic analysis to identify key themes, patterns, and challenges

related to limited government funding and obstacles encountered by research institutions in

accessing and registering foreign grants. The research further analyzed the qualitative data to

gain insights into stakeholders' perspectives and experiences.

Comparative Analysis: The research involved drawing insights from successful practices

and strategies implemented in other countries to enhance science funding, which involved

conducting a comparative analysis of the policies, funding mechanisms, and incentives employed

in countries with higher levels of investment in research and development. This analysis can

serve as a basis for proposing strategies and recommendations specific to the Azerbaijani

context.

Comparative Analysis

Policy Layered Model

Policy scholars use metaphors and models to describe the policy process, its

relationships, and areas of activity (Ho and Dimmock, 2023). The Basic Layered Model is

flexible and allows for various approaches and investigations within the 'policy space (Bowe, et

al. 1992).' The policy space encompasses policy-making, social and political contexts, and

operationalization of policy (Olssen, et al. 2004). The model includes three levels that capture

power dynamics and the location of actors in the policy process (Rawat and Morris, 2016). It

recognizes that policy actors have different positions, influence, leverage, and concerns

(Schleicher, 2018), often shaped by institutional relations (Doherty, 2011). Additionally, the
model considers the impact of ideas, ideological commitments, and practice cultures. The policy

space represents the complexity of the policy field, including policy initiation, making,

implementation, restriction, and interactions with other policies and institutions (Dryzek, John,

2009). While the model focuses on different levels, they are interconnected and mutually

influenced.

Incorporation of the Model

A good policy implementation model should take into account the demand for public

goods, responses to social problems, public and media panics, public opinion, agenda control

theories, decision-making, and the political process (Dryzek, John, 2009). Incorporating societal

requirements, goals, and expectations into science policy aids in the prioritization of public

goods such as research and innovation (Doherty, 2011). Science policy includes identifying

research needs, creating new fields of study, and using science to solve social issues (Dimmock,

et al. 2021). Incorporating social issue-solving methods into the model helps policy responses

match societal needs. Public opinion and media hysteria can influence policy (Ho and Dimmock,

2023). Public opinion can be influenced. When adding this variable to the model, consider public
opinion, media sensationalism, and media attention (Olssen, et al. 2004). Understanding how

public opinion affects legislators' objectives and responses.

Public policymaking requires public input. Stakeholder interaction or polls includes

public opinion in the model. Public opinion can influence government policies and science

funding. Agenda control theories explain the prioritization of some topics on the policy agenda

(Weick, 1976). Science policy must consider the factors that decide which disciplines of inquiry

obtain financing and the power dynamics that drive the policy agenda (Fullan, 2006). Agenda

control approaches can shed light on the selection and prioritization of scientific topics of

interest. Decision-making is required for policy execution policy (Ho and Dimmock, 2023).

Understanding the participants' roles and considerations is crucial to incorporating decision-

making into the model (Spillane et al. 2002). Examples include political, economic, and social

variables, evidence, expert opinion, and stakeholder involvement. "The political process" refers

to the collective contacts, agreements, and power distributions that take place between political

actors and institutions. Policy implementation necessitates an understanding of political

dynamics (Bowe, et al. 1992). The model must include policy advocacy, interest groups,

lobbying, political parties, and institutions to include scientific policy.

Nationalism Theory

When applied to Azerbaijan's science policy, the nationalism theory highlights the

significance that nationalism plays in setting the focus and trajectory of the country's scientific

endeavors (Pryke, 2012). Nationalism drives Azerbaijan's scientific strategy, which prioritizes

generating and using cutting-edge knowledge to meet national goals such as boosting the

country's energy resources, strengthening the military, and maintaining its rich cultural legacy

(Nationalism, 2023). Nationalist principles emphasize the need to foster and support indigenous
scientific prowess (Kohn, 2023; Periwal, 1995). Azerbaijan's science strategy prioritizes K-12

and higher education spending to stimulate the expansion of local scientific talent in support of

national goals (Smith, 2013). The plan aims to boost domestic scientific capabilities while

minimizing demand for imported knowledge (Smith, 1983). Nationalist ideology links to

academic power consolidation and the smothering of opposing voices (Conversi, 1995). Because

of the strict restrictions governing research activities, the Azerbaijani government has a tight

grasp on the direction and outcomes of scientific efforts (Finlayson, 1998). Keep in mind that

trustworthy sources must support this claim.

