Baku, Azerbaijan, Sept. 7
By Ilkin Shafiyev - Trend:
The European Bank for Reconstruction and Development (EBRD) is interested in buying the state-owned shares of the International Bank of Azerbaijan (IBA), Azerbaijani Finance Minister Samir Sharifov told reporters in Baku Sept. 7.
“At the same time, in order for the deal to take place, a consultant should be attracted and a business strategy should be prepared. For now, work continues in this direction,” he said. “A business strategy is very important, because investors make decision based on the strategy. EBRD is showing interest in the IBA shares, but first of all a new business model of the bank should be compiled.”
He said that creation of the new IBA business strategy is also one of the conditions of the EBRD.
The IBA, founded in 1992, has been at the stage of recovery since July 2015, which is associated with the preparation for the privatization of state-owned shares of the bank. To restore the bank's financial position, its distressed assets were transferred to the Aqrarkredit non-bank credit institution.
In exchange for distressed assets, the Aqrarkredit provides the IBA with liquid funds. At the same time, the restructuring of IBA's foreign obligations has recently been completed. Over 95 percent of the Bank's shares are owned by the government.
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