Azerbaijani private bank expands leasing activity

Business Materials 8 June 2009 13:20 (UTC +04:00)

Azerbaijan, Baku, June 8 / Trend U. Ismayilova /

Azerbaijani leasing company Azerdemiryolbank launches leasing cars to physical and legal entities from June 1, the bank said on June 8. 

"Our terms are rather competitive and we believe in success of new leasing product," the bank's board deputy chairman Yusif Jabbarov said commenting introduction of leasing.

Azerdemiryolbank gives new and used cars under leasing (term of exploitation is not more than 5 years). Cost of such cars is not less than 10,000 manat and for a term of 4 years under percent rate from 21 percent to 24 percent. Sum of financing of the bank can vary from 5,000 to 50,000 manat. Amount of up-front money must be not less than 20 percent of cost of a car. Effective percent hits 6 percent and more depending on initial fee and term of leasing. 

Borrowers can be able-bodied citizens of Azerbaijan older 20 with a condition that age of a borrower does not pass pension age on final term of leasing paying off.

Services of auto-leasing are rendered in operational, central, Nasimi and Balajari branches of the bank. 

As of June 1, summary portfolio of leasing operations of Azerdemiryolbank hit 3.3 million manat (over $4 million). The bank realizes leasing of industrial, trade, medical equipment and technique. 

One of the first Azerbaijani commercial banks Azerdemiryolbank was established in 1989. There are such financial institutes among share holders of the bank as the European Bank for Reconstruction and Development and Netherlands Development Finance Company. Roughly 32 branches and departments of the bank operate in Baku and regions of Azerbaijan.  

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