The government's emphasis on the significance of science and technology as engines of

economic progress and modernization is consistent with nationalism's objectives (Lawrence,

2005). Applied science, which promotes practical applications that serve economic interests, is

often prioritized over basic research on the national agenda (Jaffrelot, 2005). Problems

registering and obtaining foreign funds: Nationalism can limit international participation and

control in scientific pursuits, making it more difficult for Azerbaijani research institutions to

qualify for and get international financing (Codd, 1988). Following the nationalist attitude of

valuing indigenous resources and knowledge while being wary of foreign influence on scientific

agendas, the government may enact strict rules and standards to analyze and manage the flow of

external money (Brown, 2000). Restricting foreign funding for nongovernmental organizations

(NGOs): The nationalism argument can explain the government's reluctance to accept donations

from foreign organizations, particularly if such monies aim to promote projects connected to

democracy, the rule of law, freedom of expression, or other areas with possible political purposes

(Chernilo, 2011). When viewed via a nationalist lens, the government may perceive these as

touchy areas to stress over (Özkirimli, 2000). Limiting foreign funding to civil society
organizations is consistent with the nationalist worldview of limiting foreign influence on

domestic concerns and ensuring that initiatives align with the government's goal of national

progress.

Conservatism Theory

The conservatism argument explains why Azerbaijan is reluctant to accept foreign

donations and actively strives to prevent civil society organizations from receiving them.

Conservative government. International and regional organizations prioritize funding

transparency, open government, democracy, the rule of law, and government efficiency (Goodin

et al., 2008). These topics may not seem politically charged, but they could become so and

influence government objectives (Wilson, 2013). As a result, the government takes a careful

approach in order to safeguard national sovereignty and minimize reliance on foreign entities

that could jeopardize research goals (Cano‐Rodríguez and Núñez‐Nickel, 2015; Sklar, 1975).

Conservative ideals have led to strict procedures and standards to guarantee that foreign grants

serve national aims and do not harm the country's interests and values (Larson and Gebre-

Egziabher, 2017). Stopping international donor financing for local civil society organizations:

Conservatism may explain why the government is hesitant to completely embrace civil society

organizations that receive outside support for issues including democracy, the rule of law, and

free expression (Huntington, 1957; Wilson, 1941). Conservative government members would see

this support as harmful to national security and ideals (Drolet & Williams, 2018). The

government limits foreign financing supplied to civil society organizations to keep its finger on

the policy horn, maintain stability, and support foreign participation in internal issues.

Educational Framework
 Educational ideologies prioritizing scientific and technological progress and international

collaboration shape Azerbaijan's science policy (Watts, 2003). The country's education system

emphasizes STEM education and training in modern research methods. Additionally, its

commitment to sustainable development and innovation-driven growth principles influences

Azerbaijan's science policy.

Limited government funding

STEM educational ideology emphasizes investing in science, technology, engineering,

and mathematics (STEM) fields to drive innovation and economic growth (Fallon 2011). In the

context of Azerbaijan's Science Policy, the government's limited financing may represent a

deliberate emphasis on fostering advanced technologies and technoparks, which aligns with

STEM education ideals. (Viereck, Dagger, and Minogue, 2023). By channelling resources into

specific areas with high potential for technological advancement, the government aims to

maximize the impact of limited funding and stimulate innovation-driven economic growth.

Challenges in accessing and registering foreign grants

Challenges in accessing and registering foreign grants arise from recent changes in the

government's law on reporting foreign grants. Despite recognizing the value of international

collaboration in STEM educational ideology, creating a more supportive environment for such

collaboration and simplifying the registration process for foreign grants is necessary (Honstein,

2023). Establishing clear guidelines that align with the policy's emphasis on international

cooperation in science is crucial. It could involve revising the existing law on grant registration

to ensure it facilitates the entry of foreign grants into the country (Honstein, 2018). Streamlining

bureaucratic procedures and fostering partnerships with international funding agencies would

also contribute to overcoming these challenges. By taking these steps, Azerbaijan can enhance its
access to diverse funding sources and strengthen its scientific research and technological

development through international collaboration.

