Azerbaijan can use free funds of State Social Protection Fund for investments

Economy Materials 7 March 2023 12:42 (UTC +04:00)
Elchin Mehdiyev
Elchin Mehdiyev
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BAKU, Azerbaijan, March 7. Free funds of the State Social Protection Fund of Azerbaijan can be used for investments, Trend reports.

This issue was reflected in the bill on amendments to the law "On Social insurance", which has been discussed at the meeting of the Azerbaijani Parliament.

According to the proposed amendments, the body (institution) determined by the relevant executive authority may direct the available funds of the State Social Protection Fund for investments.

Available funds, investment income, and unused balances of funds allocated for investments are collected into an account opened at the Central Bank of Azerbaijan, and their accounting is kept separately. They are also transferred to the next budgetary year as part of the available funds allocated for investments.

In 2023, the total expenditures of the State Social Protection Fund are projected at 6.26 billion manat ($3.6 billion). In 2022, these expenditures were predicted to be 5.6 billion manat ($3.2 billion). The growth of the Fund's expenditures is mainly related to the financing of labor pensions, which is a significant financial basis for strengthening the social protection of the population.

After discussion, the document was put to the vote and adopted in the third reading.