Azerbaijan, Baku / corr Trend I.Khalilova / The law on "Currency regulating" which aims at canceling customs duty for residents and non-residents when exporting currencies, was adopted at a plenary meeting of the Azerbaijani Parliament.
Currently, every person has been allowed to export up to $1,000 without being liable for duty, and up to $10,000 by paying 1% duty. Anything up to $50,000 can be exported only through banks and by stating the source of income.
The World Trade Organization (WTO) recommended the duty-free outflow of capital. The National Bank of Azerbaijan (NBA), one of the main regulators of the currency market in the country, agreed to impose a zero-rate customs duty, which stipulates the liberalization of the capital export. "The Outflow of excess dollars from the country will allow the reduction rate of consolidation of AZN," Adalat Muradov, the head of the Secretariat on Azerbaijan's entrance to WTO said.
The National Bank of Azerbaijan introduced a new regime for the liberalization of capital flow for Azerbaijani residents in the summer of 2007 so as to decrease pressure on inflation in connection with large imported currencies in Azerbaijan.
In accordance with supplements and rules of Regime of Currency Operation of Residents and Non-Residents of The Azerbaijan Republic, the residents can hold money transfers to the Organization of Economic Cooperation and Development (OCED) member-countries, which signed bilateral agreements on mutual encouragement and protection of investments and the Russian Federation, which is not a member of OCED and does not have an agreement to secure investments with Azerbaijan, for:
- transferring investments with respect to obtain incomes, including capital in the stock fund of organizations, to obtain rights in participating in the management of organizations;
- purchase of securities;
- payment for land property rights, as well as buildings constructed on it and other types of immovable property and for payment for other property rights;
- placing deposits in deposit accounts of residents in foreign banks.
Such money transfers to other countries can be held at individual sanction of NBA.