Economist: 'it is impossible to keep five children with this salary'

Turkish President Recep Tayyip Erdogan, during his visit to Baku, discussed population growth in Azerbaijan during a meeting with Azerbaijani President Ilham Aliyev on June 13. Erdogan highlighted the importance of a growing population for Azerbaijan's future success, stating that each family should have five children to contribute to population growth in the country. He expressed confidence that Azerbaijan would become stronger as its population increased, indicating a shift in the country's paradigm for the future.

Since the beginning of this year, Azerbaijan has set the monthly social benefits for women with more than five children at 105 Manats per child. However, the country has not provided monthly benefits to children since 2006.

As of May 2023, Azerbaijan's population stands at 10,143,521. In the first four months of this year, the district and city registry offices of the Ministry of Justice registered 37,159 newborn babies. Compared to the same period last year, the birth rate per 1,000 people decreased from 12.1 to 11.1.

The Ministry of Labor and Social Protection of the Population informed Turan that  615,000 children currently receive benefits in Azerbaijan. These benefits are provided to various categories, including disabled individuals under the age of 18, children from low-income families receiving targeted social assistance, children of deceased breadwinners, war-related disabilities, women with more than five children, children of military service members, and others. The ministry noted that these payments have increased over the past five years due to social reform packages, resulting in a five-fold increase in benefits and scholarships.

Economist Nazim Baydemirli told Radio Azadlig about the existing system of benefits in Azerbaijan for mothers with more than five children, which provides an allowance of 105 manats. However, the official living wage for children in 2023 is 220 Manats. Baydemirli explained that to support a family with five children at the minimum level, the family would need an income of at least 1,100 Manats. When considering both parents, this amount should exceed 1,600 Manats to cover basic needs. This calculation does not include expenses for utilities, education, and healthcare, which further add to the financial burden.

Baydemirli also mentioned that the number of formal employees in Azerbaijan is 1.7 million, with half of them earning median wages of around 450 Manats. The average salary is approximately 900 Manats. With such income levels, it becomes challenging for families to support five children. He noted that a significant portion of the Azerbaijani population relies solely on incomes that are sufficient only for food, and the country has a high level of indebted citizens.

According to The Economist, despite officials referring to Azerbaijan as a "social state," the majority of the state budget is allocated to defense and law enforcement, indicating a lack of adequate social protection measures.