Azerbaijan, Baku, May 23 / Trend, A. Akhundov /
Azerbaijan is working to choose a mechanism for creating a new system of financing for agriculture, chairman of the Azerbaijani Central Bank (CBA) Elman Rustamov told reporters on Thursday.
"Agriculture is one of the most important sectors of the country's economy," he said. "This sector has great export potential. There is a need to create a system for financing farmers in order to bring rural areas up to their full potential. Whether or not it will be done through a specialized bank, an existing banking network or partnership between the state and banking sector has yet to be determined."
Azerbaijani Minister of Agriculture Ismet Abbasov earlier said that the creation of a specialized agricultural bank in the country is appropriate.
He said that at present, various banks and non-bank credit organizations give loans to agriculture. Moreover, the National Entrepreneurship Support Fund under the Ministry of Economic Development gives preferential loans for agricultural development. However, it would be appropriate to create a separate specialized agrarian bank in the future.
He added that this can be done by creating a new bank or restructuring any of the existing banks.