High profitability of corporate bonds in Azerbaijan stimulates new issuers

Business Materials 17 September 2011 14:55

Azerbaijan, Baku, Sept. 17 /Trend, N.Ismayilova/

The high level of profitability of corporate bonds on the secondary market in Azerbaijan may become a stimulus for new issuers to enter market, chairman of the Azerbaijani PASHA Bank Farid Akhundov told Trend.

"We are interested in supporting the development of securities market in the country in directions such as assisting companies in accessing the capital markets and deepening the secondary securities market," said Akhundov.

He said institutional investors, banks, insurance and leasing companies in the country today actively use government securities. PASHA Bank, in its turn, is interested in deepening the secondary market, including through issuing and supporting liquidity of bonds of corporate issuers.

"We believe that a higher level of profitability may be a stimulus for new issuers to enter the market. The bank is currently working with several potential corporate issuers in order to release their bonds and support their liquidity on the secondary market on a daily basis," said Akhundov.