THE IMPACT OF TAX INCENTIVES ON INVESTMENT ATTRACTIVENESS IN POST-CONFLICT AREAS: THE CASE OF KARABAKH AND EAST ZANGEZUR

Abstract

The main purpose of the research is to evaluate the impact of tax incentives applied in the Karabakh and East Zangezur economic regions on investment attractiveness. In the study, quantitative analysis and SWOT analysis methods were used, and the existing tax legislation together with statistical indicators covering the years 2020-2025 were analyzed. The main findings of the research show that 10-year tax exemptions reduce investors’ costs and increase the profitability of projects. These incentives create a predictable environment for entrepreneurs and play a key role in the rapid development of the region. The main limitation of the study is the lack of long-term statistical time series due to the region still being in the reconstruction phase and the continuing formation of some economic indicators. The scientific novelty of the study lies in the investigation of the comprehensive impact of these incentives on the economic revitalization of the region. The practical significance of the research is that the results obtained may be used in improving future investment policies.