BAKU, Azerbaijan, Mar. 12
Trend:
Azerbaijani President Ilham Aliyev signed a bill to extend the term of full deposit insurance until December 4, 2020, Safa Mirzayev, Head of Administration of Azerbaijani Parliament said, Trend reports.
The bill has already been submitted for discussion and will be adopted at plenary meetings of the newly elected parliament of the country.
As Trend reported earlier, in order to maintain financial stability in the country amid the crisis processes in the global economy, ensure stability of the banking system and increase the confidence of depositors in it, the law on full deposit insurance was adopted on January 19, 2016.
According to the law, all deposits have been fully insured for a period of three years since March 4, 2016, regardless of the amount, within the annual interest rate established by the Board of Trustees of the Azerbaijan Deposit Insurance Fund (ADIF) (3 percent in foreign currency and 15 percent in national currency).
Then, on the basis of legislative changes, this period was extended for another year on February 19, 2019, until March 4, 2020.
Based on the results of discussions held at the Azerbaijan’s Financial Stability Board and in order to better protect the interests of depositors and creditors, a corresponding recommendation was prepared to extend the term of the law on full deposit insurance by nine months until December 4, 2020.