ABA urges for balanced distribution of liquidity in banking sector of Azerbaijan
Baku, Azerbaijan, Nov. 23
By Azad Hasanli – Trend:
It is necessary to ensure uniform distribution of liquidity in Azerbaijan’s banking sector, Zakir Nuriyev, chairman of the Azerbaijan Banks Association (ABA), told reporters in Baku Nov. 23.
Nuriyev noted that at present, the banking sector’s liquidity reached 6.5 billion manats, and this was achieved due to stimulation of non-cash settlements.
In order to eliminate uneven distribution, it is necessary to develop an interbank foreign exchange market and appropriate decisions have already been made in this direction, he added.
“At present, small trends towards development are observed in the banking sector,” he noted. “This is also indicated by the restoration of capital and human resources potential in the sector. We think that these factors will allow us to further develop the banking sector in 2018-2020.”
He said that in order to achieve these goals, both the modernization of the legislative base and the acceleration of the implementation of previously adopted laws, in particular those relating to the register of movable property and the Credit Guarantee Fund, are needed.
“Both laws will allow us to increase lending volumes and lower interest rates on them,” Nuriyev said. “Their timely implementation will allow us to accelerate lending in the coming years.”
At present, 31 banks, including two state-owned ones, operate in Azerbaijan’s banking sector.
(1.7002 manats = 1 USD on Nov. 23)