Another Azerbaijani Bank to Draw Foreign Loans for Mortgage Crediting

Business Materials 17 December 2007 16:47 (UTC +04:00)

Azerbaijan, Baku / Trend corr. I.Khalilova / Bank Respublika is planning to draw funds from international financial structures to develop its mortgage program, stated bank manager Hadija Hasanova said.

According to Hasanova, the bank implements negotiations in this direction with the European Bank of Reconstruction and Development and International Financial Corporation.

The volume of mortgage portfolio of Bank Respublika currently exceeds AZN 20mln. There are plans to increase the sum to AZN 40mln.

The current portfolio was financed at the expense of credits allocated by the line of the Azerbaijani Mortgage Fund acting at the National Bank of Azerbaijan (NBA). However, the bank re-credited within the framework of its own program after the mortgage fund stopped to allocate funds, Hasanova stated.

Bank Respublika's mortgage credits are allocated for ten years term on 15% rate per year.