The Cabinet of Ministers of Azerbaijan empowered the Minister of Economic Development of Azerbaijan, Heydar Babayev, to sign the Agreement on financial co-operation in creating Credit-Grant Fund in Azerbaijan with the German Development Bank KFW.
The Agreement is expected to be signed in 2007, but the exact date will be defined between the Ministry of Economic Development and KFW, Trend reports with reference to the Cabinet of Ministers. KFW stands ready to present в'¬4 mln, with в'¬3,75 mln as grant for creation of the Fund and в'¬0,25 for payment of consultation services.
At the first stage, the amount of the fund will amount to в'¬2,3 mln. The Credit-Grant Fund has no limitations to attract the credit lines of the banks, but the amount of the guarantee will not exceed в'¬500,00 in the first stage. While attracting the guarantees of KfW, the banks can not issue one credit in amount of more than в'¬150,000.