Baku Keeps Domestic Debt Stable, Expands Foreign Borrowing Limit

The draft state budget for 2026, submitted to the Milli Majlis, proposes setting the upper limit of domestic public debt at 2 billion manats and the ceiling for external public debt at 6 billion manats, Report said.

According to the document, the domestic debt limit will remain unchanged from 2025, while the external borrowing ceiling will rise by 71.4%.

The proposed borrowing limit for state-guaranteed loans is 3 billion manats, representing a 50% increase compared to the current year.

These adjustments reflect Azerbaijan’s fiscal planning priorities for 2026, balancing domestic stability with external financing for development projects.