Azerbaijan's leasing company to finance commercial real estate for first time
Azerbaijan, Baku, June 30 / Trend , I. Khalilova/
Azerbaijani leasing company Ansar Leasing, launched by Islamic Corporation for the Development of the Private Sector (part of Islamic Development Bank), plans to fund leased commercial real estate starting from 2009, company's Director General Ceyhun Nagiyev said.
"Leasing operations related to real estate will not be envisaged for a long period of time unlike mortgage lending," Nagiyev said. "It will be lent for the term indicated in our major credit document, that is, for a period of seven years."
Pre-payment for leased commercial real estate will change depending on the project. It can be less or more than 20 percent.
On June 29, the company announced the start of commercial operations. Under the terms of Ansar Leasing, pre-leasing project will start from 20 percent and in case of lease term from 12 to 72 months. The operations will be conducted in dollars.
In initial phase of activity, the company will cover such areas as agriculture, construction, health, and it also plans to finance vehicles, industrial equipment and commercial real estate in the long run.
On December 12, 2008, Azerbaijan Taxes Ministry issued a state registration to Azerbaijani Leasing Company (trademark Ansar Leasing) via a single window principle. The only founder is Islamic Corporation.
The company is the most capitalized leasing company in the country with 5 million manats.
Company's leasing portfolio is expected to total $7-$8 million in 2009. It will reach $50 million in near future.
On June 30, the official exchange rate is 0. 8041 manat to $1.
Do you have any feedback? Contact our journalist at: [email protected]