Azerbaijan, Baku, Sept. 30 / Trend , N.Ismayilova /
Only five non-bank credit institutions (NBCOs) in Azerbaijan have the right to pledge loan contributions today, the Central Bank of Azerbaijan (CBA) reported.
To date, the country has reinstated 24 NBCOs and the state company Agarkredit.
Azerbaijan has issued licenses to six new NBCOs in the first half of 2011, of which only one was registered without a right to pledge loan contributions.
"In general, NBCOs are interested in raising capital to expand operations, establish effective relationships with investors, and maintain sustainable operations. The new legislative framework in this area gives even more impetus to such aims," the CBA said.
Based on CBA rules designed according to the new law "On non-bank credit organizations," the minimum requirement to charter capital for NBCOs is an eligible collateral contribution by means of a loan set at 300,000 manat and for credit institutions without this right set to 30,000 manat.