On July 19, a meeting was held in Baku Business Center with the representatives of the credit organizations. The economic development minister of Azerbaijan Heydar Babayev mentioned the acceleration of the economic growth in Azerbaijan, Trend reports quoting the same ministry.
The bank sector also has a role in this growth, the minister told. For the half-year, the credit organizations have disbursed AZN 1.6 billion to the economy of the country. The specific gravity of the long-term credits exceeded 45% and this shows that the interest towards the long-term investment programs has increased.
One of the directions of the cooperation between the Ministry of Economic Development and the credit organizations is to finance the enterprises through the National Fund for Entrepreneurship Development (NFED). In 2006, at the expense of NFED, 948 entrepreneurs in 57 regions have received privileged credits totaling AZN 43.3 mln. 9 thousand workplaces have been created due to these credits.
According to minister, the rule for using the finances of NFED will be upgraded to raise the effectiveness of this process. It is intended to increase the amount and period of the credit in one project and in general the mechanism will be transparent.
Besides, during the meeting, the problems and shortages were noted. The meeting was aimed at detailed discussion and appointment of the prospects of cooperation. For the settlement of the problems the credit organization offered their proposals. One of the key problems is the low level of enlightenment of the entrepreneurs, as well as incomplete use of the credit.
The director of NFED Elchin Zeynalov informed about the work carried out for giving privileged credits to the entrepreneurs. During the meeting, wide discussions were held on using the property in form of mortgage, effectiveness of expanding the branch network of banks, raising the level of the service, strengthening the control on use of the privileged credits, etc.