Expert: Decree of Azerbaijani president on problem loans to restore public confidence in banks
Baku, Azerbaijan, Mar. 1
By Matanat Nasibova – Trend:
Azerbaijani President Ilham Aliyev has once again signed a revolutionary decree aimed at improving the well-being of the people, Azerbaijani expert Zaur Mammadov told Trend.
Recently, President Ilham Aliyev signed a decree on additional measures for addressing the issue of problem loans of natural persons.
According to Mammadov, this decree is an important element of the social package, as solving the problem of loan debts of the population will significantly ease the financial burden, as well as restore confidence in the banking sector.
"Problem loans were one of the most important issues that concerned citizens, as they made up a serious amount of about 1.6 billion manats - and the decree made by the head of state fundamentally solves this problem. This will positively impact the activities of banks, as the decree will largely restore public confidence in the banking sector," the analyst said.
Mammadov said that the presidential decree, aimed at taking additional measures for addressing problem loans of natural persons in Azerbaijan, showed that the government keeps this serious problem in the center of attention, and is an important part of the reforms carried out in the social sphere.
The decree provides for the payment of compensation for citizens whose loan burden increased due to the devaluation of the Azerbaijani manat in February and December 2015. The decree also creates opportunities for the restructurization of concessional terms of both dollar and manat loans with a delay of more than 360 days.