Financing for equity in higher education

1. Education resources to subnational governments

Introduction

Key financing indicators (UIS Data)

According to UIS data, in 2024, the gross enrolment ratio for tertiary education (both sexes) was 41%. The initial government funding per tertiary student as a percentage of GDP per capita was 32% in 2023, while the initial household funding was 11%.

Tuition-free status

Public tertiary education is not tuition-free, with the government only covering the tuition fees of students of disadvantaged backgrounds, and those admitted to specific subjects (determined each year). The government also covers the tuition fees of students based on their higher education admission results.

Tuition exemptions apply to internally displaced persons, orphans, persons with disabilities, children of parents with severe disabilities and low income, martyr’s families, children of martyrs and war invalids, and war veterans. Amendments to the Law on Social Protection (2024) expanded the definition of children deprived of parental care to include those with a surviving parent who is imprisoned, missing, incapacitated, deceased, deprived of parental rights, or refusing parental duties. Such children, even if adopted, receive full state support for education up to age 23, with tuition costs covered at state and private institutions.

Private higher education institutions also exempt certain categories of students from tuition fees. However, this varies from institution to institution.

In 2025, the education of 27,956 admitted students will be funded out of the state budget (48.8%) while 29,280 will pay tuition fees.

Governance

The Ministry of Science and Education is responsible for financing higher education institutions, while the Ministry of Finance controls their spending. The spending of the institution’s income is governed by its internal acts in accordance with strategic goals. Most commonly, the institution’s income is spent on infrastructure and salaries, while the ratio between self-provided income and funding from the state budget largely varies from one institution to another.

The higher education system comprises 51 institutions, 40 of which are publicly funded. The Ministry oversees 19 public and 10 private institutions, while 13 public institutions fall under the purview of different public entities and 7 public institutions are special-purpose higher education institutions.

1. Education resources to subnational governments

Higher education institutions receive financing directly from the central government (Ministry of Science and Education), with no involvement from local governments.

2. Education resources to institutions

Funding for private universities in the absence of public institutions

The financing of private higher education institutions is nearly fully independent from the state, with their main source of income being tuition fees, either paid by the government (through state order) or students. However, some students in private higher education institutions with excellent admission performances are funded by the state.

Allocation and equity

According to the 2010 Decree No. 220 of the President of the Republic of Azerbaijan, government financing of higher education institutions is carried out based on a state order and mainly on a per capita basis.

According to the 2010 Decision No. 120 of the Cabinet of Ministers of the Republic of Azerbaijan on the lmplementation of a New Funding Mechanism in Higher Education lnstitutions, financing of higher education institutions operating within the territory of the Republic of Azerbaijan from the state budget is carried out on the basis of the state order. The financing of higher education institutions covers bachelor's and basic (undergraduate) medical education, as well as master's, postgraduate studies and residency levels. Regardless of their form of ownership, all higher education institutions operating in accordance with the legislation can participate in the fulfilment of the state order. Accordingly, higher education institutions operating in the territory of the Republic of Azerbaijan implement state-funded programmes. Training of specialists in higher education institutions under state-funded programmes is carried out based on the per capita financing principle.

The main source of higher education funding for both public and private institutions is student tuition fees, which can be paid by the government or by the students themselves. The tuition fees of students without parental care, from single-parent families, from refugees and displaced families, with disabilities, of national heroes, or of people who died ‘for the sovereignty and territorial integrity of Azerbaijan’ are paid by the state in both public and private higher education institutions.

Higher education institutions can also acquire funds from various national and international projects, real estate, donations, consultancy services, etc. According to the 2009 Law on Education, higher education institutions can acquire funds and resources from other sources not prohibited by legislation of the Republic of Azerbaijan.

3. Education resources to students

Admission for vulnerable groups

Admission to higher education institutions is carried out on a competitive basis according to central examinations set by the State Examination Center. While the admission plan is drawn up by the Ministry of Science and Education, the relevant procedures and requirements for admission are developed by the State Examination Center, which implements admissions to different levels of higher education based on student results at the centralised entrance exams.

According to the 2009 Law on Education, direct admission to their relevant specialisations is only provided to winners of world subject and/or national Olympiads, reputable international competitions and contests.

Scholarships, grants and loans for vulnerable groups

Educational Student Loan Fund

The Educational Student Loan Fund is a non-profit legal entity that organises the issuance of student loans, operating under the supervision of the Ministry of Science and Education. The fund was established by a Presidential Decree in June 2021, with the procedure of granting student education loans approved by Law 226 of the Cabinet of Ministers in July 2021.

