Azerbaijan Proposes 2027 Budget With 3.15 Billion Manat Deficit

The Government of Azerbaijan submitted its draft state budget for 2027 to the Milli Majlis for parliamentary review. The proposal projects total state budget revenues of 39.25 billion manat ($23.09 billion) against projected expenditures of 42.4 billion manat ($24.94 billion).

This spending plan results in a planned deficit of approximately 3.15 billion manat ($1.85 billion). The government intends to finance this gap through a combination of privatization receipts, domestic and external borrowing, and the existing Treasury account balance.

Revenue for the 2027 cycle will rely primarily on corporate income tax, personal income tax, and value-added tax. The government identified economic activity, education, general public services, and defense and national security as its major spending priorities. Specifically, the budget allocates 8.91 billion manat to economic activity, with a significant portion of those funds dedicated to urban planning and construction.

The budget law is scheduled to take effect on January 1, 2027, pending approval by the National Assembly.