Pension increase in 2027 will affect 1.1 million citizens of Azerbaijan – DETAILS
President Ilham Aliyev, speaking at the VIII Congress of the "Yeni Azərbaycan" Party (YAP), stated that next year the minimum wage, pensions, and social benefits will be increased.
This was reported on his page on the social network Facebook by a member of the Milli Majlis Committee on Economic Policy, Industry and Entrepreneurship, MP Vugar Bayramov, who emphasized that the head of state announced that the relevant instruction has already been given.
"This means that the next social package will be implemented at the beginning of next year. The increase in the minimum wage in Azerbaijan will now be of a regular nature. According to the change approved by the head of state in February 2026, the minimum wage is expected to be raised before February 2027. In accordance with the amendment made last year to the Labor Code, the amount of the minimum wage in Azerbaijan must be reviewed at least once a year," notes V. Bayramov.
The MP emphasizes that from January 2027 the indexation and increase of all types of labor pensions is also envisaged: "This will affect 1 million 100 thousand of our citizens. It is expected that, in accordance with the new changes under discussion, indexation will be carried out on a differentiated basis. The changes provide for the expansion in the pension system of a model based on social contributions. According to the current rules, pensions are currently indexed by the percentage of growth of the average monthly wage for the previous year. The criterion will still remain the percentage of growth of the average monthly wage for the previous year, however, a differentiated approach will be applied."
"The volume of funds allocated to the social sphere from the state budget for 2027 will amount to 44% of total expenditures. This means that more than 18.5 billion manats will be directed to the social sphere. This is the announcement of a new social package," V. Bayramov concludes.
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President: Next year the minimum wage, pensions, and social benefits will be increased