Citizens of the Republic of Azerbaijan studying at state and private educational institutions officially operating in the country at the bachelor’s and master’s levels, and secondary specialized education and TVET, are eligible to apply. There are two types of student loans available. Standard loans have an annual interest rate of 6% and are based on student grades. Social loans (issued at 2%) are granted to students that meet one of the following conditions: members of a family receiving targeted state social assistance; persons with disabilities; war veterans; recipients of labor pensions and social allowances due to loss of a breadwinner; or if both parents (or one parent if the student only has one) are unemployed, disabled, or receiving old-age pension or social benefits.

Specifically, under the 2021 Rules for granting educational student loans, the Fund provides standard and social loans (Article 2.1.2.) to full-time students at higher education level. Social loans are available from the first semester to students from vulnerable groups, including families receiving social assistance, persons with disabilities, children of disabled or unemployed parents, recipients of social allowances, war veterans, orphans of imprisoned parents, and others. Priority is given to students eligible for social loans.

Student Stipends

The government provides stipends to students in secondary specialized, higher education and vocational institutions in accordance with the procedures established by legislation, with the aim of encouraging their academic performance. Foreigners and stateless persons permanently residing in the Republic of Azerbaijan are also eligible for receiving government stipends. In addition, named and targeted scholarships are also awarded to students. Named scholarships for students are established by the President of the Republic of Azerbaijan. Each year, students getting the highest admission score are awarded with the President’s stipend (350 AZN). In 2025, 102 students were awarded this stipend.

For each academic year, the total number of scholarship places consists of the sum of the number of students enrolled under the state order and on a state-funded basis in full-time and part-time education, as well as the number of additional scholarship places. In the first semester of the first academic year, these stipends are provided to the students admitted to a higher education institution based on state order. In the following semesters, regardless of whether the students are enrolled under the state order, on a state-funded basis, or on a fee-paying basis, scholarships are awarded to students pursuing full-time education studies at higher and secondary specialized education institutions based on their overall academic performance. There are 3 types of student stipends for the first and the second levels of higher education: excellent, encouraging; and ordinary.

In addition to full state provision, children who have lost their parents and children deprived of parental care are granted a scholarship in an amount not less than twice the scholarship established at the respective educational institution. They are further paid a one-time allowance upon graduation from higher education institutions.

The government has additionally introduced a number of targeted initiatives. For example, the ‘Graceful Engineers’ scholarship supports high-achieving female students from low-income families who are pursuing studies in technical and engineering disciplines, while the ‘Maya Hajiyeva ICT Scholarship’ aims to enhance women’s competencies in ICT, supporting their integration within the digital economy. Similarly, the ‘Hanifa Malikova-Zardabi’ scholarship programme supports the education or young girls, with female students receiving a monthly scholarship throughout their studies. Another initiative, the ‘Parla’ Scholarship, has also supported high-achieving female students with a monthly stipend.

4. Support for students’ living costs

Transportation

The use of local transportation is also covered as part of the Rules for Financing Education in Foreign Higher Education Institutions within the framework of the 2022-28 State Programme for Youth Education in Prestigious Higher Education Institutions of Foreign Countries. These expenses cover the period during which the student is in the country of study on the start and end dates of the academic year.

Some higher educational institutions may also provide their students with allowances for the use of city transportation. For example, the Student Trade Union Committee at the Baku State University made a decision regarding students originally from Khojaly (due to the Khojaly genocide) studying at the university. According to the decision, the transportation costs of students from Khojaly are covered by the Student Trade Union Committee until the end of the academic year.

Accommodation

The monthly living expenses, including dormitory and apartment rental, are covered by the state as part of the Rules for Financing Education in Foreign Higher Education Institutions for Azerbaijani students studying in foreign institutions within the framework of the 2022-28 State Programme for Youth Education in Prestigious Higher Education Institutions of Foreign Countries.

According to the 1999 Law of the Republic of Azerbaijan On Social Protection of Children Who Have Lost Their Parents and Are Deprived of Parental Care (as amended in 2024), students who have lost their parents and are deprived of parental care are entitled to state-funded housing.

Textbooks

According to the 1999 Law of the Republic of Azerbaijan On Social Protection of Children Who Have Lost Their Parents and Are Deprived of Parental Care (as amended in 2024), an allowance is paid for the purchase of textbooks and teaching materials during the studies of students who have lost their parents or are deprived of parental care. This was expanded to include students whose both parents have died or whose one parent has died and whose other parent has been determined to be disabled. Students with parents serving in prison, missing, and deprived of parental rights are also entitled to this allowance.

The provision of learning materials is also covered as part of the Rules for Financing Education in Foreign Higher Education Institutions within the framework of the 2022-28 State Programme for Youth Education in Prestigious Higher Education Institutions of Foreign Countries.

This profile has been reviewed by the Ministry of Science and Education of the Republic of Azerbaijan and Dr. Ulviyya Tofiq Mikayilova (ADA University, Azerbaijan).

Dernière modification:

mar 03/03/2026 - 08:15