Central Bank of Azerbaijan ready to further support ADIF
Baku, Azerbaijan, May 30
By Anvar Mammadov – Trend:
The Central Bank of Azerbaijan (CBA) is ready to further support the Azerbaijan Deposit Insurance Fund (ADIF) if necessary, Elman Rustamov, the head of the CBA, told reporters in Baku May 30.
He said that for this purpose, the CBA has formed a special reserve fund.
“If necessary, the funds will be allocated from the specially formed reserve for the needs of the ADIF,” Rustamov said. “The reserve contains significant amount of funds formed at the request of the CBA.”
The ADIF raised three loans totaling 567 million manats during the last year to pay compensation to the customers of the liquidated banks in Azerbaijan.
Since the ADIF is supported by Azerbaijani government, the fund received an additional loan worth 520 million manats for a period of ten years.
The loans previously raised by the fund were restructured at the expense of this additional loan. Thus, currently, the fund has to repay the loan worth 25 million manats at 0.15 percent interest per annum within ten years in addition to the loan worth 520 million manats, which needs to be repaid to the Azerbaijani government.