Azerbaijan, Baku, May 4 / Trend, A.Akhundov /
Increase of authorized capital of Pasha Insurance company up to 35 million manat creates conditions for further strengthening of our material-technical base and growth of capacities on retention of insurance and reinsurance risks, Zaur Aliyev, the Chief Financial Director of Pasha Insurance OJSC said on Friday, the company's press release says.
Management Board of Pasha Insurance OJSC has finished the procedure of increasing the authorized capital of insurance company to 35 million manat and informed the State Insurance Supervision Service under the Ministry of Finance of AR and Board of Directors of the company about the results of the capital growth. The increase of authorized capital of the insurer is made at the expense of a reinvestment in the capital of profit of the company for 2011 and additional investment from shareholders.
"Present growth of capitalization creates conditions for further strengthening of our material-technical base and growth of capacities on retention of insurance and reinsurance risks," Aliyev said.
He said adequate capitalization of insurers - is one of the most important preconditions of success of further integration of modern western insurance products in Azerbaijani practice and ensuring stability of insurance sector of the country.
"The current growth of authorized capital of Pasha Insurance from 30 to 35 mln AZN is made within the strategic development plan of the company and according to the state policy of encouragement of growth of capitalization of the insurers," Aliyev said.
Pasha Insurance, a member of Pasha Holding Group, provides services to both corporate and individual clients on 31 types of voluntary and compulsory insurance. With an authorized capital of 35 million manat and current cost of actives at 46 million manat, Pasha Insurance strengthened positions in the three of leaders of the insurance and reinsurance market of Azerbaijan on an indicator of capitalization and capacities of own risks retention.
The official exchange rate is 0.786 manat to $1 on May 4.