Members of Azerbaijan Micro-finance Association issue loans worth 20B manats (UPDATE)
Headline changed, details added (first version posted on 10:00)
Baku, Azerbaijan, Oct. 6
By Anvar Mammadov - Trend:
Members of the Azerbaijan Micro-finance Association (AMFA) have issued loans worth 20 billion manats until today, AMFA Executive Director Zhalya Hajiyeva said at the 5th Investors’ Fair in Baku.
Hajiyeva noted that more than five million people received these loans.
“These loans were mainly provided to customers living in rural areas, for the development of agriculture,” she said.
The executive director noted that the changes in the national currency’s exchange rate in 2015 also had an impact on the microfinance sector.
“Devaluation of the national currency led to a significant increase in the volume of unreturned loans both in the banking and microfinance sectors. Investors and creditors working in the microfinance sector prefer today a more cautious approach. We hope that the government will support the microfinance sector and help to create an effective environment for the activities in this area,” said Hajiyeva.
She also noted the important role of establishing the credit guarantee fund in facilitating entrepreneurs’ access to financial resources, as well as increasing competitiveness in the financial market.
Baku hosts the 5th Investors’ Fair, titled “Future of Micro-finance in Azerbaijan: Difficulties and Opportunities”. More than 100 representatives of the financial sector of Azerbaijan and other countries are taking part in the event.
(1.7002 manats = $1 on Oct. 6)