Credit bureau's potential shareholders to sign memorandum

Business Materials 17 August 2012 18:21 (UTC +04:00)

Azerbaijan, Baku, Aug. 17 / Trend I.Khalilova /

Four Azerbaijani banks, which are potential shareholders of the first private credit bureau in the country, have already joined a memorandum of understanding, IFC Project Coordinator in Central Asia and Azerbaijan (ACAFI) Teymur Heybatov told Trend on Friday.

Nine leading banks of the country expressed the desire to become the credit bureau shareholders.

The memorandum with them is expected to be signed next week.

"The next step will be to prepare for the selection of the international partner, which will be not only a provider of software, but also a shareholder. It is planned that this international partner will be a credit bureau operator," Heybatov said.

To familiarize potential shareholders with private credit bureaus in other countries, training and a study tour in Europe will be held.

Azerbaijani bankers will participate on November 5-9 in the fourth annual training in Malaysia organized by the Central Bank of Malaysia and the IFC.

"Our task is to prepare for the establishment of the first private credit bureau immediately after the entry into force of the law regulating credit bureaus in Azerbaijan," Heybatov said.

In addition, the private credit bureau will need two to three years to create its own database, so it is proposed to use the base available to a central credit register in the CBA, which has been in force since 2005.

The ACAFI project aims to improve the infrastructure of financial markets in Central Asia (Kyrgyzstan, Tajikistan and Uzbekistan) and Azerbaijan through the creation of an effective system of credit information sharing and introduction of training and certification in the field of risk management among employees of financial institutions. The project activities will help financial institutions to take more swift and sound credit decisions and thus increase the availability of financial services to individual consumers and small and medium enterprises in the region. This three-year project is being implemented in collaboration with the Government of Switzerland.