Major tendencies in different segments of monetary-credit system in the first quarter of 2006 Money mass Рњ2 grow
The banks of Azerbaijan decreased crediting in economy;
Deposit base of the Azerbaijani banks grew;
Trading sessions on placement of T-bills were held in the stock market. The NBA continued the placement of short-term notes in the Baku Stock Exchange.
Currency market and rate of AZM
In March 2006 the International Bank of Azerbaijan became a leader at the Baku Interbank Currency Exchange. The IBA was a leader at the exchange currency market of Azerbaijan in 2003 (December, November, September, July, August) and 2004 (except October), in 2005 excluding December. The similar tendency was observed this year.
Amount of currency trading sessions at BBVB in the 1st quarter of 2006
|
Amount, in m USD |
Rise in 1Q of 2006 |
Rise in a year | |
|
Total, (BEST) |
$181,184 |
-33.48% |
-46,09% |
Without consideration of the deals at the NBA, 22.42% of the currency turnover fell on IBA.
Along with the IBA, the top five included Bank of Baku (19.84%), Azerigazbank (5.61%), Rabitabank (4.59%) and Kochbank(3.03%)",
As of totals of February the leaders were the IBA (29.7%), Bank of Baku (7.03%), Bank Standard (6.14%), Bank Respublika (5.22%) and Azerigazbank (3,9%).
|
Bank |
Share in total, % |
|
International Bank of Azerbaijan |
22,42 |
|
Bank of Baku |
19,41 |
|
Azerigazbank |
5,61 |
|
RabitaBank |
4,59 |
|
Kochbank |
3,03 |
In March 25 member-banks of the currency section participated in the auctions. They concluded 83 deals at 40 trading sessions with the total amount of 30,506m manats, or $66,495m, which is 55.1% more as compared to February and 46.09% - March 2005.
The exchange rate of the national currency rose 0.47% - from 0,9128 manats to 0.9085 manats per 1 USD. In the end, the average sustained rate of AZM in regard to USD made up 0,9099 manats per 1 USD in March 2005, whereas in January it was 0,9156 AZN In general, over the past year the exchange rate grew 6.69% in respect to manat.
Monetary market
In March monthly pace of money mass reduced 10%, while in 2005 it grew 32.6%. tin the first quarter the rise was 5.7%.
As of 1 April 2006 money mass (M2) made up 842.1m manats, against 765.3bn manats of 1 March and 634.9m manats as of 1 April 2005.
In March the amount of cash money (Рњ0) rose 9.9%, while an annual rise was 17.4%. As of 1 April 2006 M0 turned out at 519.5m manats against 472.4m manats fixed as of 1 March and 442.4m manats fixed as of 1 April 2005.
In March the amount of non-cash money rose 10.1%, while annual rise was equal to 67.6%. As of 1 April 2006 non-cash funds grew to 322.6m manats against 292.9m manats fixed as of 1 March and 192.4m manats fixed as of 1 April 2005
Parameters of the monetary market
|
Amount, 1 April 2006 | |
|
Money mass in extensive understating (Рњ3) |
1930,5 |
|
Money mass on AZM (Рњ2) |
842,1 |
|
Cash in AZM |
519,5 |
|
Non-cash in manat |
322,6 |
In February the amount of the net international reserves (NIR) of the National Bank of Azerbaijan grew 8.4%, while since the beginning of the year it has grown 40.9%.
As of 1 April 2006 NIR comprised 1252.4m manats against 1155.4m manats as of 1 February and 888.6bn manats as of 1 April 2005. Net internal asserts constituted 678.2m manats against 694.7m manats as of 1 March and 522.7bn manats as of 1 April 2005.
As of 1 April the expanded money mass (M3) has amounted to 1930.5m manats (including 842.1m manats in the national currency) against 1849.7m manats (including 765.3m manats in the national currency) as of 1 March and 1441.3bn manats (634.9m manats in AzM) as 1 April 2005.
Credit market
In March the Azerbaijani banks increased crediting economy by 3.2%, while it grew 29.9% in 2005. During the first quarter of 2006 the growth pace of crediting fell 3.18%.
As of 1 April 2006, 1395.1m manats of total credits were allocated (including 554.992m manats in national currency and 797,313m manats in hard currency) against 1352,205m manats (including 554,892m manats in national currency and 797,313m manats in hard currency) as of 1 March and 1073.5m as of 1 April 2005. Overdue credits and loans comprised 66.7m manats against
66,679m manats as of 1 March and 50.1m manats as of 1 April 2005. The statistics of overdue credits does not include the similar loans allotted by non-bank credit organization Agrarkredit.
The short-term credits comprised 791.3m manats (including 48.3m manats of overdue loans) against 797,104m manats (including 48.3m manats of overdue loan) as of 1 March and 726.4m manats (36.8bn manats) as of 1 April 2005. The long-term credits constituted 603.8m manats (18.4m manats) against 555,101m manats (18.2m manats) as of 1 March and 346.9m manats (13.3m manats) as of 1 April 2005.
As of 1 April two public banks allocated credits of 643.1m manats (+2.2% in March and +36.6 over the year), private banks 703.7m manats (+4.3% in March and +36% over the year).
As of 1 April 2006 credit portfolio of banks with foreign capital made up 271.1m manats (+3.2% and +55.1% respectively), including 27.7m manats loaned by foreign banks (+1.1% and +12.1% respectively). As of 1 April credit portfolio 85 NBKO comprised 48,295m manats against 77 NBKO in the amount of 48,295m manats as of 1 April 2005.
