WB Begins to Assess Cost of Assistance for Modernization of Azerbaijani Financial System

Business Materials 14 February 2008 20:17 (UTC +04:00)

Azerbaijan, Baku 14 February /corr. Trend I.Khalilova / On 14 Feb, the World Bank's chief specialist for the financial sector, Michel Edwards, will begin his visit to Azerbaijan to assess the new project on Modernization of Azerbaijani Financial System and also to specify its components, the Director of Statistics and Research Department of the National Bank of Azerbaijan (NBA), Emin Huseynov, said on 14 February.

The mission includes various specialists, several of whom formerly arrived in Azerbaijan.

During the previous discussions, four components of the project were formed, Huseynov said. They include the protection of rights of consumers of financial services in the sphere of insurance, development of the banking infrastructure and capital markets.

The component includes several measures: transferring Centralized Credit Registry of the NBA to more advanced technologies, establishing centralized database in the NBA, improving financing mechanism of rural areas.

A concept of the project specifies the WB's readiness to support the project with financial and technical assistance. Azerbaijan's Ministry of Finance is prepared to receive technical assistance, within this project, to improve the insurance legislation.

It will be the third WB and last preferential credit for the financial sector of Azerbaijan. The WB allocated a $5.4mln for the Financial Sector Technical Assistance (FSTA) and $12mln - for the Development of Financial Services.

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