“Azerbaijani microfinance organizations should introduce microinsurance”
Baku, Azerbaijan, Oct. 6
By Azad Hasanli – Trend:
Azerbaijan’s microfinance organizations should expand their list of services with microinsurance, collections and transfers, according to Vusal Gasimli, head of the country’s Center for Economic Reforms Analysis and Communication.
"When speaking about microfinance in Azerbaijan, for some reason people think only about microloans. However, it also includes microinsurance, collections and transfers,” he said at the 5th Investors’ Fair, titled “Future of Micro-finance in Azerbaijan: Difficulties and Opportunities” in Baku.
Microfinance organizations also need to actively use financial technology in their activities, he noted.
“If microfinance organizations do not start using financial technology and will not use other instruments [microinsurance and others], we will not be able to reduce the expenses of microfinance organizations. In this case, their loans will not be attractive for businesses and households. The era of expensive loans is behind us and we have to offer such loans, which will be attractive to customers,” Gasimli added.
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.