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Minister: Budget revenues are increasing due to GDP growth

07 November 2025 13:30 (UTC +04:00)

Next year, 57% of the state budget and 63% of the consolidated budget will be funded from non-oil revenues, said Finance Minister Sahil Babayev during the discussion of the draft law “On the State Budget of the Republic of Azerbaijan for 2026” at a joint meeting of the Committees for Law Policy and State-Building, Defence, Security and Anti-Corruption, Human Rights, and Regional Issues in the Milli Majlis (Azerbaijani Parliament), APA reports.

“They divert these revenues into various directions and close them by increasing taxes. This is not the correct approach, because the primary source of this increase is related to the growth of non-oil GDP. Next year, non-oil GDP will increase by 10% in nominal terms and 5% in real terms. Taxes are levied on nominal figures. That is, budget revenues increase due to GDP growth.

In discussions of such matters, the share of taxes in GDP should be considered. If the current expected ratio of non-oil taxes to non-oil GDP is 12.9%, then this figure for next year is 13.1%,” the minister said.