Capitalization of Azerbaijani banks grows
Azerbaijan, Baku, October 1 / Trend , N.Ismaylova /
The capitalization of the banking sector of Azerbaijan grew 1.48 percent in August 2009, and 12.6 percent compared with the beginning of the year, the Central Bank of Azerbaijan (CBA) said. The total capital of banks is 1,920.2 million manat.
According to statistics provided by the Central Bank, as of the end of 2009, the capital of 41 banks exceeded 10 million manat compared to 43 banks as of the beginning of the year. Accordingly, the share of this category of banks in the total capital of all banks fell from 98.6 percent to 97.6 percent.
Four banks with the special weight of 2.1 percent have formed their capital between 5 and 10 million manats, one bank - 3.5 and 5million manats (0.3 percent).
During this period 46 banks held a license for banking activities in the country. Their number reduced as a result that the license of two banks, Poctbank and Atlantbank, is invalid. The CBA liquidated the licenses of these two banks from 9 July. Permission for banking activity was provided to Nakhchivanbank and Azfinans Bank.
Currently 23 banks operate in Azerbaijan with the participation of foreign capital. In seven of them the share of foreign capital is 50 to 100 percent, in 14 banks - up to 50 percent, and there are two local branches of foreign banks.
The number of banks functioning abroad is 9, including 6 representations, two subsidiaries and one branch. Also four representations of foreign banks function in Azerbaijan.
Official rate on Oct. 1 is 0.8034 AZN/USD
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