Mandatory state social insurance contributions are expected to generate 7 billion 586.5 million manats, or 82.3%, of the State Social Protection Fund’s (DSMF) projected 9 billion 220.5 million manat revenue in 2027.
The figures are set out in the draft law “On the 2027 budget of the State Social Protection Fund,” Operative Information Center-OMM reports.
Under the document, contributions will include 2 billion 171 million manats from organizations financed by the state budget, 296 million manats from employees of those organizations, and 5 billion 119.5 million manats from the non-budget sector.
The Fund will also receive 1 billion 600 million manats from the state budget, while its other revenue is expected to total 34 million manats.
Next year, the Fund’s expenditure is set at 9 billion 272.5 million manats, including the use of an unused balance of 52 million manats carried over from the end of this year. Of the total, 8 billion 950.1 million manats will go to payments to the population, including 8 billion 669.4 million manats for pensions and 280.7 million manats for benefits financed from mandatory state social insurance contributions. Benefit spending will include 47.4 million manats for temporary incapacity payments, 77.4 million manats for maternity payments, 84 million manats for childbirth payments, 21.4 million manats for childcare payments for children under three, and 50.5 million manats for funeral payments.
The Fund will allocate a further 189.7 million manats to maintaining its central office and other structural units, and 94.7 million manats to co-financing social services for the population, processing bank transactions for pensions and benefits, and other service fees. It will spend 25 million manats through the Azerbaijan Trade Unions Confederation on sanatorium and health-improvement services for insured people and pensioners, 0.1 million manats on membership fees to international organizations, and 13 million manats on other expenses.
