Azerbaijani Mortgage Fund Temporarily Ceases Financing Mortgages

Azerbaijan, Baku / corr Trend U.Ismayilova / The Azerbaijani Mortgage Fund (AMF) has sent official letters of notification to authorized banks on the temporary cessation of financing mortgages. The majority of authorized banks of the AMF in mortgage financing said in reply to an inquiry by Trend .

The AMF finances mortgage loans allocated through 23 banking organizations. The banks clarified the reasons of cessation of crediting with the complete use of the Fund's budget.

In 2006 a total of AZN 26mln was allocated to the AMF out if the public budget, while the 2007 public budget's relevant assignment made up AZN 20mln. The Fund has not received the funds for 2007 and had to cease the issue of mortgaging.

Meanwhile, the Fund confirmed the fact of official notification to authorized banks on the temporary cessation of mortgaging.

Earlier, Faik Mammadov, the Executive Director of the Fund, stated that the AMF financed loans in the amount of AZN 26.5mln out of the 2006 budget assignments. The additional AZN 500,000 came out of AMF's incomes.

AMF has been financing mortgage loans since March 2006.