Volume of problem loans decreases in Azerbaijan

Baku, Azerbaijan, Oct. 1

By Kamala Mammadli - Trend:

As of August 2019, the volume of problem loans in Azerbaijan dropped by 18.8 percent in comparison with the figures from the previous year, Trend reports referring to the Central Bank of Azerbaijan (CBA).

According to the CBA report, the volume of problem loans decreased by 281.1 million manats and reached 1.491 billion manats.

The volume of credit investments of private banks in the Azerbaijani economy as of September 1, 2019 amounted to 11.31 billion manats. Since the beginning of the year, their volume increased by 7.4 percent, and on an annualized basis by 12.02 percent. The share of credit investments by private banks amounted to 81.5 percent, having increased by 0.6 percent since the beginning of the year.

The volume of credit investments of state banks in Azerbaijan’s economy amounted to 2.22 billion manats. Since the beginning of the year, their volume has increased by 5.8 percent, and on an annualized basis by 22.5 percent. The share of credit investments by state banks amounted to 16 percent, decreasing from the beginning of the year by 0.1 percent, and increasing by 1.3 percent on an annualized basis.

The volume of credit investments of non-bank credit organizations (NBCOs) amounted to 339.1 million manats (a decline of 18.3 percent for the year). Their share in the total volume of credit investments was 2.4 percent (3.3 percent in August 2018).

In total, the volume of credit investments in the economy of Azerbaijan amounted to 13.866 billion manats. Since the beginning of the year, this amount has increased by 6.5 percent, and by 12.7 percent for the year.

The volume of loans in national currency in August 2019 amounted to 9.1 billion manats (an increase of 19.5 percent compared to July 2018), and their share in the loan portfolio of banks amounted to 65.7 percent.

The volume of short-term loans in national currency amounted to 1.521 billion manats, long-term loans - 7.587 billion manats.

Loans worth 4.758 billion in manat equivalent were issued in foreign currency (an increase of 1.6 percent compared to July 2018), with a specific share of 34.3 percent.

Distribution of the loan portfolio by sectors of the economy (as of July 2019):

(1 USD = 1.7 manats on Oct. 1)

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