Draft of state budget of Azerbaijan for fiscal year 2015 based on oil price of $90.00 per barrel

  The Azerbaijani government has reduced the forecast of oil price in the draft state budget for fiscal year 2015. The budget is based on the average annual oil price of $90.00 per barrel against $100 in 2014, reads the presentation of the drafts of state and consolidated budgets of Azerbaijan for the next year released by the Finance Ministry.

According to the draft budget, the state budget revenues for 2015 are forecast at 19,438,000,000 AZN (growth by 5.7% against 2014), while expenses – 21,100,000,000 AZN (growth by 5.2%).

According to the forecast, in 2014 GDP in the oil industry will decrease by 2.2%. In 2015 the share of the oil industry in GDP is forecasted at 34.9% against 40.4% this year.

Next year share of the oil industry in the total budget earnings will reduce to 65.3% against 66% expected in 2014.

“This year the price peak for the Azerbaijani oil was in June ($113.2 per barrel), but in September the price dropped to $98.3,” reads the report.

The prices in September 2014 were the worst. In average during 9 months, 2014 Azerbaijani oil was exported at the price of $108.2 per barrel, down $2.9 against a year earlier.

According to the Finance Ministry’s estimates, with the forecast of oil price of $90.00 per barrel 1in 2015, oil and gas export will total $24.1 billion, while oil GDP – 20.3 billion AZN ($25.88 billion).—0—