Business Forum: Expectations from Fiscal and Monetary Policy

On April 20, 2026, the Milli Majlis adopted the “Report on the Activities of the Chamber of Accounts for 2025,” presented by Chairman Vugar Gulmammadov.

Monetary conditions in Azerbaijan remained broadly stable in the first quarter of 2026, with moderate inflation and resilient banking sector indicators. However, rapid growth in consumer lending is increasing the risk of economic overheating, according to data from the regulator and analysts’ assessments.

Azerbaijan’s public finances in 2025 and early 2026 have shown resilience, supported by strong oil and gas revenues and transfers from the State Oil Fund of Azerbaijan, but continue to exhibit structural dependence on the commodity sector, according to official data and analyst estimates.

Azerbaijan’s investment dynamics in the first quarter of 2026 reflect a steady inflow of foreign capital, while quantitative indicators simultaneously confirm the country’s continued structural dependence on the oil and gas sector and limited diversification both across industries and geography.