Azerbaijan’s draft state budget for 2027 has been submitted to the Milli Majlis with projected revenue raised by 20 million manats and the planned deficit reduced by the same amount.
The revised bill forecasts revenue of 39.254 billion manats and expenditure of 42.4 billion manats. The maximum deficit is set at 3.146 billion manats, equal to 2.2% of gross domestic product.
The Finance Ministry’s earlier forecast put revenue at 39.234 billion manats and the deficit at 3.166 billion manats. The new version therefore improves the balance by 20 million manats, but it remains a draft subject to parliamentary consideration.
Health Insurance Allocation Rises to 1.1 Billion Manats
The bill would increase transfers to the Mandatory Health Insurance Fund by 22.2% to 1.1 billion manats, equivalent to 2.6% of total state budget spending.
It also allocates 410 million manats to reserve funds, including 300 million manats for the presidential reserve fund and 110 million manats for the state budget reserve fund.
Borrowing and State Guarantees
The proposed ceiling for domestic state borrowing would rise 25% to 2.5 billion manats. The foreign borrowing limit would remain at 6 billion manats, while the ceiling for state guarantees would double to 6 billion manats.
The draft says all 67 cities and districts will be able to cover their spending from their own revenues. The consolidated budget deficit ceiling is set at 16.0741 billion manats, 4.9% below the approved forecast for 2026.