Very affordable costs (CPI: 30.6). Groceries (29.8) and restaurants (35.1) are significantly more affordable than NYC.

Property prices are very expensive, averaging 18.8 years of household income. The rental market (Rent Index: 9.2) is significantly more affordable.

A purchasing power index of 42.9 indicates low buying power compared to NYC.

Personal income tax for non-oil/gas/government sectors is 0% for monthly income up to AZN 2,500 and 14% on the excess. The standard VAT rate is 18%, and corporate income tax is 20%. Property taxes are levied on buildings, with rates varying by location. Tax incentives are available for startups and specific economic zones.

Azerbaijan's startup ecosystem is ranked #74 globally in 2025, showing significant growth. The government actively supports businesses with incentives like the 'Startup Certificate' and developing infrastructure. Digitalization efforts are simplifying business registration, though challenges in regulatory enforcement remain.

Public healthcare is free for residents, but expats often opt for private insurance due to varying quality. Compulsory health insurance has been expanded to cover many regions. The pension system is undergoing reforms to link benefits to contributions, though adequacy remains a concern. Unemployment and temporary disability benefits are available under specific conditions.

Deposits are protected up to AZN 100,000 (approximately USD 58,820) per depositor by the Azerbaijan Deposit Insurance Foundation (ADIF). The Central Bank is actively implementing Basel III standards, with full compliance expected by January 2027, enhancing banking sector stability and oversight.