Azerbaijan Reports 1.7% GDP Growth Through October 2026
Azerbaijan's GDP grew 1.7% in the first ten months of 2026 as non-oil sector gains offset declines in oil and gas production.
The State Statistics Committee of Azerbaijan reported that GDP reached 115.93 billion manats from January through October 2026, representing a real increase of 1.7%. This growth was driven by a 2.9% rise in the non-oil and gas sector, which offset a 0.9% decrease in the oil and gas sector.
Inflation slowed slightly during the same period, with the consumer price index rising 5.6%, down from 5.7% in the first nine months. While this remains within the Central Bank of Azerbaijan's target range of 2–6%, prices for food, alcoholic beverages, and tobacco rose more sharply at 6.9%.
Looking ahead, the Central Bank of Azerbaijan forecasts annual inflation to reach 5.9% by the end of 2026 and 2027, citing rising energy and food prices and global geopolitical uncertainty as primary risks. The Government of Azerbaijan's draft 2027 state budget package projects real GDP growth of 3.3% for 2027–2030. Separately, ING Group projects GDP growth of 1.5% for 2026, accelerating to 3% in 2027 and 2.5% in 2028.
