Baku – July 31, 2025 — President Ilham Aliyev has signed a new law strengthening the legal framework governing non-governmental organizations (NGOs) in Azerbaijan, introducing stricter oversight on foreign-funded activities.
The amendments target two key laws: the Law “On Non-Governmental Organizations (Public Associations and Foundations)” and the Law “On Combating the Legalization of Criminally Obtained Funds or Other Property and the Financing of Terrorism.”
Under the revised legislation, NGOs are still allowed to earn income through the sale of goods, services, or contract work (as outlined in Article 24.0.3 of the NGO law), but such activities must be formalized through official contracts.
Crucially, any contract funded from foreign sources must now be registered with a designated executive authority.
The most significant change is a new ban on all banking and financial operations conducted under foreign-funded contracts that have not been officially registered.
The government says the move is intended to ensure full transparency in the NGO sector and to curb potential misuse of international funds.
The law explicitly states that providing services or carrying out work under an unregistered contract with foreign financing — or receiving funds connected to such agreements — will trigger administrative penalties under Azerbaijani law.
The amendments are part of Azerbaijan’s broader efforts to regulate civil society, though critics are likely to view the new rules as another barrier for independent organizations operating in the country with international support.
