Azerbaijani banks start to invest more in securities
Baku, Azerbaijan, July 2
By Anvar Mammadov - Trend:
As of late May 2018, assets of Azerbaijan’s banking sector decreased by 1.3 percent to 27,559.2 million manats since early 2018, according to the report of the country’s Financial Market Supervisory Authority (FIMSA).
The volume of the main asset of banks - loans issued - increased by nearly 1.9 percent, to 11,552.3 million manats. In order to cover possible losses on loans, banks created reserves worth 1,642.6 million manats.
During the reporting period, banks’ investments in securities amounted to 2,888.7 million manats, which is 15.6 percent more than in early 2018.
The remaining major assets of banks were distributed among deposits placed in other financial institutions – 7,256.5 million manats (a 0.3 percent growth), nostro accounts (correspondent accounts in other banks) - 1,292.1 million manats (a 50.8 percent decrease), correspondent accounts in Azerbaijan’s Central Bank – 2,318.8 million manats (a 14.1 percent growth).
Banks’ liabilities as of late May 2018 decreased by 2.4 percent, to 23,630.2 million manats.
At the same time, the volume of deposits decreased 0.2 percent, to 16,862.1 million manats. The deposits of individuals grew 3.3 percent, to 7,791.9 million manats, while the deposits of legal entities decreased nearly 3 percent, to 9,070.2 million manats.
At the same time, banks reduced their liabilities to the Central Bank by 9.4 percent, to 459.7 million manats.
There are 30 banks, including two state-owned ones, in Azerbaijan.
(1.7 manats = 1 USD on July 2)
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