Second Regional Bank Gets License in Azerbaijan

Business Materials 6 August 2008 12:51 (UTC +04:00)

Azerbaijan, Baku, 6 August / corr. Trend I.Khalilova / The leadership of the National Bank of Azerbaijan (NBA) granted a license to a business bank - Nakhchivanbank Open Joint Stock Company (OJSC) to realize its banking activity, the NBA said on 5 August. It became the second regional bank in Azerbaijan and will realize banking activity in the territory of Nakchivan Autonomous Republic. The first regional bank was Ganja Bank, established in Ganja in 1994.

Earlier, Vugar Abbasov, the president of Cahan Holding and holder 30% shares of the bank, said that Nakhchivanbank would be a universal bank specialized in loaning of economy, holding leasing operations and rendering other banking services.

In a short period of time it is planned to open subsidiaries in Nakhchivan, Baku and other regions of Azerbaijan, including Ganja and Guba.

The bank is established with authorized capital of AZN10mln with a nominal cost of AZN 10 per one.

"Our business will enable to rival with other banks, which are currently operating in the country, shareholder of the bank considers. Advantage of Nakhchivanbank will be its being second regional bank, contributing in development of regions."

Nakhchivanbank will be established by seven individuals, and one of them is a Turkish citizen holding 300,000 shares. The supervision council of the bank comprises Khuraman Mirjavadova, Vasif Kazimov and Alidadash Babayev.

At present 44 banks operate in Azerbaijan and 24 of them include foreign capital. Two banks more, including CP Bank and AZFINANSBANK, which are currently passing licensing procedure, will enter the Banking market soon.

The exchange rate for US dollar was AZN 0.8096 on 5 August.

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