Indexation of community savings at Savings Bank of former USSR to take 10 months

Business Materials 29 December 2005 13:29 (UTC +04:00)

A draft law and a mechanism on indexation of community savings, accumulated in the Savings Bank of the former USSR till January 1992, will be developed by 20 January 2006 and presented to the President, Avez Alakbarov, the Minister for Finances, told Trend. At present the inventory of community savings is underway, which a very difficult process, the Minister said.

The Azerbaijani President charged the government to take steps to set up indexation and payment of savings in 2006. With this respect the Finances Ministry designed the expenses in the initial phase in the amount of 50m new manats, which was included in the 2006 public budget. First of all the old people, the disabled and members of shehid families can reply on their savings.

Alakbarov thinks that over 8-10 years, it will be possible to complete a process of indexation. He refused to name the amount of funds required for the completion of the process. “The prime minister, head of the NBA and I have different ideas in this respect. So, perhaps, we will publicize a concrete sum only after the clarification of calculations,” the minister noted.

As of some data, the Finances Ministry has three variants for conduct of indexation, which requires $0.3-0.4bn, $0.5-0.55bn and $0.8-1bn.

To carry out the indexation, a special commission comprised of officials of the Ministry of Finances, Ministry of Economic Development, the National Bank and Kapitalbank will be established in 2006.