As of July 1 of this year, Azerbaijan’s foreign public debt amounted to 4,616.8 million US dollars, or 6 percent of the GDP projected for 2026 at 130,873.5 million manats (76,984.4 million US dollars).
elchi reports this with reference to the “Statistical Bulletin on Public Debt and State-Guaranteed Debt for the first half of 2026” of the Ministry of Finance.
Compared to the beginning of 2026, the foreign public debt decreased in absolute terms by 196.7 million US dollars, or 4.1 percent. During the first half of 2026, the decrease in foreign public debt was driven by the repayment of 233.4 million US dollars in matured principal debt, which was offset by the utilization of 57.1 million US dollars within the framework of loan agreements and a 20.4 million US dollar decrease in the US dollar value of the debt due to the weakening of foreign currency exchange rates against the US dollar. As of July 1, the ratio of foreign public debt to GDP decreased by 0.3 percentage points compared to the beginning of 2026.
As of the reporting date, liabilities with variable interest rates accounted for 49.4 percent of the foreign public debt, while those with fixed rates accounted for 50.6 percent.
In addition, as of that date, 35.7% of the foreign public debt portfolio was held by the Asian Development Bank, 30% by Eurobonds, 12.9% by the World Bank, and 21.4% by liabilities attracted from the Islamic Development Bank, the European Bank for Reconstruction and Development, the Japan International Cooperation Agency, the Asian Infrastructure Investment Bank, and other creditors.
As of July 1, the country’s strategic foreign exchange reserves (State Oil Fund of the Republic of Azerbaijan and the Central Bank of the Republic of Azerbaijan) amounted to 85.8 billion US dollars, exceeding the foreign public debt by approximately 18.6 times.
It is noted in the bulletin that 59.5 percent of the foreign public debt must be repaid to creditors within a period of up to 5 years, 34.9 percent within 5 to 10 years, and 5.6 percent in over 10 years.
In accordance with the repayment schedules for existing loan agreements and Eurobonds, the Average Maturity indicator of the foreign public debt is 4.8 years.
As of July 1 of the current year, the currency composition of the foreign public debt was as follows: US dollar – 86.4 percent, euro – 6.1 percent, SDR (Special Drawing Rights of the International Monetary Fund) – 2.9 percent, Japanese yen – 3.1 percent, other currencies – 1.5 percent.
Also, payments of 290.7 million US dollars in principal debt and 102.7 million US dollars in interest debt were made on foreign debts at the expense of the state budget.
Eurobonds traded in the international financial market account for 30 percent, or 1,387.3 million US dollars, of the foreign public debt portfolio. 59.8 percent of the debt falls on multilateral financial institutions, 30.0 percent on Eurobonds, and 10.2 percent on loans attracted from bilateral financial institutions.