Sahil Babayev: Reducing influence of oil factor - key objective of Azerbaijan's financial policy

Reducing the impact of the oil factor on the state budget and increasing the share of sustainable financing sources remain key objectives of Azerbaijan's financial policy, Azerbaijani Finance Minister Sahil Babayev said at a plenary session of the parliament on the 2026 budget package, Report informs.

According to the minister, the current budget rule provides for a gradual reduction in the baseline non-oil deficit relative to the non-oil portion of GDP over the medium term.

Babayev also emphasized that in 2026, the upper limit of the baseline non-oil deficit is projected at 19% of non-oil GDP, which is 3.4 percentage points lower than in 2025. This, he noted, is the best indicator since the introduction of the budget rule.

"By 2029, we plan to reduce this figure to 13%. The threshold for public debt as a percentage of GDP will be maintained at 30%. Achieving these goals will create the foundation for long-term fiscal sustainability and macroeconomic stability, as well as provide a solid platform for implementing the country's strategic development agenda," he said.