Azerigazbank's authorized capital to double
Shareholders of the joint stock investment bank Azerigazbank have taken a decision to raise the banks authorized capital to 60 billion AZM (12 million AZN). As the banks supervisory board chairman Chingiz Abdullayev has told Trend, the banks capitals replenishment will be partially made on the account of revenues by the results of 2005 operations, 50% from which will be aimed at these purposes. The rest part as dividends will be distributed among the shareholders.
The banks net revenue after tax payments was 7,835 billion AZM (1,567 million AZN), although it had been forecast at the level of 7-7,5 billion AZM. Dividends have been approved at the level of 20,4% annually. The Azerigazbanks authorized capital is shaped for the moment at the level of 5,8 million AZN and the consolidated capital exceeds $8 million.
The need for the banks supplementary capitalization is connected with not only the requirements of the National Bank of Azerbaijan (NBA) but also the willingness to extend the limit for the EBRD (the European Bank for Reconstruction and Development) borrowings, which has been defined at the level of $5,5 million for the Azerbaijan bank. However, it has been used completely. Azerigazbank has already received a credit line for small and medium-scale business for a total amount of $3,5 million and the trade funding - $2 million.