International Finance Corporation Selects Fifth Pilot Company in Azerbaijan for Introduction of Corporative Management Standards
Azerbaijan, Baku / Trend corr I. Khalilova / The International Finance Corporation (IFC) has selected the fifth pilot company within the framework of the projects on technical assistance in the introduction of modern standards of corporative management (ACGP), according to the Baku office of the IFC. The selected company is Azerbaijan Credit Banki. The protocol with the bank will be signed on 12 June.
The first bank to be selected was Azerigazbank (in January 2006) to be followed later in April by AZEL and Davachi Broyler and in November by Muganbank.
Azerbaijan Credit Banki will take part in a broad program within the framework of which it will be provided with the services to estimate the experience of the acting corporative management system, with consultations to improve the system, bringing corporative documents in compliance with good practice, as well as assisting in the development of transparent and full-fledged financial reports.
Within the framework of the pilot program, IFC intends to provide technical assistance to six joint-stock companies and banks where corporative management standards will be introduced in accordance with the methodology of IFC. The criteria for selection are a joint-stock company status of an organization, availability of corporative management structure (supervisory board, board of administration, general meeting), and interest to improve its quality. The assistance, including evaluation of the state of the corporative management, consultations and measures for increase of financial transparency, will be provided by beneficiaries.
The project on corporative management assists in the introduction of corporative management standards in compliance with the standards of the Organization for Economic Cooperation and Development (OECD). Official launching of the project initiated by IFC and financed by Swiss State Secretariat on Economic Issues (Seco) was held on 26 January 2005. The project was expected to be implemented within three years with the total budget of $2.1mln. In this year the term of implementation of the project was extended to August 2008.