State regulation necessary for development of leasing sector in Azerbaijan

Business Materials 15 July 2009 15:10 (UTC +04:00)

Azerbaijan, Baku, July 15 / Trend U. Ismayilova /

The Azerbaijani association of leasing companies intends to address with proposal about state regulation of this sector of economy, Ata Leasing company's board chairman Yusif Muslimov said on July 15. Ata Leasing is one of founders of the association. 

"Presently, leasing activity is regulated by tax and civil codes in Azerbaijan. But it is not sufficient to regulate leasing sector," Muslimov said.

Presently, the Azerbaijani association of leasing companies continues to prepare changes and additions in legislative acts regulating leasing activity, he said.

The association considers and studies experience of neighboring countries in which leasing branch is regulated by separate law. Muslimov said that the association will also design separate bill in future.

"Presently, insurance and banking sectors are regulated by separate laws. Regulating agencies determine normative on forms of property and minimal amount of authorized capital that is not used towards leasing companies," Muslimov said. 

The Association was established on October 27, 2004 by companies Ataleasing, Unileasing, Muganleasing. Annual membership dues to the Azerbaijani association of leasing companies were determined in the amount of 2,200 manat. Presently, association has 8 members. 

On July 15, the official exchange rate is 0.8043 manat to $1.

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