As of 1 April average annual rate of banking crediting in the economy comprised 15.74% in national currency against 16.03% as of 1 March and 15.69% as of 1 April 2005. With consideration of inflation rate of 5.5% in 2005, the average annual rate on banking crediting the economy made up 17.92% in foreign currency against 18.16% as of 1 March and 18.65% as of 1 April 2005.
As of 1 April the average annual rate of banking crediting of legal entities made up 14.75% in national currency against 14.99% as of 1 March and 15.53% as of 1 April 2005. The average annual rate of banking credit of legal entities constituted 15.88% in foreign currency against 16.12% as of 1 March and 17.22% as of 1 April 2005.
As of 1 April average annual rate on banking crediting of physical entities comprised 18.47% in national currency against 18.90% as of 1 March and 16.17% as of 1 April 2005. Average annual rate of banking crediting of physical entities made up 21.74% in foreign currency against 21.86% as 1 March and 21.86% as of 1 April 2005.
Banking sector
In March the deposit base of Azerbaijani banks grew 2.4%, while since the beginning of the year its growth has made up 41.3%. In the first quarter the figure rose 9.5%.
As of 1 April the total amount of bank deposits and savings of legal and physical entities made up 1411bn manats against 1377.3bn manats as of 1 March and 998.9m manats as of 1 April 2005. 322.6m manats of the total sum fell on manat reserves, while 1088.4m manats on hard currency. In the first quarter growth of deposits in manat made up 4.1% while currency deposits with a rise of 29.4%.
As of 1 April the amount of savings and deposits of physical entities grew 4.4%, while the savings and deposits of legal entities dropped 1.3%. The savings and deposits of legal entities of individual clients increased 29.9%, while deposits of corporate clients grew 49.5%
As of 1 April the amount of savings and deposits of physical entities at banks grew to 545m manats against 522.1m manats as of 1 March and 419.6m manats as of 1 April 2005. As of 1 April the amount of deposits of legal entities made up 866m manats against 855.2bn manats as of 1 March and 579.3m manats as of 1 April 2005.
As of 1 April 322.6bn manats (+29.4% a month) of savings and deposits of physical entities was implemented in national currency, while 1088.4m manats (+4.1%) in hard currency. 253.3m manats of deposits of legal entities (+30.9%) were implemented in manats, while 612.6bn manats (+1%) in hard currency.
As of 1 April 2006 the average rate of bank deposits of physical entities in the national currency comprised 10.51% against 9.49% as of 1 March and 6.90% as of 1 April 2005, while real inflation ratio was 5.5%. The average rate of banking deposit in hard currency was 10.99% against 10.72% as of 1 March and 9.93% as of 1 April 2005.
As of 1 April the average rate of bank deposits of legal entities in the national currency comprised 8.89% against 8.05% as of 1 March and 6.09% as of 1 April 2005. The average rate of banking deposit of corporate client in hard currency is 8.65% against 8.42% as of 1 March and 6.72% as of 1 April 2005.
As of 1 April the average rate of bank deposits of physical entities in the national currency comprised 11.81% against 11.03% as of 1 March and 8.88% as of 1 April 2005. The average rate of banking deposit of individual client in hard currency is 11.19% against 10.94% as of 1 March and 10.35% as of 1 April 2005.
In March 2006 average statutory capital of the Azerbaijani bank grew from 6.1bn manats as of 1 March to 5.2bn manats as of 1 April 2006 and normative requirement of 6.4m AZN to aggregate capital as of the bank. In March the net of branches of the banks remained unchanged, while they turned out 6.6% less than 2005.
As of 1 April 44 banks had 378 branches against 353 branches of 42 banks as of 1 April 2005. 85 non-bank credit organizations have 26 branches.
In March the statutory capital of banks grew from 266.3m manats to 276.4m manats, or 3.8%, while this year the statutory capital comprised only 26.9%. The capital of 42 commercial banks grew in March from 230.5m manats to 234.3m manats. The capital of two state banks increased 35.8 manats to 42m AZN. As of 1 April 2006 6.3m manats of statutory capital falls per bank in average.
The total capital of 18 banks with foreign participation remained unchanged and made up 98.2bn manats and their share in entire statutory capital comprised 35.7%, while net foreign investments (49.3m manats) comprised only 17.8% of the total sum.
Stock market
In the first quarter of 2006 the Ministry of Finances held 6 auctions on placement of T-bills and of them only one was held in March. The auction with the issue of 23mn manats resulted in the placement of 18,537,800m manats (80.6% of the issue). In March the amount of issue comprised 5m manats. The average sustained profitability rate of the auction comprised 9.1% per annum. 8 deals were held at the secondary market with the total amount of 3,099,369,18 manats.
In the first quarter the National Bank of Azerbaijan (NBA) held 14 auctions on placement of short-term notes, including 6 in March. The emitter succeeded to place 115m manats of the total of 112,300m manats. In March 44,106m manats was placed at 6 auctions in March with the issue of 47m manats. The average sustained profitability rate on the results of all auctions comprised 9.1% per annum.
19 deals on short-term bonds was fixed at the secondary market in the amount of 8,231,490,86 manats, which 3,109,794,64 fell on 6 deals concluded in March.
In January to March 11,134,36 manats was placed at the corporate shares market, while at the secondary market on short-term notes with the total amount of 1,461,678 manats. Initial placement of corporate bonds comprised $838,400, while at the secondary market it was fixed at $520 679,84.