The Azerbaijan Grand Prix will remain on the Formula One schedule through at least 2030.
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The organisation announced the contract extension on Saturday.
The race has been held at the Baku City Circuit since 2016, when it was called the European Grand Prix. It got a permanent spot on the calendar in 2017 and was renamed the Azerbaijan Grand Prix.
The 2025 edition will be held Sunday. Max Verstappen gained the pole position in qualifying.
Oscar Piastri, who will start ninth after a crash in qualifying, is the defending champion.
"There's an incredible energy to the city of Baku and since our first Grand Prix here in 2016, Formula 1 has consistently received a warm and enthusiastic welcome from the people of Azerbaijan," Stefano Domenicali, president and CEO of F1, said in a news release.
"The circuit is unique, with technical sections and long straights that run through the stunning shoreline and historic old town, delivering an eventful and entertaining race every year.
"This renewal reflects the strong trust and commitment between Formula 1, the Azerbaijani Government, and the promoter, and paves the way for an exciting future in the country."