Azerbaijan earmarks $1.26B for agriculture, utilities, environment

Azerbaijan News 4 November 2026 18:43 (UTC +04:00)
Azerbaijan earmarks $1.26B for agriculture, utilities, environment
Sadig Javadov
Sadig Javadov
Economic Journalist Read more

BAKU, Azerbaijan, November 4. In 2027, a total of 2.153 billion manat ($1.26 billion) is earmarked from Azerbaijan’s state budget for expenditures on agriculture, housing and utilities, and environmental protection.

This was reported in the draft budget package for 2027.

According to the document, the allocated funds are 176.5 million manat ($103.84 million), or 8.9%, higher than in 2026, and 335.8 million manat ($197.56 million), or 18.5%, higher than the 2025 actual expenditure.

Funding allocated to agriculture will approach 1.4 billion manat ($820 million).

The 2027 state budget allocates 1.379 billion manat ($810 million) to the “agriculture” section. This represents an increase of 153 million manat ($90.01 million), or 12.5%, compared to 2026, and an increase of 258.6 million manat ($152.14 million), or 23.1%, compared to the 2025 budget execution.

Of the allocated funds, 477 million manat ($280.63 million) will be directed toward improving water management, providing farmers with irrigation water, and enhancing land reclamation.

These funds are intended to bring new land parcels into crop rotation, expand irrigated areas, maintain irrigation and subartesian wells, and finance other land reclamation measures to promote agricultural development.

In addition, 800.9 million manat are planned to be allocated for targeted agricultural initiatives. This is 247.4 million manat ($145.55 million), or 44.7%, more than in 2026.

Some 522.6 million manat ($307.46 million) are planned to be allocated to finance measures to ensure food security in the Republic of Azerbaijan. These funds will be used primarily to provide various types of subsidies to farmers, partially offset the costs of purchasing agricultural equipment, increase production and productivity, and support the financial capacity of agricultural producers.

Thus, in the field of crop production, subsidies will be provided for sowing, fallow land, horticulture, crops, seeds, and certification; and in the field of livestock production, subsidies will be provided for animal husbandry, breeding programs, artificial insemination and embryo transfer, as well as the production of livestock products.

In addition, the plan provides for subsidies to farmers from the state budget to cover interest on short-term loans issued to businesses, agricultural equipment, irrigation systems, and the purchase of breeding animals.

A total of 30.4 million manat ($17.88 million) will be allocated to implement measures aimed at increasing self-sufficiency in food wheat. These funds will be used to reduce dependence on imported wheat and develop local production in accordance with the Presidential Decree of July 19, 2022.

Funds will also be allocated for veterinary and plant protection measures.

Next year’s budget allocates 53.3 million manat ($31.36 million) for veterinary measures. This is 8.4 million manat ($4.94 million) or 18.6% more than in 2026.

Of the total amount, 23 million manat ($13.53 million) will be allocated for veterinary services, and 18.2 million manat ($10.71 million) will be used for the purchase, storage, and transportation of vaccines, medications, and veterinary supplies.

In addition, 500,000 manat ($294,161) are earmarked to compensate legal entities and individuals for property damage caused by particularly dangerous animal diseases, 9.7 million manat ($5.71 million), for the creation of an animal identification and electronic registration system, and 1.9 million manat ($1.12 million) for laboratory diagnostics of particularly dangerous diseases.

A total of 5.7 million manat ($3.35 million) is earmarked for implementing measures to combat diseases and pests in the field of plant protection, and 7.8 million manat ($4.59 million) for conducting agrochemical analyses, issuing agrochemical certificates, and funding seed control measures.

Extrabudgetary expenditures by organizations funded under the agriculture expenditure category are expected to total 2.9 million manat ($1.71 million).

A total of 438.6 million manat ($258.04 million) will be allocated for environmental protection

The 2027 state budget allocates 438.6 million manat ($258.04 million) for environmental and nature protection, the preservation of biological diversity, land use and land development, hydrometeorology, forestry, hunting, land reclamation, wastewater collection and treatment, as well as other environmental services.

This is 22.8 million manat ($13.41 million), or 5.5%, more than in 2026, and 64.5 million manat ($37.95 million), or 17.2%, more than in 2025.

Of the allocated funds, 275.3 million manat ($161.97 million) will be directed toward land reclamation, wastewater collection, and treatment; 15.1 million manat ($8.88 million) toward land use and land development; 21.3 million manat ($12.53 million) toward forestry; 10.4 million manat ($6.12 million) for hydrometeorological activities, 10.7 million manat ($6.30 million) for the protection of biological diversity, and 600,000 manat ($352,993) for environmental and nature conservation.

Another 105.3 million manat ($61.95 million) is earmarked to fund other services related to environmental protection.

In addition, 242.8 million manat ($142.84 million) will be allocated for sanitation, beautification, repair, and reconstruction of avenues, streets, squares, parks, public gardens, and other public areas in cities, districts, and towns.

A subsidy of 17.5 million manat ($10.30 million) is also planned to be allocated to the “Tamiz Sheher” OJSC for the disposal of solid household waste.

A total of 335.2 million manat ($197.21 million) will be allocated to housing and public utilities

The 2027 state budget allocates 335.2 million manat ($197.21 million) for expenditures in the housing and public utilities sector.

Of this amount, 132.5 million manat ($77.95 million), or 39.5%, will be allocated to public utilities; 60 million manat ($35.30 million), or 17.9%, to housing; 15.7 million manat ($9.24 million), or 4.7%, to water management; 6.3 million manat ($3.71 million), or 1.9%, to elevator services, and 120.7 million manat ($71.01 million), or 36%, to other expenses related to housing and public utilities.

To cover losses resulting from the fact that the selling price for heat supply services is lower than the cost of production, a subsidy of 33.8 million manat ($19.89 milllion) is planned to be allocated to Azeristiliktachizat OJSC.

In addition, 60 million manat ($35.30 million) are projected to be allocated for the major repair of residential buildings on the state’s balance sheet, including roofing, facades, and stairwells.

A total of 40.6 million manat ($23.89 million) will be allocated for street lighting in cities, districts, and towns, 47.1 million manat ($27.71 million) for planting, maintaining green spaces, and landscaping; 37.7 million manat ($22.18 million) for the operations of housing and utilities enterprises; and 6.3 million manat ($3.71 million) for elevator maintenance.

Thus, the draft budget for 2027 allocates a total of 2.153 billion manat ($1.26 billion) to support agriculture, ensure food security, protect the environment, manage waste, renovate urban infrastructure, and fund public utilities.

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