Azerbaijan to reduce SOFAZ transfer to state budget next year

Despite energy prices reaching record highs this year and forecasts remaining very high, the amount of the transfer from the State Oil Fund of Azerbaijan (SOFAZ) to the state budget next year will be lower than this year's figure, Azerbaijani Minister of Economy Mikayil Jabbarov said during a panel discussion held as part of the 2nd Azerbaijan International Investment Forum (AIIF 2026) in Baku, Report informs.

"In other words, we are pursuing a countercyclical policy," he noted.

According to Jabbarov, the second important factor underpinning sustainable development is the availability of financial buffers: "Azerbaijan was affected not only in 2026, but also in 2022, because we live in this region and are interconnected with each other. However, the buffers allowed us to maintain our development trajectory."

Noting the focus on priority areas, the minister said that digitalization and industrialization are among the main targets: "The adoption of a national strategy on digital transition and the establishment of the Digital Development Council chaired by the First Vice President - all these steps are being taken because we believe that this leads to both overall economic productivity and the productivity of every individual."