Number of credit unions in Azerbaijan may decrease
Baku, Azerbaijan, Aug. 23
By Anvar Mammadov – Trend:
Up until the end of 2017, the number of credit unions in Azerbaijan may further decrease, Jalil Suleymanov, chairman of the Board of Azerbaijan Credit Unions Association (AKIA), told Trend.
“At present, several credit unions, which don’t actually carry out any activity, are still registered in Azerbaijan,” he noted. “Some of them violate reporting requirements of the Central Bank of Azerbaijan (CBA). I think that by the end of the year, Azerbaijan’s Financial Market Supervisory Authority (FIMSA) may revoke the licenses of several other credit unions. Moreover, there are several unions that had appealed to the FIMSA with a request for the termination of their activities and voluntary liquidation.”
In January of 2017, the FIMSA had revoked the licenses of 12 credit unions that didn’t actually provide financial services during the year, these credit unions didn’t provide financial statements or distorted data in them, and didn’t provide annual audited reports, either. In June of this year, the FIMSA had revoked the licenses of 21 credit unions, for the same reason.
Suleymanov noted that at present, there are slightly more than 40 active credit unions in Azerbaijan.
“About 35 unions are quite stable, and they continue active lending,” he added. “These credit unions will continue to operate. This is while the work of the rest of the unions depends on the funding availability.”