Macroeconomy
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As 2025 begins, Azerbaijan faces a convergence of economic and geopolitical challenges that threaten its stability and test its resilience. From fluctuating oil prices to shifting alliances, the country is at a critical juncture, requiring bold reforms and strategic foresight to avert economic instability.
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As 2025 begins, the national economy, heavily dependent on resource revenues, faces a mix of challenges. While oil production remains relatively stable, declining oil prices, rising inflationary pressures, and expectations of currency devaluation are creating significant headwinds. These factors are likely to slow real GDP growth, curtail investment, and erode purchasing power. As a result, job creation prospects will diminish, exacerbating labor market tensions and contributing to higher unemployment and poverty rates.
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The year 2024 could not solidify its place in history as a year of significant economic reforms or transformations. Instead, it was marked by rising concerns among consumers and businesses over price hikes and devaluation expectations, which persisted throughout the year.
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Gas and "Green" Energy Were Defining in the Fuel and Energy Complex in 2024
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