Global Education Policy

Azerbaijan's scientific research funding is affected by worldwide education laws. The

Science Policy emphasizes STEM topics, reflecting a global trend to improve these fields to

meet the needs of the information economy, which is due to a worldwide campaign to promote

STEM education as an economical and creative driver (Cunningham, 1963). Nationalist beliefs

that prioritize budget distribution based on national interests affect program implementation

(Verger et al. 2012). It may be impossible to balance resources among disciplines, which could

reduce support for non-STEM subjects (Rizvi and Lingard, 2010). Due to this, some places may

lack trained workers, which hinders scientific variety (Vavrus and Seghers, 2010). The 2022

science and education administration makeover aims to align it with the finest international

practices for increasing productivity without losing quality (Dale, 1999). Resource allocation

was unpredictable because the procedure was unclear about who granted which cash, hence

showing the challenge of adopting international best practices in a specific region.

International human rights and transparency organizations and global and regional

powers like the US have shaped Azerbaijan's science policy (Mundy, 2016). They emphasize

democracy, openness, accountability, and the rule of law to attract international commercial

funding for NGOs, academic institutions, and scientific groups (Ball, 1993). Azerbaijan responds

cautiously to these requests to avoid international meddling and protect national sovereignty

(Dale, 2005). They have constructed legal and non-legal barriers that make grants harder to get

and limit foreign funding (Dale and Robertson, 2002). These obstacles make grant applications

harder OECD (Viennet and Pont, 2017). These laws impact NGOs, research institutes, and
scientific organizations' budgets. The government imposes restrictions to prevent outside

intervention and maintain financial stability (Muhr, 2010). The government is creating these

barriers to prevent foreign institutions from exerting too much influence and protecting vital

national interests (Brown, 1996). Despite their importance in scientific development and

innovation, these constraints can make collaborating, communicating knowledge globally, and

getting funding harder.

Fund Allocation and Utilization

Azerbaijan's scientific policy hinges on research and development funding allocation and

utilization. Despite the Azerbaijani Science Law's transparency and selection requirements for

state-funded research programs, there are express concerns. Azerbaijan revised its research and

education administration in 2022, renaming the Ministry of Science and Education and

transferring various scientific institutes or the Azerbaijan National Academy of Sciences

(ANAS). This rearrangement demoted certain museums. Reforms to improve Azerbaijan's

scientific and education administration have helped (Li, 2001). The organizational rearrangement

confused who was responsible for which financial methods, which affected researchers and

funders. Since 2016, the Azerbaijani Science Policy has undergone 22 revisions; however, its

funding regulations have remained unaltered and are one of the policy's few unaltered parts.

Instead, the government prioritizes international collaboration, industry participation in research

and development, educational quality, academic title conferral, dissertation committee formation,

scientific activity control, and social protection for scientists.

In 2017, the government mandated the registration of foreign grants and donations to

NGOs, notwithstanding its emphasis on international research cooperation, which slowed outside

fund gathering and added bureaucracy. (These laws were meant to increase openness and
accountability but limited the number of international funds the scientific community could

secure, hindering research and development and international collaboration. The scientific

community struggles to acquire and distribute resources in the current political and economic

climate. This major obstacle restricts international cooperation, prohibits Azerbaijan from

participating in international schemes, and delays funding. These issues degrade scientific

education and research. Azerbaijani research institutions depend heavily on state support under

current laws. This reliance makes it challenging to distribute funding fairly and undertake high-

quality research with the finances available.

Funding Mechanisms

The Law of the Republic of Azerbaijan on Science provides the framework for funding

scientific activities, even if the details of the funding mechanisms outlined in Azerbaijan's

science policy are not readily available. If the underlying assumptions are recognized, If policy

dictates, the state budget may be amended to incorporate additional funds for R&D in the field of

science. Governments, for example, may set aside funds for scientific activity, which are then

disbursed to various research centers, institutes, and initiatives (Nakhiyev, 2020). Grant

programs under this strategy may make funding available for scientists and research facilities.

