BAKU, Azerbaijan, August 18. Azerbaijan’s state budget deficit is expected to reach $881 million (AZN 1.4976 billion) by the end of 2026, the Finance Ministry said.
The deficit is expected to be financed through funds raised from domestic borrowing, the available balance in the single treasury account and remaining funds in earmarked budget funds, the ministry said.
The budget deficit is expected to equal 1.1% of gross domestic product (GDP) projected for the end of the year.
Meanwhile, the consolidated budget’s non-oil primary deficit is expected to reach 17.5% of non-oil GDP by year-end, compared with a forecast of 18.8% for 2026, based on current expectations, the ministry said.
By the end of 2026, state budget revenues are expected to amount to$23.16 billion (AZN 39.365 billion), which is $444.7 million (AZN 756 million) or 2% more than the approved forecast.
Of total revenues, 43.4%, or $10.05 billion (AZN 17.085 billion), is expected to come from the oil and gas sector, while 56.6%, or $13.11 billion (AZN 22.28 billion), is projected to come from the non-oil and gas sector.
State budget expenditures are expected to reach $24.04 billion (AZN 40.8626 billion), down 2.0% from the approved figure.
The figures indicate that Azerbaijan’s 2026 budget remains heavily reliant on oil and gas revenues, although non-oil and gas sources are expected to account for the larger share of total budget revenues.
