The cost of living in Azerbaijan is quite high in relation to many expat destinations and has increased exponentially in recent years, particularly in Baku. The country is often considered a hardship destination and expats, therefore, are well-compensated to make the move. However, expat salaries in Azerbaijan are still relatively low in comparison to other countries in the region, such as Russia.

Cost of accommodation in Azerbaijan

Accommodation in Azerbaijan is expensive and likely to be an expat’s greatest expense if not already included as part of a corporate relocation package. Many companies, particularly in the energy sector, will provide accommodation or an accommodation allowance (including for utilities) for their expat staff, so it’s important to confirm this prior to arriving in the country.

Cost of food in Azerbaijan

Thanks to Azerbaijan’s favourable climate, there is always local fresh produce available, so it’s unnecessary for expats to buy expensive imported foods. Eating out in Baku is expensive in relation to other European cities.

Cost of transport in Azerbaijan

The cost of transport in Azerbaijan is very affordable due to the country’s low fuel prices. Running a car in Azerbaijan is very cost-effective. For expats with children, it’s often more practical to have a private vehicle for getting around. Some companies will provide their foreign staff with a car as well as a driver.

Cost of education in Azerbaijan

Expats don’t usually send their children to public schools in Azerbaijan, choosing to rather enrol them at international schools. Fees at these schools, as with elsewhere in the world, are very expensive, and expats with children should ensure that their relocation package caters for this.

Cost of living in Azerbaijan chart 

Prices may vary depending on product and service provider. The list below shows average prices for Baku in June 2019.

Accommodation (monthly rent in good area)

Furnished one-bedroom flat in Baku

1,000 AZN

Furnished two-bedroom flat in Baku 

1,700 AZN


Eggs (dozen)


Milk (1 litre)


Rice (1kg)


Loaf of white bread


Chicken breasts (1kg)


Pack of cigarettes (Marlboro)


Eating out

Big Mac Meal


Coca-Cola (330ml)




Bottle of local beer


Three-course meal for two at a mid-range restaurant

43 AZN


Mobile to mobile call rate (per minute)

0.10 AZN

Internet (uncapped ADSL or cable – average per month)

28 AZN

Basic utilities (per month for a small apartment)

75 AZN


Taxi rate (per kilometre)

0.70 AZN

Bus/train fare in the city centre

0.30 AZN

Petrol/Gasoline (per litre)

0.90 AZN


Expat Health Insurance


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