Social expenditures have increased: what additional payments are expected?

Social expenditures have increased: what additional payments are expected?
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Economy 8

"For the first 8 months of this year, the expenses of the State Social Protection Fund (SSPF) increased by 9.3 percent compared to the same period last year. This means an increase in expenses by 424.6 million manats. Changes in SSPF expenses are associated both with the implementation of a new social package in 2025 and with an increase in the number of recipients of benefits, pensions, and other social payments."

As reported by BAKU.WS, a member of the Committee on Economic Policy, Industry, and Entrepreneurship of the Milli Mejlis, Vugar Bayramov, shared details about the new rules on his social networks.

The deputy noted that for the first 8 months of this year, the number of recipients of social benefits increased by 13 thousand people compared to the beginning of 2025, reaching 466,210 people, and the number of pension recipients increased by 4,244 people, reaching 405,644 people.

"This means that during the specified period, the number of recipients of monthly benefits and pensions increased by 17.3 thousand people.

Growth was also observed in the number of recipients of benefits and pensions in a proactive manner. For the period January-August 2025, 105,665 social benefits and pensions were assigned proactively. This is approximately 5 thousand more compared to the same period of the previous year. An increase in the number of pensioners was also recorded. As of July 1, 2025, the number of pensioners increased by 2.3 thousand people compared to the corresponding period of the previous year, reaching 1,103,300 people.

As can be seen, the increase in the number of citizens receiving social support has not gone unnoticed for SSPF expenses. In general, the increase in SSPF expenses in 2025 was predicted in advance and was reflected in the approved budget. Thus, if the approved expenses of the fund in 2024 amounted to 6 billion 949 million manats, then 7 billion 676 million manats are provided for this year. That is, it is expected that this year the fund's expenses will be approximately 10 percent higher. In this regard, the further expansion of social protection measures will affect the fund's expenses. Since the main areas of the fund's activities are pensions, benefits, scholarships, targeted social assistance, and insurance. An increase in these areas means more expenses from the fund.

There is also an increase in the projected income of the fund. In 2025, SSPF revenues are expected to be 7 billion 617 million manats. At the same time, during the year, it is expected to collect 5 billion 997 million manats in mandatory state social insurance contributions. Revenue growth is one of the important factors in terms of fiscal sustainability," the deputy noted.

This news edited with AI

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