The scope of state guarantees and subsidies provided by ABDF for business loans has been expanded.

The functionality and scope of the Azerbaijan Business Development Fund’s (ABDF) guarantee and interest subsidy mechanisms for business loans have been expanded.

In accordance with the Decree signed by President of the Republic of Azerbaijan Ilham Aliyev on 9 June 2026, state guarantees and interest subsidies for business loans issued to entrepreneurs operating in the regions will be provided directly by ABDF.

Under the amendments, the scope of the state guarantee has also been expanded. While the guarantee covering up to 90% of loans issued in the liberated territories remains in place, ABDF will also provide a state guarantee covering up to 50% of the principal amount of loans issued in other regions.

At the same time, the maximum annual interest rate on loans has been reduced from 15% to 13%, and entrepreneurs will receive a subsidy covering 50% of the loan interest. This support mechanism will apply for a period of up to 36 months.

At the initial stage, the mechanism will be implemented in all regions of the country, except Baku and the Absheron district, until 31 December 2030.

It should be noted that ABDF has been providing state guarantees and interest subsidies to entrepreneurs operating in the liberated territories since February 2024. More detailed information on the implementation procedures and operating principles of the mechanism will be made available to the public in the near future.