AMF Summed Up Results of Activity

Business Materials 22 December 2006 17:42 (UTC +04:00)

The Azerbaijan Mortgage Fund (AMF), acting within the National Bank of Azerbaijan, has summed up the results of the year on the activity since the day when the Fund launched its work, Trend reports referring to a message spread by AMF.

Standard requirements to the mortgage loans by the loan organizations at the expense of refinancing via AMF and other normative acts to provide the activity of the Fund were approved by the Board of the Central Bank in the first months of 2006.

It was for the first time in South Caucasus when the necessary base for refinancing long-term mortgage credits was set. The number of credits and loans granted up to date reached 220 to the total sum of 4,8 mln. AZN.

To expand possibilities for the population access to the above-mentioned financial instrument, the rate of quotation has been reduced from 6% to 2% by the decision of the Board of the National Bank. It was also proposed to loosen the terms through improving the rules on the mortgage credits granting via AMF. A mechanism on granting mortgage loans on lax conditions have already been prepared and agreed by the corresponding offices. The process will begin in 2007 as soon as normative acts are taken in this direction.

Over the past year, the normative base of AMF, as well as internal procedures have been prepared. Corresponding committees and commissions have been formed. The financial accounting of the Fund have brought in accordance with the International Financial Accounting Standards.

Actions have been taken under the support of USAID with the participation of ACDД°/VOCA and other international organizations.