BAKU, Azerbaijan, May 4
By Fidan Babayeva - Trend:
Azerbaijani AzMikroinvest non-bank credit organization (NBCO), has restructured 26 loans worth 36,400 manat ($21,411) in 2019 as part of the implementation of the decree of the head of state on additional measures to address problem loans to individuals, a source at the NBCO told Trend.
The NBCO’s loan portfolio includes lending to entrepreneurs working in the agricultural sector.
However, such loans do not dominate the organization’s portfolio, and lending to this sector at the minimum interest rate is unprofitable for the organization, the source said.
AzMikroinvest is currently cooperating with the Agrarian Credit and Development Agency under the Ministry of Agricultur and the Azerbaijan Micro-finance Association (AMFA), the source noted.
AzMikroİnvest was established in April 2014, and having received a limited banking license from the Central Bank, started its activities in June 2014.
The main goal of AzMikroİnvest is to provide financial support for the development of micro-business in the country, and to act as a sustainable microfinance organization in order to improve the social well-being of low-income families.
The financial base of the institution was formed by capital investments, cash and interest income of local financial institutions. AzMikroİnvest's future plans include not only expanding microcredit activities, but also creating new loan products, as well as microfinancing in support of the development of business for low-income people in densely populated cities and villages. To this end, the organization has carried out substantial work in the direction of expanding microfinance services, attracting additional funds from local and international financial institutions.
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