By AZE.US
Nearly 84% of Azerbaijan’s reported home sales in 2025 were concentrated in Baku, the Absheron district and Sumgait, prompting economist Natig Jafarli to question whether years of government spending have produced viable regional economies.
In a Facebook post, Jafarli cited figures showing 41,606 purchases of apartments and houses nationwide last year. He said 83.93%, or about 35,000 transactions, took place in Baku, Absheron and Sumgait, leaving roughly 6,700 for the rest of the country.
Ganja, Azerbaijan’s second-largest city, accounted for 2,202 transactions, or 5.29% of the national total, according to the figures he presented. Areas outside Baku, Absheron, Sumgait and Ganja therefore represented only slightly more than one-tenth of reported sales.
Jafarli said the concentration showed that the capital region remained the country’s dominant center for jobs, housing demand and investment despite repeated state programs intended to develop other regions.
He estimated that 120 billion manats had been spent on regional-development priorities over the past 22 years. Using historical exchange rates, he valued that total at about $135 billion. Both figures were presented as Jafarli’s estimates.
The economist argued that roads, renovated parks and administrative buildings should not be treated as proof of economic development if residents still cannot find stable work, support their families and plan a future without moving to the capital.
Housing transactions alone do not measure migration or regional decline. Sales are also affected by household income, available supply, property registration and investment demand. Still, Jafarli said the extreme concentration of transactions raised a broader question about how economic opportunities are distributed.
He warned that continued centralization would push more residents toward Baku and Absheron while smaller cities and districts lose population and economic activity. In his view, the success of regional policy should be measured by whether people can live and earn a sustainable income outside the capital, rather than by the number of programs approved or the amount of money spent.
Source: Vesti Baku.