Social sector in Azerbaijan (January-October 2014)

A dynamic increase in real income of the population, a decrease in poverty level, an increase in employment, the efficient use of human resources, improvement of the living conditions of disabled veterans and families of martyrs, creating of a medical and social rehabilitation system in accordance with modern requirements, an increase in payments to the population testify to the perfection of Azerbaijan's social policy.

Population's income

According to the Azerbaijani State Statistics Committee, the nominal income of the population totaled 30.377 billion AZN in January-October 2014, which is 5.4 percent more compared to January-October 2013.

Thus, during this period, the nominal income of the population per capita increased by 4.1 percent and hit 3229,5 AZN.

Major indices, characterizing income of the population

Indices

Jan.-Oct. 2014

Compared to Jan.-Oct. 2013, %

nominal income of population, in mln AZN

30377,2

105,4

Per capita, AZN

3229,5

104,1

Income of population, in mln AZN

27615,3

106,0

Per capita, AZN

2935,8

104,6

Source: State Statistics Committee

The population's income after paying all required fees and membership fees made up 27.615 billion AZN, which is 6 percent more than in January-October 2013. Real income per capita increased by 4.6 percent to 2935,8 AZN.

Azerbaijani citizens spent 70 percent to purchase goods and services, 9.1 percent - to pay for taxes, duties, loans, social and insurance fees, 18.2 percent - to accumulate the capital during this period.

The population's expenditure amounted to 24.028 billion AZN in January-October 2014 or 6.348 billion AZN less than the income of the population but by 5 percent more than the expenses in January-October 2013 (according to the Azerbaijani State Statistics Committee, Trend's calculations).

The gap in the amount of the population's income and expenditure in favor of income testifies to the growth of material well-being of Azerbaijani citizens. The differentiation of the population's income and the Gini coefficient in the country should be taken into account.

Salary

The salary is one of the key social and economic indicators, which sufficiently enough characterizes the level of the prosperity of the working part of the population. According to the Azerbaijani State Statistics Committee, the average monthly salary in Azerbaijan in January-September 2014 comprised 441.6 AZN compared to 415 AZN as of the same period of 2013.

As of October 1, 2014, the average salary of temporary staff was 262.5 AZN, while employees involved upon civil contracts - 309.8 AZN.

Remuneration in the oil sector reached 1755.5 AZN per month, the non-oil sector - 408.4 AZN, the public sector - 356.1 AZN, the private sector - 566.6 AZN.

The highest salary was observed in the mining industry, financial, information and communication, scientific and technical activity, as well as the construction sectors.

Labor market

As of Nov. 1, 2014, some 28,900 people were officially registered as unemployed in Azerbaijan, including 39.7 percent women.

Thus, the number of unemployed has decreased by 20.2 percent since early 2014. As of January 1, 2014, some 36,206 people were registered as unemployed.

Distribution of unemployed individuals and those who receive unemployment benefit in towns and regions as of Nov. 1, 2014 (people)

Region:

Individuals with unemployed status:

Individuals receiving unemployment benefits:

Baku

11 292

461

Absheron region

1 713

157

Ganja-Gazakh

2 203

145

Sheki-Zaqatala

858

76

Lankaran

903

53

Guba-Khachmaz

902

66

Aran

7 216

264

Upper-Karabakh

1 706

87

Kalbajar-Lachin

1 323

49

Mountain Shirvan

777

59

Nakhchivan

-

-

According to the State Statistics Committee, as of early November 2014, the economically active population is 4.828 million people, of which 4.589 people were engaged in labor activity. In this case, as of November 1, 2014, the number of hired persons is 1.507 million people, including 883,700 people worked in the public sector, and 623,700 people - in private sector.

The number of people working in the oil sector amounted to 36,400 people, in the non-oil sector - 1.471 million people. Around 1.462 million people among hired employees work in non-agricultural sphere.

Around 22.8 percent fall to the hired employees involved in the production spheres: 7.1 percent in construction, 6.7 percent in manufacturing industry, 3 percent in agriculture, forestry and fishing, 2.4 percent - in the mining industry, 1.9 percent - in the production and distribution of electricity, gas and steam, 1.7 percent - in water supply, waste recycling, 22.2 percent in education, 18.8 percent - trade, repair of vehicles, 8.7 percent - medical and social services, 6.6 percent in state governance and defense, social maintenance, 4.7 percent - transportation and warehousing, 3.8 percent - recreation, entertainment and arts, 3.7 percent - professional, scientific and technical activities, 1.7 percent - communication and information, 2 percent - financial and insurance activities, 0.9 percent - real estate transactions, 1.6 percent - administrative and additional services, 1.4 percent - tourist accommodation and food and 1.1 percent - other areas.

Social maintenance

Around 334,650 people get the monthly social benefits in Azerbaijan. According to the ministry, as of November 1, 2014, the unemployment benefit is 268.3 AZN compared to 256.1 AZN as of October and 268.5 AZN as of early 2014.

As of November 1, 2014, around 1,417 people got the unemployment benefit compared to 636 people as of early 2014.

In October, the unemployment benefit increased by 4.76 percent in Azerbaijan compared to September. Taking into account the steady growth of consumer prices by 0.3 percent during a month, the real benefit also increased by 4.46 percent.

Pension provision

As of October 1, 2014, around 1,288,680 pensioners were registered in the State Social Protection Fund of Azerbaijan. Around 28.2 percent or 363,600 people receive disability pensions.

Around 6.8 percent (24,900 people) of the total number of people receiving disability pensions are disabled of the first group, 85.7 percent (311,400 people) - the second group, 7.5 percent (27,300) - the third group, the fund said.

Around 3.5 percent of the total number of people, receiving disability pensions, is war invalids, 95.5 percent - disabled for general reasons, one percent - civil servants.

As of January 1, 2006, the average monthly labor pension in Azerbaijan amounted to 32.3 AZN, whereas as of October 2014, this figure increased to 149.2 AZN. Currently, the average monthly pension for the visually impaired of the first group in the country is 251.4 AZN.

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