The total volume of Azerbaijan's external debt reached $12.327 billion by the end of 2025, demonstrating a year-on-year decrease of 9.3%, Report informs referring to the World Bank's annual International Debt Report 2026.
Over the ten-year period from 2015 to 2025, the size of the country's external obligations decreased by 6.5% - from $13.179 billion in 2015 to $12.327 billion by the end of 2025.
The largest share of Azerbaijan's external obligations is represented by public and publicly guaranteed (PPG) debt, which amounts to $11.041 billion. Private non-guaranteed (PNG) debt equals $1.064 billion, and short-term debt stands at $222 million.
In the breakdown of Azerbaijan's public and publicly guaranteed debt, multilateral creditors account for $5.111 billion (of which the Asian Development Bank is $1.925 billion, and the World Bank (IBRD) is $880 million). Debt to bilateral creditors amounts to $797 million (in particular, $381 million to Japan and $282 million to France), and to private creditors - $5.133 billion.
Azerbaijan's external debt-to-gross national income (GNI) ratio at the end of 2025 dropped to 17% compared to 2015 (a decrease of 11.8%), while the debt-to-exports indicator decreased to 35% (a decrease of 6.4%). External debt service costs amounted to 4% of GNI and 8% of the country's export revenues.
The weighted average parameters for Azerbaijan's new government loans from official creditors in 2025 were as follows: a maturity period of 14 years, a grace period of 4 years, and an interest rate of 5.1% per annum.
Across the entire Europe and Central Asia region, total external debt in 2025 increased by 15.3% and reached $1.34 trillion. This region demonstrated the highest values among all developing regions of the world in terms of debt burden relative to exports (152%) and debt service to exports (24.8%).
Overall, the World Bank notes that in 2025, the total external debt of low- and middle-income countries increased by 5.5%, setting a record high of $9.445 trillion.