Azerbaijan reveals total profit of local banks for 2022

Business Materials 28 February 2023 11:24 (UTC +04:00)
Sadraddin Aghjayev
Sadraddin Aghjayev
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BAKU, Azerbaijan, February 28. The total profit of Azerbaijani banks in 2022 reached 1.17 billion manat ($690 million), CEO at Azerbaijan Banks Association (ABA) Yunus Abdulov said, Trend reports.

Abdulov made the remark during the event on the topic "Implementation of Environmental, Social and Governance (ESG) Principles and the "Sustainable Development Report", conducted as part of the "Financing for Development" project.

According to him, the above figure for the first time reached such a high level and exceeded one billion manat ($590 million).

"The assets of Azerbaijani banks grew by 21-22 percent to 48 billion manat ($28.2 billion) in 2022. The loan portfolio of the country's banks grew by 20 percent to 19.6 billion manat ($11.5 billion)," the CEO said.

Abdulov noted that the growth of the deposit portfolio of the country's banks amounted to 25 percent - up to 33 billion manat ($19.4 billion).

"At the same time, the country’s banks were the largest payers of income taxes with the total amount of 261 million manat ($153.5 million), which is 60 percent more than in 2021," he stressed.

Furthermore, the CEO informed that the share of banking assets in the non-oil sector is about 70 percent.

"The non-oil sector in the loan portfolio of banks is over 28 percent," he added.

In 2021, the total net profit of Azerbaijani banks amounted to 609 million manat ($358.2 million).

ABA was founded by the initiative of 10 private banks in 1990 and was registered with the name of “Azerbaijan Commercial and Cooperative Banks Association”.

It has been operating under the name of “Azerbaijan Banks Association” since 1999. At present, 25 banks and 2 non-banking credit organizations and Azericard LLC, Millikart LLC, and Azerbaijan Credit Bureau are members of ABA.

The main purpose of the establishment of ABA was to actively protect the corporate interest of member organizations before legislative, executive and judicial bodies of the government, social organizations and international institutions, to meet their demand for different types of business services and to coordinate their activity.