Baku: The share of sustainable sources in Azerbaijan’s budget expenditures is on the rise, as announced by Finance Minister Sahil Babayev during the discussion of the draft law ‘On the State Budget of the Republic of Azerbaijan for 2026’ at the plenary session of the Milli Majlis.

According to Azeri-Press News Agency, the finance minister emphasized the importance of reducing the reliance on the oil-gas sector in the state budget and increasing the contribution of sustainable sources to finance expenditures. Within the framework of the budget rule, it is planned that over the medium term, the ratio of the consolidated budget’s non-oil base deficit to non-oil GDP will be gradually reduced. For the upcoming year, the target is set at 19 percent, which reflects a decrease of 3.4 percentage points from the current year and marks the best indicator since the fiscal rule was implemented. By 2029, this ratio is expected to drop to 13 percent, while maintaining the public debt-to-GDP ratio at the current level of 30 percent.

These targets aim to ensure long-term fiscal sustainability and macroeconomic stability, providing a supportive environment for the country’s development agenda.