Priorities for funding for such grant programs may include increasing cross-disciplinary

collaboration among researchers or stimulating innovation and technology transfer

(ToghrulVeliyev, 2023). Grant programs may require applicants and grantees to go through a

selection procedure that provides for peer review, research project evaluation, and adherence to

predetermined criteria and guidelines.

The scientific policy may allow researchers and groups to compete for funding through

contests. Typically, the rules regulating such conflicts may define specific subjects, priorities, or
disciplines of study. Scientists submit applications, which are then rigorously examined, with the

best ones gaining funding based on merit and alignment with policy aims (Aliev, 1997). Grant

management strategies may be included in the scientific policy to guarantee that existing funds

are utilised efficiently (Suleymanov, 2019). The duties of grantees in financial reporting,

progress reporting, and regulatory compliance are detailed. The policy may require periodic

reporting on spending, research status, and findings.

Challenges and Obstacles Associated with Funding Scientific Research

Azerbaijan's struggles to fund scientific research require sufficient funding. Azerbaijan's

low research project financing creates a highly competitive environment. Thus, many great ideas

may go unfunded (Kotter, 1995). Many Azerbaijani research programs depend on government

funding. Since money decisions are usually centralized and bureaucratic, this dependence may

cause issues (Bacchi and Goodwin, 2016). The dependency reduces the number of funding

sources, making the research community vulnerable to government policy changes and financial

constraints (Tawell and McCluskey, 2022). Research fund allocation and distribution must

become public to ensure transparency and accountability. Azerbaijani researchers and

institutions may feel mistreated due to a lack of transparency in the selection and funding of

research projects (Fairclough, 2013a). Researchers and businesses must collaborate to

commercialize, transfer, and innovate. However, a lack of scientific community-industry

engagement in Azerbaijan may make securing industrial capital and applying research harder

(Webb, 2014). No research infrastructure means no high-quality research. This infrastructure

comprises modern labs, research facilities, and technology. Some Azerbaijani universities and

research institutions may struggle to maintain and improve their research infrastructure, limiting

scientific inquiry (Fairclough, 2013b). Several nations struggle with skilled scientists and
academics departing for better opportunities and resources (Bonal, 2003). Azerbaijan's brightest

may leave for better opportunities abroad. As a result, the country's research community may

lose experienced workers and vital knowledge.

Impact to Implementation of the Science Policy

The government's new research policy may affect Azerbaijan's scientific community, and

the national approach can advance research in many academic sectors. The policy framework,

finance channels, and support systems may encourage researchers to study unique and essential

themes (Richmond et al. 2007). New knowledge, facts, and technical improvements may arise.

Well-executed science policy may benefit the economy (Sutherland et al. 2012). Increasing

R&D, innovation, and university-industry partnerships could promote economic growth. Science

may create new businesses, technologies, and high-skilled jobs. Careful scientific strategy can

help education and professional growth (Quevauviller et al. 2005). The policy's focus on STEM

subjects could improve academic standards, expose students to the scientific process, and create

a more knowledgeable and skilled workforce, which may help meet the demand for highly

trained technologists and scientists.

Science policy can increase international cooperation and involvement. If Azerbaijan

adopted global scientific standards, participated in international research programs, and

encouraged scientific exchange, it could benefit from partnerships and collaborations with

researchers and institutions worldwide in areas like knowledge sharing, cultural understanding,

and access to international funding and resources (Marburger III, 2011). Public scientific

decisions can affect society's health. Financing healthcare, biotechnology, and environmental

science research could improve medical care, illness prevention, and ecological sustainability

(Brodie et al. 2016). Well-implemented scientific strategy can boost Azerbaijan's national and
international competitiveness (Fraser et al. 2006). Scientific research, innovation, and technology

spending can boost foreign investment, economic growth, and global rankings.

Policy's Guidelines, Regulations, and Procedures.

The report on Azerbaijan's scientific research funding criteria, legislation, and methods is

condensed here: The essence of funding scientific projects is to increase knowledge, scientific

and technological expertise, and scientific competition. Recognized institutions on the "List of

Institutions that Can Provide Grants" run financial support competitions in activity areas

approved by the President of Azerbaijan. Competitions require cooperation, responsibility, and

accountability between the giver and the recipient (Gale, 2001). Competitions follow the state

research strategy and donor institution charter priorities. These criteria pick projects. Forward-

thinking, essential, and practical research projects that help Azerbaijan grow politically,

economically, socially, and culturally are prioritized. Along with larger scientific institutions,

institutes, and legal entities, Azerbaijani scientists, researchers, and professionals are encouraged

to compete.

