Iran conflict could boost Azerbaijan’s revenues, Fitch says

The ongoing international conflict involving Iran and rising energy prices could generate additional export and budgetary income for Azerbaijan, according to a Fitch Ratings report, cited by Caliber.Az.

In its report released on March 6, Fitch notes: "For emerging market net hydrocarbon exporters outside the Gulf, such as Angola, Argentina, Azerbaijan, Brazil, Colombia, Ecuador, Gabon, Kazakhstan, Nigeria and Republic of Congo, a prolonged period of higher energy prices could lead to an export and fiscal windfall." 

Among the selected developing nations, Azerbaijan has one of the highest shares of fossil fuel exports in its GDP, with net fossil fuel exports accounting for 28.8% of GDP.

The agency also highlighted that in 2024, Azerbaijan’s fossil fuel subsidies amounted to approximately 5.5% of GDP.