Azerbaijan, Baku / Trend corr I. Khalilova / The Joint capital of all 43 banks operating in Azerbaijan made up AZN 841.7mln to 1 July, which is an increase of 39.5% compared to the beginning of the year (AZN 603.3mln to 1 January), according to the National Bank of Azerbaijan (NBA). There are 44 banks in Azerbaijan, but Poctbank has no accountancy as its operations are completely restricted.
The capital of 31 banks exceeded AZN 10mln to 1 July. Their specific weight in bank capital comprises 88.4%. The capital of 10 banks totalled AZN 5-10mln with a specific weight of 10.5%.
In June, bank capitalization experienced changes. Seven banks were transmitted to the group of banks with capital exceeding AZN 10mln.
In accordance with standard NBA requirements regarding joint capital, the banks had to increase their capital to AZN 8.2mln by 1 January 2007 and AZN 10mln by 1 July.
Two banks operating in Azerbaijan still own capital varying from AZN 3.5mln to AZN 5mln. NBA has plans to complete the assessment of capitalization in Azerbaijan's banking sector, the Director of the Credit Organization Control Department of the NBA, Adyshirin Gasymov, said.
"Licenses to attract deposits of the banks which do not observe the requirement will be suspended and they will not be able to enter the Insurance Fund. The banks will have to either consolidate or change their status to non-bank credit organizations," he said.