Azerbaijan, Baku, Dec. 23 / Trend U.Ismayilova /
The Azerbaijani insurance company Gunay Sigorta plans to increase its authorized capital by 1 million manat by late 2010, company actuary Isgandar Isgandarov said on Thursday.
"The company's capital will be increased to 3 million manat from 2 million manat," Isgandarov said.
He said the company will up its capital at the expense of shareholder funds, as the company will earn a small profit in 2010.
Gunay Sigorta's license was temporarily suspended by the Azerbaijani Finance Ministry on May 7, 2010 for failure to meet the requirements of the State Insurance Supervision Service on the implementation of certain standards of solvency of insurance legislation and financial stability of insurers. The license was reinstated on Aug. 30, 2010.
The Finance Ministry has adjusted the schedule of capitalization and the minimum requirement for capitalization of insurance and reinsurance companies was estimated at three million manat (previously 3.5 million manat) as of Jan,1, 2010 and - four million manat (5 million manat) as of Jan.1, 2012.
The only founder Gunay Sigorta, operating since 1992, is the Azerbaijani joint-stock bank Gunay Bank. Gunay Sigorta's premiums for January-November amounted to 0.63 million manat with payments worth 0.14 million manat.
The official exchange rate is 0.7987 manat to $1.