The increase in oil and gas revenues is inevitable, and this increase will have a quite positive impact on Azerbaijan's overall oil revenues. This impact will be directed not only to the state budget but also to the consolidated budget, which includes the Azerbaijan State Oil Fund. As a result, receipts to the Oil Fund will increase.
Medianews.az reports that economist Natig Jafarli said these words in an interview with Axar.az while discussing the effects of the increase in energy prices on our country.
He stated that it is currently difficult to specify the exact volume of the increase because it is not easy to predict how long prices will remain high:
"Prices have been rising consecutively over the last three weeks. How long this trend will continue will become clear over time."
The economist noted that the price increase has a significant direct effect on revenues:
"Each 1 dollar price increase brings approximately 450 thousand dollars of additional daily revenue to Azerbaijan's Oil Fund. If the price increases by 10 dollars, this means an additional 4.5 million dollars daily revenue.
Since the war started, the price of Azerbaijani oil has increased by approximately 50-60 dollars. A 60 dollar increase means roughly 27-28 million dollars of additional daily revenue. If this situation continues for one month, our additional revenue may reach about 700 million dollars. If it continues for two months, this figure could approach approximately 1.5 billion dollars. This means extra profit beyond the projected revenue."