BAKU, Azerbaijan, November 24. The share of banking assets in Azerbaijan's GDP grew from 26.8 percent to 44.3 percent over the past 10 years, the Executive Director of the Center for Analysis of Economic Reforms and Communications of Azerbaijan (CAERC) Vusal Gasimli said at the opening ceremony of the VI International Banking Forum in Baku on November 24, Trend reports.
According to Gasimli, the volume of credit investments in the Azerbaijani economy in the reporting period increased from 9.9 billion manat ($5.8 billion) to 17.1 billion manat ($10 billion).
"The level of capitalization and liquidity of the banking sector, making up a significant part of the financial sector of Azerbaijan, exceeds the norm by two times," he said.
The official stressed that the ‘Strategy for the socio-economic development of the Republic of Azerbaijan for 2022-2026’ defines the main directions for the development of banking.
"According to the strategy, the volume of assets of the banking sector is expected to annually grow by eight percent, the loan portfolio - by 10 percent, business loans - by six percent, loans to micro, small, and medium businesses - by 15 percent, and the insurance market volume - by 10 percent," Gasimli explained.
By the end of 2026 two investment funds are also expected to operate with the improvement of the regulatory framework, institutional development and expansion of infrastructure capabilities to deepen the corporate securities market, he added.