Data set for completion of licensing of Azerbaijan's Azerpocht postal operator

Business Materials 4 June 2009 18:45 (UTC +04:00)

Azerbaijan, Baku, June 4 / Trend , N. Ismayilova/

Process of licensing of Azerpocht, Azerbaijan national postal operator, will end by end of the year, head of Azerbaijani Central Bank Department for International Relations Farid Bakhshiyev said.  

"This process is already underway and it is expected to end this year at the same time with completion of the World Bank project Development of Financial Services in Postal Divisions," he said.  

He said postal divisions will initially carry out bank operations including cash-related operations, money transfer and opening accounts for clients.

"Later deposits will be drawn in. But it is a complex procedure and must be applied only after institutional development and establishment of internal control," Bakhshieyev said.

He said postal divisions will issue loans in the long-term perspective.

According to the amendments to the Law on Postal Communication, function of Azerpocht expanded. In the near future post offices will provide banking services. Services such as cash deposits, as well as the issuance of pensions and benefits will be provided by post offices without any restrictions.

World Bank project Development of Financial Services in Postal Divisions has been implemented since 2005. The project is scheduled to be completed before the end of the year. New services will be provided starting from 2010, but transition to beneficial use of new services will take 2-3 years.

Azerpocht had already begun to connect its offices to a unified system of public payments, established by the National Bank. Already some 100 post offices have connected to this system.

Currently there are 1,536 post offices in the country, 337 of whom provide services to populations in cities, district centers and villages and 1,199 - in rural areas.

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