Azerbaijan, Baku, 19 April / corr. Trend I. Khalilova/ The General Assembly of shareholders of Micro-Finance Bank of Azerbaijan (MFBA) decided to increase the authorized capital stock of the bank by AZN9mln up to AZN20mln and the aggregate capital up to AZN33mln, the bank said. The increase in the capital will make MFBA one of the ten largest banks of Azerbaijan.
The capital will be increased by the current shareholders in line with their shares. The structure of Bank's shareholders is as follows: European Bank of Reconstruction and Development (20%), the International Finance Corporation (20%), the Black Sea Trade and Development Bank (20%), KfW Development Bank - the Development Bank of the German Government 20%), LFS Financial Systems GmbH - a German consulting company (3%), and AccessHolding (16%) - a strategic investor in microfinance.
The decision about the increase in the capital was motivated by the fast and
successful development of the bank. The increase in the capital will give a
powerful impetus to the further development of the Bank.
"Shareholder admit the great role of MFBA in financing Azerbaijani micro and small businesses, diversification of economy and creating new jobs," Michael Yainsig, the chairman of Supervisory Board said. "The increase in the capital shows the confidence of the shareholders in Bank's great role in the development of Azerbaijani economy," he said.
As of early April of 2008, the credit portfolio of MFBA exceeded 55,000 credits with a total volume of AZN140mln. During its 5-year activities the Bank granted 120,000 credits with a total volume of $335mln. The total volume of the Bank's assets exceeds $160mln.
The official exchange rate for 19 April is 0,8289 AZN/AZN.