Vulnerability and opportunity
Archetype: Holding ground. Mid-table on both: neither badly hit nor well placed. One of 43 nations with a similar pattern of results.
Insulated over 10 years: lower vulnerability, lower opportunity than the median nation.
Main drivers of vulnerability over 10 years: Hybrid campaign, AI diffusion shock, Single-supplier cut-off. Highest exposure indicators: oil, gas and coal among the top five exports of a net exporter; land border with russia or belarus; no coastline; industry as a share of gdp; internet users as a share of population.
Downside scenarios: load test
Change in Azerbaijan’s capability index under each scenario at Standard Severe and current plans, largest fall first.
| Scenario | Exposure | Change | No response | Best practice | Rank shift | Bands lost | Weakest point |
|---|---|---|---|---|---|---|---|
| Infrastructure collapse S12 | High 0.68 | −0.71 | −0.96 | −0.43 | ▲ 2 | 14 | Sensing, Timing & Navigation 0.3 · Inception |
| Pandemic S14 | Medium 0.57 | −0.63 | −0.87 | −0.38 | ▲ 2 | 13 | Biotechnology & Health Technologies 1.2 · Inception |
| AI diffusion shock S13 | High 0.62 | −0.61 | −0.83 | −0.37 | ▲ 1 | 14 | Semiconductors & Advanced Computing 0 · Inception |
| Hybrid campaign S06 | High 0.72 | −0.55 | −0.80 | −0.35 | ▼ 4 | 15 | Sensing, Timing & Navigation 1 · Inception |
| Single-supplier cut-off S02 | High 0.69 | −0.46 | −0.67 | −0.30 | ▼ 2 | 10 | Semiconductors & Advanced Computing 0 · Inception |
| Global financial crisis S03 | Medium 0.41 | −0.43 | −0.61 | −0.27 | ▲ 2 | 8 | Political Institutions & Civic Participation 3.8 · Nascent |
| Legitimacy crisis S07 | Medium 0.50 | −0.40 | −0.51 | −0.22 | ▲ 2 | 6 | Political Institutions & Civic Participation 3.5 · Nascent |
| Geoeconomic confrontation S01 | Medium 0.38 | −0.39 | −0.53 | −0.24 | ▲ 2 | 8 | Semiconductors & Advanced Computing 0 · Inception |
| Sovereign funding crisis S04 | Medium 0.36 | −0.37 | −0.51 | −0.22 | ▲ 3 | 6 | Political Institutions & Civic Participation 3.9 · Nascent |
| Food and water shock S11 | Medium 0.36 | −0.31 | −0.47 | −0.21 | ▲ 2 | 5 | Population Health 7.3 · Foundational |
| Disaster in the core S10 | Medium 0.37 | −0.26 | −0.40 | −0.18 | ▲ 2 | 9 | Financial System Depth & Access 6.4 · Foundational |
| Chokepoint closure S05 | Low 0.21 | −0.17 | −0.25 | −0.11 | ▲ 5 | 5 | Maritime Power 3.6 · Nascent |
| Mass displacement S08 | Low 0.28 | −0.16 | −0.24 | −0.11 | ▲ 5 | 3 | Political Institutions & Civic Participation 4.1 · Nascent |
| Energy supply shock S09 | Low 0.18 | −0.16 | −0.24 | −0.10 | ▲ 7 | 4 | Energy Technologies 1.8 · Inception |
Where each scenario lands
Change in each of the nine capability domains, in points. Darker is a larger fall.
