Changes to the Oil Fund's Budget: the impact of increased revenues on government spending

Abstract

Last week, on October 4th, the budget of the State Oil Fund of the Republic of Azerbaijan (SOFAZ) for 2017 was changed.1 It should be noted that earlier on June 30th, state budget revenues increased by 511 million manat, and expenditures by 1 billion 41 million manat, as amended by the law "On the State Budget of the Republic of Azerbaijan for 2017".2 Changes in the budget of the Oil Fund did not cause wide public debate. We suppose that the changes in the document reflect important symptoms for the analysis and forecasting of the government's current fiscal policy.