UN Anticipates Inflation in Azerbaijan to Decline to 3.5% in 2027

Baku: The United Nations has projected that Azerbaijan will experience an average annual inflation rate of 3.6% in 2025, as reported by APA-Economics. This figure reflects an increase of 2 percentage points compared to the UN's previous forecast.

According to Azeri-Press News Agency, the UN has also adjusted its inflation forecast for 2026, raising it from 3.1% to 4%. Despite this upward revision, the organization anticipates that inflation in Azerbaijan will decrease to 3.5% by 2027.

The UN's forecasts indicate that inflation in the Caucasus and Central Asia region will accelerate in 2025, primarily due to rising food prices and increased fiscal spending. However, the region is expected to see a gradual weakening of inflation in 2026.