As of January 1, 2025, the balance of the State Debt and Guarantee Obligations Fund in Azerbaijan stood at 164.2 million manats.
According to the Operative Information Center-OMM, these figures were disclosed in the draft law "On the execution of the 2025 state budget." The document is currently under review by the Economic Policy, Industry, and Entrepreneurship Committee of the Milli Majlis (National Assembly).
According to the draft law, the Fund's balance decreased by 255.1 million manats compared to January 1 of the previous year. For context, the Fund held 419.3 million manats at the start of 2024. Throughout the year, the Fund received 2 billion 310.7 million manats in inflows. These revenues were derived from various sources, including 1 billion 521 million manats from the free balance of the single treasury account, 542.2 million manats from the realized profit of the Central Bank of Azerbaijan (CBA), and other income streams related to debt agreements and guarantee fees.
During the reporting period, 2 billion 565.8 million manats were expended from the Fund to meet maturing obligations. These expenditures were directed toward settling state-guaranteed loans, fulfilling obligations for state bonds, and supporting financial recovery measures. Specifically, funds were utilized to address liabilities related to the International Bank of Azerbaijan (IBA) and the non-bank credit organization "Aqrarkredit," as well as to cover state-guaranteed debts for entities affected by the COVID-19 pandemic and obligations of "Azerenerji" and "Azerishig" OJSCs.
The State Debt and Guarantee Obligations Fund serves as a critical financial instrument for the government of Azerbaijan to manage sovereign debt risks and ensure the stability of state-guaranteed financial commitments. The significant drawdown of the fund in 2024 reflects the government's commitment to fulfilling its financial obligations, including the restructuring of debts from liquidated financial institutions and supporting strategic energy infrastructure.