| Scenario | CT | SI | NS | HC | II | GI | FS | PI | TI |
|---|---|---|---|---|---|---|---|---|---|
| Infrastructure collapse | −0.85 | −1.03 | −0.37 | −0.37 | −0.37 | −0.92 | −0.86 | −0.84 | −0.74 |
| Pandemic | −0.66 | −0.34 | −0.27 | −0.81 | −0.71 | −0.76 | −0.71 | −0.70 | −0.70 |
| AI diffusion shock | −0.73 | −0.34 | −0.30 | −0.90 | −0.68 | −0.93 | −0.79 | −0.43 | −0.39 |
| Hybrid campaign | −0.41 | −0.90 | −0.98 | · | −1.00 | −0.94 | · | −0.38 | −0.38 |
| Single-supplier cut-off | −0.82 | −0.25 | −0.32 | −0.39 | · | −0.79 | · | −0.80 | −0.80 |
| Global financial crisis | −0.22 | −0.22 | −0.19 | −0.43 | −0.43 | −0.54 | −0.72 | −0.62 | −0.49 |
| Legitimacy crisis | −0.30 | · | −0.59 | −0.30 | −0.69 | −0.97 | −0.79 | · | · |
| Geoeconomic confrontation | −0.47 | −0.21 | −0.19 | · | −0.49 | −0.47 | −0.49 | −0.48 | −0.72 |
| Sovereign funding crisis | −0.04 | −0.31 | −0.17 | −0.43 | −0.39 | −0.53 | −0.65 | −0.39 | −0.44 |
| Food and water shock | −0.04 | −0.36 | −0.16 | −0.43 | −0.42 | −0.44 | −0.21 | −0.36 | −0.41 |
| Disaster in the core | −0.02 | −0.53 | −0.16 | −0.40 | −0.18 | −0.44 | −0.24 | −0.18 | −0.18 |
| Chokepoint closure | −0.02 | −0.28 | −0.23 | · | −0.12 | −0.26 | −0.11 | −0.21 | −0.27 |
| Mass displacement | · | −0.16 | −0.12 | −0.32 | −0.27 | −0.36 | −0.15 | −0.02 | · |
| Energy supply shock | −0.04 | −0.23 | −0.09 | −0.10 | −0.10 | −0.22 | −0.26 | −0.25 | −0.22 |
Columns: CT Critical Technology · SI Strategic Infrastructure · NS National Security · HC Human Capital · II Information & Influence · GI Governance & Integrity · FS Financial Strength · PI Production & Innovation · TI Trade & Investment.
Upside scenarios: capture test
Net position in each upside scenario: what Azerbaijan is ready to capture, less what it stands to lose.
| Scenario | Position | Net | Capture | Loss | Readiness | Rank | Binding capability |
|---|---|---|---|---|---|---|---|
| Sovereign debt reset S19 ↗ | Mixed | +0.7 | 3.4 | 2.7 | 31 | 129 | Transparency, Oversight & Accountability 4.7 · Nascent |
| Great-power détente S18 ↗ | Mixed | +0.4 | 12.0 | 11.6 | 31 | 108 | Export Capability & Sophistication 5.3 · Nascent |
| 100-day pandemic defence S24 ↗ | Mixed | −2.3 | 14.1 | 16.4 | 25 | 156 | Biotechnology & Health Technologies 2.4 · Inception |
| Emerging-market breakout S20 ↗ | Mixed | −5.2 | 14.0 | 19.2 | 38 | 179 | Investment Attraction & Projection 6.7 · Foundational |
| Biomedical breakthroughs S17 ↗ | Loser | −16.2 | 13.1 | 29.3 | 25 | 155 | Biotechnology & Health Technologies 2.4 · Inception |
| Digital state leapfrog S23 ↗ | Loser | −17.0 | 10.9 | 27.8 | 25 | 180 | Connectivity, Cyber & Trust Technologies 2.6 · Inception |
| Superintelligence takeoff S15 ↗ | Loser | −20.5 | 8.4 | 28.9 | 18 | 102 | Semiconductors & Advanced Computing 0.5 · Inception |
| Yield revolution S22 ↗ | Loser | −21.4 | 5.0 | 26.4 | 25 | 191 | Biotechnology & Health Technologies 2.4 · Inception |
| Middle East settlement S21 ↗ | Loser | −36.1 | 5.0 | 41.1 | 42 | 187 | Energy Infrastructure 7.8 · Foundational |
| Energy abundance S16 ↗ | Loser | −55.1 | 2.9 | 58.0 | 24 | 181 | Energy Technologies 2.2 · Inception |