Azerbaijan, Baku / Trend corr. I.Khalilova / Azerbaijani Finance Ministry and National Bank of Azerbaijan (NBA) discuss the further mortgage financing at the expense of budget.
The concrete sum which to be allocated to the State budget for 2008 to finance social mortgage has not been defined yet, Azar Bayramov, the deputy Finance Minister, said. However, the government does not intend to allocate fund for commerce mortgage.
According to Bayramov, currently two sources for mortgage financing are considered, the State investment program and reserve fund of the Cabinet of Ministers. .
The mortgage crediting acting through the Azerbaijan Mortgage Fund suspended mortgage financing in June. During the following months the Fund allocated funds to banks-agencies to re-financing in order to cover mortgage expenditures.
Azerbaijani Finance Ministry refused to allocate an additional fund for financing of the Azerbaijani Mortgage Fund.
The allocation of mortgage credits by Azerbaijani Mortgage Fund has been implemented at the expense of the State budget. Since 2005 some AZN 46mln have been allocated for this purposes. Presently Azerbaijani Mortgage Fund holds negotiations to draw foreign loans.