Azerbaijan, Baku, August 28 / Trend I. Khalilova /
Azerbaijani Amrahbank has completed talks to draw $10-15 million under the organized support of its foreign shareholder, the International Investment Bank in Bahrain, chairman of the bank's board, Emil Mammadov, said on August 28. Amrahbank's foreign shareholder owns 49 percent of shares in authorized capital.
"We are waiting for confirmation to allocate loan resources. Afterwards, the contract will be concluded. Loan funds include the financing of small and medium businesses," Mammadov said.
At present, Amrahbank is independent from foreign capital markets.
"If we do not count our foreign shareholder's funds into account, the bank has no foreign borrowing portfolio. The bank's foreign borrowing policy will be also rather conservative in further years. Basically, we intend to draw funds from the International Investment Bank and our partners from international financial institutions," Mammadov said.
Moreover, the bank has already held successful talks and launched cooperation with the Islamic Trade Finance Corporation (ITFC) and U.S export-import Exim Bank. Loan lines on trade financing have been opened for Amrahbank from the ITFC and U.S Exim Bank for five years.
Amrahbank has also concluded the initial agreement on trade financing with the Islamic Development Bank on the 'muharaba' principle. IDB's first line covers $1 million and $5 million from U.S Exim Bank.
As of the first six months, Amrahbank's assets were 63 million manat, joint capital was 20.183 million manat and authorized capital was 12.82 million manat.
At present, the bank's capital is adequate and coefficiency is 36 percent with a normative 12 percent.
In the first half, the bank's profit was 1.195 million manat. Its loan portfolio was 36.37 million manat and portfolio of urgent deposits was 23 million manat with total obligations to the amount of 42.8 million manat.
On August 27, the official exchange rate is 0.8041 manat to $1.
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