Collaborative project leaders and co-leaders must have scientific backgrounds,

accomplishments, project management skills, and global scientific contacts. The project leader

and others must have published in national and international journals. The project's goal should

match national and worldwide scientific endeavors. Science, economics, and legislation must

support the project's anticipated cost. Project members need the necessary resources to conduct

the recommended scientific inquiry. Three years is the maximum project duration. Project

submission and assessment require meeting donor institution deadlines for electronic and hard

copy submissions.
 Businesses must provide state register extracts, and individuals must show ID.

Independent specialists and financial agency-appointed expert groups evaluate projects. There

will be an assessment of the idea for research, feasibility, and financial support during the

evaluation. The funder may contact the project manager for more information during the review.

Expert analysis determines grant eligibility. When selected to complete a sponsored project, the

donor and beneficiary will sign a bilateral contract. The contract specifies each party's rights,

obligations, responsibilities, financial support, project deadlines, reporting standards, and

monitoring procedures. The recipient's bank account receives financial rewards when the project

achieves more essential goals. The award is exempt from state budget deductions, but recipients

must pay taxes and social insurance. Funding organizations might seek budget updates and audits

during project implementation.

Strengths, weaknesses, opportunities, and challenges of the policy

Azerbaijan's science policy details the regulations and standards needed to get

government funding for scientific research. Transparency helps researchers and organizations

meet funding competition standards. Innovative, rigorous, and aligned with national and global

science agendas are prioritized for funding. Due to the emphasis on creativity and basic research,

the nation is well-positioned to gain from growing scientific growth and development. The

policy levels the playing field for all competing higher education and scientific research

organizations, regardless of size, organizational structure, or legal status. Openness benefits

many people and ideas.

This law limits project funding to three years, which may help keep the research on track

and focused, but it may also restrict the research over time, which may be detrimental. The

requirement that project leaders and participants have published in national and international
publications may penalize early-career researchers or those in sectors with few publishing

opportunities, reducing applications and hindering them.

International scientific exchanges will boost collaboration between Azerbaijani and

foreign researchers. Partnerships facilitate information sharing, cultural exploration, and

Azerbaijani scientific research abroad. Multidisciplinary research Large-scale studies encourage

multidisciplinary research endeavors under the policy. Specialists from diverse fields may

collaborate to solve complex social issues.

Financial constraints make Azerbaijan's science program difficult. The amount of

supported research initiatives may be limited, slowing scientific progress nationwide. Relying on

experts to pick which projects to pursue can lead to subjectivity or bias (Hay, 2002). A fair,

open, and diverse expert panel review process is needed to strengthen merit-based selection and

remove this impediment. Access to and maintenance of research infrastructure might be difficult

for time- and resource-intensive projects. Azerbaijan's scientific and academic institutions need

better facilities to compete.

Political Economy, Policy Institutions, Policy Culture, Policy Actors

A variety of interconnected issues shape the landscape of Azerbaijani scientific policy.

These components include policy actors, culture, institutions, and political economy. All of these

elements influence the development, implementation, and outcomes of scientific policy.

Although their particular abilities differ, recognizing how they complement one another is

critical (European Union, 2021). The Azerbaijani Ministries of Education and Economy are two

examples of critical policy organizations creating and executing the country's scientific agenda.

By establishing the required legal and regulatory structures, allocating resources, and monitoring

their use, these institutions lay the groundwork for policies (Lefebvre et al. 2022). They impact
science policy's effectiveness and future direction through interactions with other elements such

as policy actors, the political economy, and policy cultures.

