The cost of living in Azerbaijan can be relatively high compared to many different expat destinations. This wasn’t always the case, but costs have been exponentially rising in recent years. While expats are usually well compensated, salaries are still lower than others in the region.
Housing is probably the biggest expense for expats here if your relocation package does not cover it. Many companies tend to either provide accommodation or give employees and accommodation allowance, but it’s important to see if this allowance is enough.
A furnished one-bedroom in Baku will cost an average of AZN1,000 while a furnished two-bedroom would average AZN1,700. Your basic utilities for a small apartment will average AZN80 per month.
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If you stick to local food, it’s relatively inexpensive. Baku has a good climate that allows for fresh produce, so you won’t need to buy imported fruits and vegetables. Other types of groceries follow the same concept. For example, a dozen eggs would be around AZN1.80, a litre of milk would be AZN1.25, a kilogram of rice would be around AZN1.65 and a kilogram of chicken breasts would be around AZN 4.50.
However, eating out in restaurants can be pricey and would be considered more expensive than many European cities.
The majority of expats in Baku tend to drive as having a car here is very cost-effective. The cost of petrol is low, costing about AZN1.17 per litre.
There is also public transportation available. The bus and train fare in the city centre is AZN0.20. As for taxis, they charge AZN0.70 pet kilometre.
Since expats tend to go for private schools rather than public ones, education is the other high expense here. Fees at international school can be very steep and expats with children are advised to try and negotiate school fees coverage into their employment package.
To find out more about how much school fees are, click here>>