Azerbaijani NBCO discloses amount of loans issued to SMEs

Finance Materials 22 May 2020 09:41 (UTC +04:00)
Azerbaijani NBCO discloses amount of loans issued to SMEs

BAKU, Azerbaijan, May 22

By Fidan Babayeva – Trend:

FINCA Azerbaijan Non-Bank Credit Organization (NBCO) issued loans to small and medium-sized enterprises (SMEs) in the total amount of over 15.3 million manat ($9 million) in 2019, a source in the organization told Trend.

According to the source, FINCA Azerbaijan issued 7,320 loans to SMEs last year.

“Since the start of the organization's activities, it has issued loans worth over $1 billion. These funds were aimed at supporting of the SMEs in Baku and the regions,” said the source.

“Agricultural loans account for 70 percent of our loan portfolio, so customer service during the quarantine regime in the country is not a serious problem. During the pandemic, more than 70 percent of the head office employees were transferred to a remote mode of work, and the NBCO’s branches continued to serve customers in accordance with the rules established by the Operational Headquarters under the Cabinet of Ministers,” the source emphasized.

Touching upon the accomplishment of goals for 2019 and 2020, the source said that FINCA Azerbaijan opened 10 branches in 2019 and two branches in the first half of 2020, as a result of which the number of service networks in cities and regions of Azerbaijan reached 16, which led to increase in the number of loan applications from last year.

“In March 2020, the pandemic affected the number of loan applications, which led to a decrease in operations. During this month, FINCA Azerbaijan continued to provide loans in accordance with the instructions and recommendations of the Operational Headquarters, individually evaluating customers' applications,” the organization said.

The NBCO regularly reviews lending terms and applies changes that it considers appropriate to current market requirements.

“FINCA Azerbaijan currently introduces a new FinCard innovative system, through which the customer withdraws the amount of loan from the card. The customer can use this amount at own discretion by withdrawing money partially or at once, as well as for various non-cash payments,” added the source.

The NBCO has been operating in Azerbaijan since 1998. There are 16 branches of the organization in Baku and the country's districts. It is part of FINCA Impact Finance, a global network of 20 microfinance institutions and banks that render the innovative financial services to the low-income customers to help them expand their activity.

FINCA Azerbaijan, the country's leading non-bank credit organization, offers a variety of loan products to encourage small businesses to increase their revenues. The organization pays more attention to the agricultural loans.

(1 USD = 1.7 manat on May 22)


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