BAKU, Azerbaijan, June 3
By Yusif Aghayev - Trend:
Two insurance companies with capital problems have been identified in Azerbaijan, Chairman of the Central Bank of Azerbaijan Elman Rustamov said, Trend reports.
Rustamov made the remark at a press conference on the start of the process of returning insured deposits to liquidated banks Ata Bank and Amrahbank.
The conference was held by the CBA and the Azerbaijan Deposit Insurance Fund (ADIF).
CBA chairman noted that these companies are Amrah Sigorta OJSC and Ravan Sigorta OJSC.
“Both companies have problems with total capital. Although the companies’ capital satisfies the current level of their operating activities, they were instructed to bring its level to the minimum that meets the requirements established by law, as soon as possible, otherwise the necessary measures will be taken in relation to them,” he said.
The indicated companies are the subsidiaries of Amrahbank and NBCbank, licenses of which were revoked by the decision of the board of the CBA on April 28, 2020.
Rustamov added that the financial condition of AtaSigorta insurance company, which is part of AtaHolding group of companies, is quite satisfactory and there is no doubt about its financial stability.
AtaBank LLC was also deprived of a banking license by the decision of the CBA’s board on April 28, 2020.
In May 2020, the license for insurance activities of Standard Insurance OJSC was also revoked. This was largely due to the mismatch of the company's total capital with statutory requirements.
Presently, 21 insurance companies and one reinsurance company operate in Azerbaijan.