Central Bank of Azerbaijan to provide long-term loans to banks based on individual conditions
Azerbaijan, Baku, June 20/ Trend , I.Khalilova /
The Central Bank of Azerbaijan (CBA) provided over 200 million manat for country's banking sector to maintain the liquidity, the head of credit organizations supervision department of CBA Rashad Orujov said on June 20.
"For this purpose, we adhere to this ratio, and the credit resources of banks have been made available for a short period - a period of six months with possibility of prolongation for other six months," said Orujov.
Meanwhile, according to changes to the Law on National Bank, the Central Bank has the right to provide longer-term loans. According to Orujov, the Central Bank will itself identify the conditions for granting such loans on the basis of appeal and each bank will be approached individually.
Last year in order to maintain liquidity in the banking system, the Central Bank provided the first assistance to commercial Unibank in amount of $50 million manat, which was necessary for the short-term obligations. Credit resources were allocated on half a year with the possibility to prolong for other six months at a rate of seven percent per annum.
Official rate on June 20 is 0.804 AZN/USD.