Insurance in Azerbaijan leads in attracting investments in financial technologies

Economy Materials 28 February 2020 10:33 (UTC +04:00)
Insurance in Azerbaijan leads in attracting investments in financial technologies

BAKU, Azerbaijan, Feb. 28

By Yusif Aghayev – Trend:

The insurance industry (insurtech) ranked first in Azerbaijan in terms of attracting investments in financial technologies in 2019, Executive Director of the Azerbaijani Center for Analysis of Economic Reforms and Communication Vusal Gasimli said.

Gasimli was speaking about the main trends in the development of financial technologies in the world and their wide use in Azerbaijan, Trend reports referring to the Center.

“Some $1.8 billion was invested in this sector in the last quarter of 2019, while $6.8 billion for the whole year,” the executive director said.

“Financial technologies with a total value of more than $1 billion, implemented in property insurance systems, medical insurance, various business insurance spheres, as well as in life insurance companies, allow effectively assessing risks, conducting underwriting and ensuring interaction with all interested parties on a single a platform that makes business insurance procedures more efficient,” Gasimli added.

While speaking about the reasons stipulating the leading role of the insurance sector in the field of attracting investments, the director of the Center stressed that this is primarily connected with the fact that the risk factors available in the business allow insurance to be in trend and attract more investments compared to other sectors.

The goal of the Center is to ensure sustainable economic development of the country through analysis and research at the macroeconomic and microeconomic levels, to prepare proposals for the implementation of economic reforms, as well as medium and long-term forecasts based on analytical data.

The Center’s goal is also to provide state bodies and institutions with forecasts, promote the achievements of the Republic of Azerbaijan in various sectors of the economy, expand the scope of economic reforms, ensure effective coordination of work in this sphere, contribute to the economic reforms that serve to create a competitive model of the social market.

Presently, some 22 insurance companies and one reinsurance company operate in Azerbaijan.