Head: International Bank of Azerbaijan’s capitalization will increase business volume

Business Materials 21 November 2013 18:27 (UTC +04:00)

Baku, Azerbaijan, Nov. 21

By Emin Aliyev - Trend:

The concept of increasing the authorized capital adopted by the shareholders of the International Bank of Azerbaijan (IBA) will increase its assets by 20 percent, IBA chairman of board Jahangir Hajiyev told Trend on Monday.

"Of course, the capitalization will be conducted within the norms of the market established by the regulator," Hajiyev said. "An increase in the bank's capital will allow attracting more and as a consequence, making investments, which means the asset growth."

In October IBA shareholders adopted the concept of increasing the share capital by 500 million manat over four years. At the initial stage, the bank's authorized capital will be increased by 200 million manat and later it will increase by 100 million manat annually. Today, IBA authorized capital is 368 million manat and the bank's assets hit 6.88 billion manat as of October 1, increasing by 25 percent during the year.

The International Bank of Azerbaijan (IBA) was founded in January 1992. The IBA holds a dominant position in the banking sector. The state share in the authorized capital of the bank is 50.2 percent, the rest shares are distributed among private legal and physical entities.

The official exchange rate is 0.7844 AZN/USD on Nov. 21.