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Cost of living in Azerbaijan

Azerbaijan is 71% cheaper than the US, ranking #171 of 203 countries we cover for cost of living.

World Bank data through 2025 · last reviewed 2026-06.

Cost of living · US = 100
29.5
Ranks #171 of 203 · 71% cheaper than the US
GDP / capita (PPP)
$25,089
GNI / capita (PPP)
$24,220
Inflation · YoY
2.2%
Population
10.2M
Capital
Baku
Density
123 /km²
Urban
59%
Area
86.6K km²

What drives the cost here

Price levels by category, where the world average = 100. Above 100 is pricier than the global norm; below it is cheaper.

In Azerbaijan, food & groceries is the priciest category relative to the world (61), while health is the most affordable (21).

Food & groceries 61
Communication 54
Transport 52
Restaurants & hotels 49
Housing & utilities 22
Health 21

Category price levels: World Bank ICP 2021 (world average = 100) · source

Azerbaijan on the map

What your money is worth here

A $100,000 US lifestyle would cost roughly $29,500 in Azerbaijan.

Quality of life

80/100 · #89 of 198

Beyond cost — health, safety, and connectivity. The score is a transparent, equal-weight composite of the verified metrics below (see methodology).

Quality-of-life score
80 / 100
Our transparent equal-weight composite
Life expectancy
75 yrs
World Bank · 2024 · source
Safety · homicide /100k
2.2
UNODC · 2023 · source
Infant mortality /1k
13
World Bank · 2024 · source
Internet users
91%
ITU · 2025 · source
Safe drinking water
58%
WHO/UNICEF · 2024 · source
Air quality · PM2.5
22 µg/m³
WHO · 2020 · source

About Azerbaijan

Azerbaijan -- a secular nation with a majority-Turkic and majority-Shia Muslim population -- was briefly independent (from 1918 to 1920) following the collapse of the Russian Empire; it was subsequently incorporated into the Soviet Union for seven decades. Beginning in 1988, Azerbaijan and Armenia fought over the Nagorno-Karabakh region, which was populated largely by ethnic Armenians but incorporated into Soviet Azerbaijan as an autonomous oblast in the early 1920s. In the late Soviet period, an ethnic-Armenian separatist movement sought to end Azerbaijani control over the region.

Read the full background

Fighting over Nagorno-Karabakh escalated after Armenia and Azerbaijan gained independence from the Soviet Union in 1991. By the time a ceasefire took effect in 1994, separatists with Armenian support controlled Nagorno‑Karabakh and seven surrounding Azerbaijani territories. After decades of cease-fire violations and sporadic flare-ups, a second sustained conflict began in 2020 when Azerbaijan tried to win back the territories it had lost in the 1990s. After significant Azerbaijani gains, Armenia returned the southern part of Nagorno-Karabakh and the surrounding territories to Azerbaijan. In September 2023, Azerbaijan took military action to regain the rest of Nagorno-Karabakh; after a conflict that lasted only one day, nearly the entire ethnic Armenian population of Nagorno-Karabakh fled to Armenia.Since gaining its independence in 1991, Azerbaijan has significantly reduced the poverty rate and has directed some revenue from its oil and gas production to develop the country’s infrastructure. However, corruption remains a burden on the economy, and Western observers and members of the country’s political opposition have accused the government of authoritarianism. The country’s leadership has remained in the ALIYEV family since Heydar ALIYEV, the most highly ranked Azerbaijani member of the Communist Party during the Soviet period, became president during the first Nagorno-Karabakh War in 1993.

Background from the CIA World Factbook (public domain), archived 2026-06-03.

Frequently asked

Is Azerbaijan expensive to live in?

Azerbaijan is 71% cheaper than the US, ranking #171 of the 203 countries we track. Its most expensive category relative to the world is food & groceries; health costs the least.

How much money do you need to live in Azerbaijan?

A lifestyle that costs $100,000 in the United States would cost roughly $29,500 in Azerbaijan, going by overall price levels. The salary translator turns your own figure into a local equivalent.

Is Azerbaijan cheaper than the United States?

Yes. Its overall price level is 29.5, against 100 for the United States.

What is the quality of life in Azerbaijan?

Azerbaijan scores 80 out of 100 on our quality-of-life index (#89 of 198), a composite of life expectancy, safety, health, and connectivity, with life expectancy around 75 years.

Every number, sourced.

We cite the exact source and year for each figure. Derived values are computed at build time, never hand-entered.

Price level index (US = 100)
Derived: nominal ÷ PPP GDP per capita, indexed to the US
29.5
GDP per capita (PPP)
World Bank · 2024 · source
$25,089
GNI per capita (PPP)
World Bank · 2024 · source
$24,220
Inflation (annual %)
World Bank · 2024 · source
2.2%
Population
World Bank · 2024 · source
10.2M
Population density
World Bank · 2023 · source
123 /km²
Urban population
World Bank · 2024 · source
59%
Surface area
World Bank · 2023 · source
86.6K km²

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