BAKU, Azerbaijan, May 24. Azerbaijan's investments in fixed capital reached 1.18 billion manat ($100.7 billion) in the construction sector and 1.13 billion manat ($664.7 million) in transport and warehousing from January through April 2025.
The mining industry attracted even higher investments, totaling 1.43 billion manat ($841.1 million), while the information and communication sector received 120 million manat ($70.5 billion) in funding.
Social support programs continue to provide for vulnerable groups, with over 254,500 people receiving disability pensions, more than 218,700 benefiting from monthly allowances, and upwards of 89,500 receiving presidential scholarships in April 2025.
Since its establishment, the Mortgage and Credit Guarantee Fund (MCGF) has issued 54,420 mortgage loans totaling 3.5 billion manat ($2 billion).
Meanwhile, the Central Bank of Azerbaijan (CBA) reported a slight decline in dollarization of personal deposits by 0.6 percentage points to 33.1 percent during the first quarter. The CBA’s liabilities to government agencies reached 7.99 billion manat ($4.7 billion), and obligations to international financial institutions totaled 1.22 billion manat ($717.6 million). Investments from foreign financial sources amounted to 900 million manat ($529.4 million) in the first quarter. Azerbaijan's banks conducted trade operations worth 22.6 billion manat ($13.2 billion), according to Bloomberg data.
Last year, the CBA posted a profit of 721.5 million manat ($424.4 million) and held assets totaling 36.5 billion manat ($21.4 million). The bank's liabilities to the International Monetary Fund (IMF) stood at 1.17 billion manat ($688.2 million). As of January 1 of this year, short-term deposits of resident banks held with the CBA totaled 1.26 billion manat ($741.1 million).
The CBA acquired intangible assets valued at 1.75 million manat ($1 million) last year. As of January 1, loans extended by the CBA to the Deposit Insurance Fund amounted to 163.9 million manat ($96.4 million). During the same period, loans provided by the CBA to domestic banks totaled 73 million manat ($42.9 million), while loans to non-bank credit organizations (NBCOs) reached 648,000 manat ($381,176).
The bank spent 74,000 manat ($43,529) on utility services. As of December 31, 2024, the total volume of paper and metal currency in circulation across Azerbaijan reached 17.4 billion manat ($10.2 billion). The value of the CBA’s property surpassed 538 million manat ($316.4 million). Additionally, the CBA provided loans worth 375,000 manat ($220,588 million) to its employees last year, while payments to the bank’s management totaled 2.7 million manat ($1.5 million). Income from foreign exchange operations amounted to 1.2 million manat ($705.8).
In addition, survey results for the first quarter of 2025 show that credit standards for micro and large businesses remained unchanged, but a relaxation was observed in lending standards for small and medium-sized enterprises (SMEs). The first quarter also saw an increase in bank financing through term deposits from individuals (PEs) and legal entities (LEs). Mortgage loan standards, including those under the Mortgage and Credit Guarantee Fund (MCGF), showed no significant changes. However, credit standards for consumer loans, including credit cards, continued to tighten during this period.
The CBA launched its new “Interactive Statistical Database” to provide more accessible financial data.
Moreover, the Agricultural Credit and Development Agency issued preferential loans totaling 32.3 million manat ($19 million) to 1,707 individuals engaged in the agricultural sector from January through April 2025.
Recent data revealed that Azerbaijan’s government bond market has grown ninefold over the past seven years. The Ministry of Finance announced plans to resume the issuance of government securities.
Data further noted that Azerbaijan is set to receive a total of $1 billion in approved financing from the ordinary capital resources of the Islamic Development Bank (IDB) by the end of 2024. In total, financing approved for Azerbaijan from the entire IDB Group is expected to reach $1.29 billion. Discussions between Azerbaijani officials and the IDB have focused on advancing projects related to sustainable infrastructure.
Additionally, official sources confirmed that Azerbaijan will host the 2026 Annual Meeting of the Islamic Development Bank Group.
