Market participant: Main problem of leasing market development in Azerbaijan - lack of state regulatory body
Azerbaijan, Baku, March 4 / Trend , U. Ismayilova /
The main problem for the development of the leasing market in Azerbaijan is the lack of state regulatory body, Jeyhun Nagiyev, director general of Ansar Leasing company, established by Islamic Corporation for the Development of the Private Sector (ICD is member of the Islamic Development Bank) in Azerbaijan, Jeyhun Nagiyev.
"Lack of state regulatory body at the leasing market of the country cerates serious problems for companies which cannot achieve significant results without state support," Nagiyev said.
He said today achievement of certain levels by leasing companies, is still low.
Nagiyev believes that state body should be established for the leasing market in the country in order to have support for leasing companies to solve their problems, which are not enough, as today the banking sector is regulated by the Central Bank, insurance companies - State Insurance Supervision Service under the Ministry of Finance. This affects the decision of clients who refuse to apply to the leasing companies in order to avoid bureaucratic procedures.
"Logically, throughout the world leasing has great prospects for development, given the constant need of customers to renew hardware, but without the regulatory body it is difficult to develop the sector," Nagiyev said.
According to him, another important factor hindering the development of the leasing market in the country is the lack of an appropriate legislative base, including legislative acts and normative documents that would allow companies their rights and avoid the bureaucracy within the company in the legislative level to protect, and while its registration and concluding transactions.
"Throughout the world, leasing is not only a tool for investment and a development tool, so the improvement of the leasing market in the country could contribute to the development of the economy in general," Nagiyev said.
Totally over 20 leasing companies, 12-13 of which are active, registered in Azerbaijan.