Page 16 - Caucasus Outlook 2025

2.3 Macroeconomy – Azerbaijan
Azerbaijan's macroeconomic performance in 2024 presented a mixed picture, with robust growth driven by the non-oil sector, but persistent challenges related to inflation, fiscal sustainability and external vulnerabilities.
Key economic figures and forecasts
2018 2019 2020 2021 2022 2023 2024
Nominal GDP (EUR bn) 44.8 38.4 47.3 74.7 66.9 63.5
Real GDP (% y/y) 2.6 -1.7 6.6 4.6 1.1 4.1
Industrial output (% y/y) 4.3 -6.6 10.5 -1.1 -1.1 1.1
Unemployment rate (avg, %) 4.9 5.3 4.7 5.8 5.5 5.6
Nominal industrial wages (% y/y) 10.2 2.7 12.6 14.6 11.2 7.8
Producer prices (avg, % y/y)
Consumer prices (avg, % y/y) 3.6 4.9 4.3 13.8 9 2
Consumer prices (eop, % y/y) 4.8 7.1 4.3 14.4 4.4 4.4
General budget balance (% of GDP) 2.3 -3.1 2.7 6 -0.8 -2.2
Public debt (% of GDP) 37.7 43.8 42.7 17.3 21.9 21.6
Current account balance (% of GDP) 15.2 9.2 17.3 29.8 11.5 Est. 6.1-7.9
Official FX reserves (EUR bn)
Gross foreign debt (% of GDP) 47.2 67.8 58.4 14.9 21.9 7.4
EUR/LC (avg) 1.79 1.83 1.84 1.79 1.84 1.84
USD/LC (avg) 1.7 1.7 1.7 1.7 1.7 1.7 Source: Thomson Reuters, RBI/Raiffeisen RESEARCH
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