This study investigates the long-term relationship between GDP and foreign direct investment (FDI) in the Azerbaijani economy, taking into account structural changes. In the analysis, nominal GDP and FDI figures were deflated to 2005 base-year values and transformed into natural logarithms to ensure constant variance. Augmented unit root tests, incorporating dummy variables for structural breaks, confirmed the stationarity of both series. The Johansen cointegration test, while accounting for structural breaks, indicated the existence of a long-term equilibrium relationship between GDP and FDI. The results obtained using FMOLS and DOLS methods reveal that a 1% increase in FDI is associated with an approximate 0.26% increase in GDP. These findings underscore the significant role of foreign direct investment in economic growth and emphasize the importance of accounting for the dynamic effects of structural changes. The study's outcomes highlight that FDI is crucial for shaping strategies and formulating policy measures aimed at both diversifying GDP and achieving long-term, sustainable economic growth.