In the modern era, the sustainability of socio-economic development is directly related to environ mental safety and effective management of natural disasters. The complex orographic structure of Azerbaijan makes a large part of the country's territory vulnerable to flood hazards. The presented research work analyzes the mechanisms of formation of flood events, the economic and geographical aspects of their damage to various sectors of the economy and population settlement. The research has determined that, along with natural and climatic factors, anthropogenic influences—deforesta tion, intensive exploitation of slopes and irregular settlement in river valleys—play a decisive role in increasing flood risk. In particular, in strategic economic regions such as Shaki-Zagatala, Guba-Khach maz, Ganja-Dashkasan and Nakhchivan Autonomous Republic, the consequences caused by floods create serious obstacles to the sustainability of regional development. The scientific novelty of the work consists in studying flood events in their natural and anthropogenic interaction, and systematiz ing the regional differentiation of the economic damage they cause. At the end of the study, scientific and practical recommendations are put forward to optimize economic activity in risky areas, improve engineering protection systems, and ensure the safety of the population.