Baku:A significant social package is set to be implemented in Azerbaijan next year, with funding allocated as reserve funds in the state budget, as announced by Finance Minister Sahil Babayev. This development was disclosed during a joint meeting of several Milli Majlis committees, including Legal Policy and State Building; Defense, Security and Combating Corruption; Human Rights; and Regional Affairs.

According to Azeri-Press news agency, the minister mentioned that Azerbaijan has previously undertaken a series of social package reforms initiated by the head of state. These reforms have led to multiple increases in both the minimum wage and minimum pensions, with coverage extending to between 2 million and 3 million people, depending on the year. The minimum wage was raised from AZN 130 to AZN 400, while the minimum pension increased from AZN 116 to AZN 320 over a brief period. Once governmental projects are finalized and approved by the head of state, the allocated funds will be directed to the relevant budget items.

Furthermore, the minister highlighted the annual indexation of pensions in Azerbaijan to safeguard the welfare of the population, especially pensioners. The indexation is aligned with the increase in the average monthly wage from the previous year. Over the last five years, the average pension indexation has surpassed 9%. While inflation was recorded at 5.6% for the first ten months of this year, next year's inflation forecast is 5.3%. The expected pension indexation is anticipated to exceed the inflation rate.