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The aim of the study is to analyze еhe role of medium and small cities in development of regions in the Republic of AzerbaijanMethods. The study used the method of comparative historical methods, statistics, analyze.Results. As a result, recommendations and suggestions were made to regulate the economic structure of small and medium-sized cities, and to increase the role of the regions in the development of the country.  One of the main directions of socio-economic development are the reconstruction of the economic structure of small and medium-sized cities, the creation of new production and service facilities in these areas, and the organization of public services at the level of modern requirements. With these activities, new workplaces will be created and cities will play a role in the development of the country.Scientific novelty. Cities play an important role in the location of agricultural areas and population, in the processing of natural resources and agricultural products. These factors have a significant impact on regional development as well. Most of the cities in Azerbaijan are medium and small. Therefore it covers all regions of the country. Given this, it is possible to ensure the socio-economic development of the regions by developing small and medium-sized cities. However, the role of the regions in the socio-economic development of the country is still weak. It shows itself in the production of more industrial products. To solve the problem, it is necessary to construct new light and food industry facilities and service facilities in the regions. Natural and geographical conditions, the use of natural resources, and EGP are influenced by urban development in Azerbaijan. The majority of urban areas in the country are located in plains and foothills, close to water basins and the Caspian coast. For many years the processing of agricultural products has been the basis of urban economic structures. Different objects of the secondary industry are functioning in the cities due to the diversified structure of agriculture. However, during the transition period, their activities stopped, the production of industrial products declined and workplaces were closed. This factor has slowed the decrease of the urban population and increased migration. During the preparing of the article, the annual reports of the State Statistical Committee on regional development, industry, socio-cultural development played a statistical base role.

THE ROLE OF MEDIUM AND SMALL CITIES IN DEVELOPMENT OF REGIONS IN THE REPUBLIC OF AZERBAIJAN