Details added (first version posted on 14:22)
Baku, Azerbaijan, June 21
About 10 Azerbaijani banks don’t meet the capital requirements of the Financial Market Supervisory Authority (FIMSA), Zakir Nuriyev, head of the Azerbaijan Banks Association (ABA), told reporters in Baku June 21.
Nuriyev noted that this conclusion was reached following an international audit of local banks.
“An audit in Azerbaijani banks revealed that under international standards about 10 banks don’t meet the FIMSA’s capital requirements,” he said, adding that meanwhile, according to national standards of assessment, the number of such banks is less.
As for the four banks which are under the FIMSA supervision, Nuriyev noted that this situation remains unchanged.
Earlier, Chairman of FIMSA Board of Directors Rufat Aslanli told reporters that FIMSA has taken under control five more banks due to capital deficiency. One of those banks was AtaBank OJSC, the authorized capital of which reached 142.7 million manats, assets – 607.3 million manats, and loan portfolio – 546.1 million manats after its merger with the Caspian Development Bank.
The other four banks are small enough – their assets make about 5 percent of the total assets of the entire banking sector of Azerbaijan.
Thirty-one banks, including two state-owned ones, operate in Azerbaijan.