Growth of insurance contributions: is an increase in social payments possible?

"For the first 7 months of this year, receipts from mandatory state social insurance exceeded the forecast by 280.8 million manats or by 8.2%. In particular, receipts from budget organizations increased by 126.9 million manats or 11.2%, and from non-budget organizations - by 300.5 million manats or 14%".

As reported by BAKU.WS, this was stated by economist-deputy Vugar Bayramov on his social media page.

He noted that in 2025, the State Social Protection Fund (SSPF) is expected to receive revenues of 7 billion 617 million manats, while expenses will amount to 7 billion 676 million manats. At the same time, during the year, it is planned to collect 5 billion 997 million manats from mandatory state social insurance:

"The excess in collections from mandatory state social insurance relative to the forecast is associated with the growth of the average monthly salary in the country during this period and an increase in the number of labor and service contracts.

In the first half of 2025, the average monthly nominal salary in Azerbaijan increased by 9.4% compared to the corresponding period of the previous year and reached 1,097 manats. At the same time, the number of employees was 1 million 770 thousand people. In this regard, the growth of the wage fund led to an increase in payments for mandatory state social insurance.

Considering that the funds collected from mandatory state social insurance are directed to payments to the population, this may lead to the allocation of a larger amount of funds for social needs. Labor pensions, monthly and one-time benefits are paid mainly from the SSPF revenues. And greater collection means more sustainable social security".