The state budget for next year has been adopted by the Milli Majlis.
The editorial office reports that the draft law "On the State Budget of the Republic of Azerbaijan for 2026" was discussed at today's plenary session of the parliament.
For information, the state budget revenues for 2026 are projected at 38,609.0 million manats, which is 253.0 million manats or 0.7 percent more than the 2025 forecast, and 1,447.2 million manats or 3.9 percent more than the 2024 execution.
State budget expenditures are projected at 41,703.6 million manats, which is 296.0 million manats or 0.7 percent more than the 2025 forecast, and 3,990.0 million manats or 10.6 percent more than the 2024 execution.
The upper limit of the state budget deficit is projected at 3,094.6 million manats or 2.3 percent of GDP.
State budget revenues for 2026 are envisaged at 38,609.0 million manats, which constitutes 28.8 percent of GDP, and is 253.0 million manats or 0.7 percent more than the 2025 forecast, and 1,447.2 million manats or 3.9 percent more than the 2024 execution. Compared to 2022, state budget revenues in 2026 have increased by 7,929.4 million manats or 25.8 percent.
Excluding the projected transfer from the State Oil Fund to the state budget, state budget revenues are envisaged at 25,774.0 million manats, which is 1,899.0 million manats or 8.0 percent more than the corresponding figure for 2025, and 1,393.2 million manats or 5.7 percent more than the 2024 execution. The amount of the State Oil Fund's transfer to the state budget is projected to be 1,646.0 million manats or 11.4 percent less than the 2025 level.
Of the projected state budget revenues for 2026, 42.6 percent or 16,435.0 million manats will come from the oil and gas sector, and 57.4 percent or 22,174.0 million manats from the non-oil and gas sector. Compared to the 2025 state budget forecast, oil and gas sector revenues (including transfers from the State Oil Fund) will be 1,876.0 million manats or 10.2 percent less, while non-oil and gas sector revenues will be 2,129.0 million manats or 10.6 percent more. Compared to the 2024 execution, oil and gas sector revenues are projected to be 1,126.6 million manats or 6.4 percent less, while non-oil and gas sector revenues are projected to be 2,573.8 million manats or 13.1 percent more.
State budget expenditures for 2026 are envisaged at 41,703.6 million manats, which is 296.0 million manats or 0.7 percent more than in 2025, and 3,990.0 million manats or 10.6 percent more than the 2024 execution. The share of state budget expenditures in GDP will be 31.1 percent. Compared to 2022, state budget expenditures in 2026 have increased by 9,639.0 million manats or 30.1 percent.
In the structure of next year's state budget expenditures, current expenditures will constitute 60.3 percent or 25,161.2 million manats (407.3 million manats or 1.6 percent more than in 2025, and 3,817.2 million manats or 17.9 percent more than the 2024 execution), capital expenditures 33.8 percent or 14,084.8 million manats, and expenditures related to public debt service 5.9 percent or 2,457.6 million manats (58.0 million manats or 2.4 percent more than in 2025, and 1,162.0 million manats or 89.7 percent more than the 2024 execution). 88.1 percent of the current expenditures of the 2026 state budget will be covered by revenues from the non-oil and gas sector, which is 7.1 percentage points more than in 2025.
In the 2026 state budget, 10,247.6 million manats (524.7 million manats or 5.4 percent more than in 2025) or 24.6 percent of expenditures are allocated for labor remuneration; 7,038.5 million manats (1,529.1 million manats or 27.8 percent more than in 2025) or 16.9 percent of expenditures for the purchase of goods (works and services); 1,380.6 million manats (80.6 million manats or 6.2 percent more than in 2025) or 3.3 percent of expenditures for interest payments; 1,071.4 million manats or 2.6 percent of expenditures for subsidy payments; 3,308.1 million manats or 7.9 percent of expenditures for grants and other payments; 3,433.6 million manats (68.9 million manats or 2.0 percent more than in 2025) or 8.2 percent of expenditures for social payments; 62.1 million manats (11.1 million manats or 21.6 percent more than in 2025) or 0.1 percent of expenditures for state compulsory personal insurance expenses; 13,901.8 million manats or 33.3 percent of expenditures for the acquisition of non-financial assets; 183.0 million manats or 0.4 percent of expenditures for financial asset operations; and 1,077.0 million manats or 2.7 percent of expenditures for liability operations. Due to increased targeting of expenditures and their projection under relevant expenditure items, 225.2 million manats or 17.6 percent less funds are projected under the "Other expenditures" item in the 2026 state budget compared to 2025.
The upper limit of the state budget deficit for 2026 is envisaged at 3,094.6 million manats. The share of the deficit in GDP is 2.3 percent, remaining at the current year's level.
The deficit will be financed by privatization revenues, domestic and foreign borrowing, and the balance of the state budget's single treasury account as of January 1, 2026.