Azerbaijan includes oil price in 2022 budget of $45/bbl

BAKU. Sept 9 (Interfax) – The Azerbaijani government forecasts a deficit of the state budget for 2022 at the level of 2.567 billion manat or 3.2% of GDP; revenue is planned in the amount of 26.407 billion manat, up 8.6% against 2021, calculated based on an oil price of $45 per barrel against $40 in 2021, the Finance Ministry told Interfax.

The oil sector is expected to account for 52.4% of revenue or 13.84 billion manat, while non-oil revenue will come to 47.6% of the total amount or 12.567 billion manat. Growth of revenue to the budget from the latter will amount to 21.4%.

Transfers to the state budget from the State Oil Company of the Azerbaijan Republic (SOCAR) are envisaged in the amount of 11.86 billion manat for 2022, down 2.8% against 2021, or 44.9% of budget revenue.

Spending of Azerbaijan’s state budget is forecast at the level of 28.974 billion manat in 2022, up 12%.

Current expenditures account for 68.7% or 19.914 billion manat of total spending, capital expenditures for 24.7% or 7.148 billion manat, and spending on management of government debt and obligations for 6.6% or 1.912 billion manat.

The forecast for revenue to the state budget for 2021 is 24.327 billion manat, and for spending – 25.848 billion manat. A deficit is forecast of 1.521 billion manat or 2% of GDP.

The Finance Ministry will present the draft state budget for 2022 to the Azerbaijani government by September 15.