The country's political economy influences Azerbaijan's science policy, encompassing

Political actors, interest groups, and economic factors all impact funding decisions, research

priority rankings, and policy agendas. Factors such as the availability of financial resources, the

strength of foreign connections, and economic development goals can all impact science policy

priorities and directions (Kress, 2012). Policy Environments Policy cultures are the shared

attitudes, ideas, and practices that influence policy decision-making. Azerbaijan's science-

friendly policy culture may include attitudes toward study, collaboration, and innovative ideas

(Olssen et al, 2004). These cultures can influence the making of choices, the amount of money

for investing in research, and how much cooperation exists between the government,

corporations, and institutions. Components such as the political economy and policy actors may

impact the evolution of policy cultures through time.

Policy actors are the various organizations and individuals involved in developing,

enforcing, and evaluating scientific policy. Everyone from bureaucrats to academics to

businesses to civil society representatives and others (HM Treasury, 2022). Policy actors engage

in various activities, including campaigning for specific fields of study, providing advice,

influencing policy agendas, and competing for funds. Collaboration, competition, and influence

among policy actors can all have a significant impact on the outcomes of scientific policy.

Regarding allocating power in Azerbaijan's scientific policy, policy institutions, and political

actors (government officials) stand out as critical participants. They have the authority to make

policy decisions that affect the entire policy environment, as well as to formulate and implement

policies and distribute resources (Thomas and Palfrey, 1996; ToghrulVeliyev, 2023). However, it
is essential to recognize the role of researchers, institutions, and industry representatives as

"policy actors." Their knowledge, connections, and advocacy can all impact the policy agenda,

research priorities, and budget allocations.

Conclusion

Conclusion of the Findings

Azerbaijan spends 0.16 per cent of its GDP on R&D, which is low compared to other

countries and is substantially below the OECD average of 2.7%. Table 1 shows Azerbaijan's

science budget history. These expenditures are rising as absolute figures but declining as a

percentage of GDP, which indicates that nominal finance has not kept pace with economic

growth. Table 2 shows that local R&D spending in Azerbaijan has dominated despite financial

constraints. Despite this, the country's R&D funding, both current and capital, remains low.

Third-party R&D costs are a small portion of the R&D budget. The data shows that applied

research receives only 0.03% of Azerbaijan's GDP, indicating a severe funding gap for practical

research. Applied research needs more financing. Limited funding for applied research hinders

innovation-driven economic growth. National Innovation Strategy Importance Azerbaijan needs

a national innovation strategy to address funding challenges and increase applied research. New

financial programs and policy instruments should encourage applied research to boost innovation

and economic development. This plan should incorporate new funding and policy tools for

applied research.

Recommendations and Implications

The following evidence-based recommendations can mitigate Azerbaijan's poor R&D

spending. Azerbaijan should increase its GDP allocation to research and development. To boost

economic growth and innovation, the OECD advises governments to invest 2.7% of GDP in
R&D. This requires continual financing for research and development. Despite increasing

research investment, Azerbaijan's research budget has dropped. R&D spending should increase

to match economic growth to reverse this decreasing trend. Science and research should receive

a higher share of the state budget to reflect their importance to national development.

Diversifying Azerbaijan's financial sources can help the government close the economic gap

between its R&D needs and resources, even though it will require more local spending.

The government should partner with foreign enterprises, non-profits, and governments to

expand R&D spending. Despite its importance in fostering new ideas and practical applications,

applied research receives only 0.03% of government funding. Federal finance and incentives

should foster applied research and collaboration between commercial firms, academic

institutions, and government agencies, thus assisting in developing and implementing

groundbreaking ideas that enhance lives and the economy. Azerbaijan should adopt a national

innovation plan to capitalize on opportunities in the country's increasing scientific community. A

comprehensive approach requires more R&D investment, stakeholder participation,

entrepreneurialism and innovation, and research commercialization. It should also include plans

to improve the research environment and recruit highly skilled scientists.

These ideas could yield many results. First, increased research and development spending

would encourage creative thinking and lead to new companies, products, and services, thus

promoting competitiveness, economic growth, and job creation. Diversifying financing sources

reduces a country's dependence on its resources and opens the door to international collaboration

and information sharing (Gulson et al. 2015). Applied research would speed up scientific study

implementation in healthcare, agriculture, energy, and technology. It would also boost

innovation by encouraging commercial alliances and new firms. Finally, a national innovation
strategy would create a road map for long-term planning, coordination, and execution of

scientific and research policies and activities.

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