In 2025, Azerbaijan significantly exceeded its revenue forecasts regarding the management of surplus state budget funds. According to the Operative Information Center-OMM, this development is highlighted in the Chamber of Accounts' opinion on the draft law regarding the execution of the 2025 state budget.
The document indicates that during the reporting year, surplus funds from the single treasury account were placed as deposits in commercial banks through auctions. These funds were managed with maturities of 28, 30, and 32 days, as well as 3 months, at annual interest rates ranging from 6.42% to 7.25%. Independent credit managers' funds were also utilized in this process.
Data shows that while the management of surplus funds in the first quarter of 2025 was primarily conducted through loan or lending mechanisms, the volume of funds directed toward management was lower than the actual surplus. Conversely, in June, July, and November, the amounts directed toward management exceeded the actual surplus, reaching 1.196 billion manats, 70.4 million manats, and 14.9 million manats, respectively. By the end of November, deposits in commercial banks totaled 2.64 billion manats, before being zeroed out by the end of the year.
Overall, revenues from the management of surplus funds reached 136 million manats in 2025. This figure is 13.6 times higher than the initial forecast of 10 million manats and 1.8 times higher than the 77.3 million manats recorded in 2024. Of this total, 14.6 million manats consisted of income accrued from funds previously transferred to the State Oil Fund for management.
The report also notes that from May through December, the manat balance in the Central Bank of Azerbaijan's current account was negative, suggesting that both surplus budget funds and funds from independent credit managers were placed in commercial bank deposits. While legal regulations for this process were absent in the first half of the year, amendments to the Law "On the Budget System" adopted on July 14, 2025, introduced provisions allowing the management of the single treasury account balance by an authorized body.
Context: The management of state budget surpluses is a critical component of Azerbaijan's fiscal policy, aimed at optimizing liquidity and generating additional revenue for the state treasury. These measures reflect the government's ongoing efforts to enhance financial discipline and ensure the efficient utilization of public funds amidst evolving economic conditions.
