FX.co ★ Azerbaijan Starts 2026 With Modest Growth at 1.7%

Azerbaijan’s economic activity expanded by 1.7% year-on-year in January 2026, rebounding from a 0.9% contraction in the same month a year earlier. Growth in the non-oil and gas sector reached 2.3%, while the oil and gas sector increased by 0.7%.

Industry remained the largest contributor to GDP, accounting for 33.9%. It was followed by trade and vehicle repair with 11.7%, and transport and warehousing with 7.8%. Construction accounted for 3.6% of GDP, agriculture, forestry and fishing for 3.3%, tourist accommodation and catering for 2.4%, and information and communication for 2.2%. All other sectors together made up 23.4% of output. Net taxes on products and imports represented 11.7% of GDP.

The Central Bank of Azerbaijan recently revised its GDP growth forecast for 2026 upward to 2.4%, from 2% in its October 2025 outlook. Governor Taleh Kazimov also noted that overall growth is projected to reach 2.9% in 2027, driven by a 4.3% expansion in the non-oil sector. Azerbaijan’s GDP grew by 1.4% in 2025.