Azerbaijan, Baku, 25 April /corr. Trend U.Ismaylova / One of the key problems of the insurance companies of Azerbaijan is the low capitalization, said Dmitriy Popov, First Deputy Director General of ROSNO, said in Baku on 25 April at the presentation ceremony of the Office.
"Low capitalization does not give an opportunity to companies to insure large risks," Popov said.
According to him, the industry and economy dynamically develop in the country, and in such conditions, necessity appears for insurance. Due to low capitalization, the insurers may be unprepared to insure large risks.
According to data by Azerbaijan's Ministry of Finance, in 2007 the gross capital of 30 insurance companies functioning in Azerbaijan totaled $62mln.
The founder of ROSNO is Allianz SE, which purchased 97% of the company's stocks in February 2007. On 15 April, ROSNO was registered at the Azerbaijani Tax Ministry to open an office ion Baku.
The correspondent can be contacted at: [email protected]