Azerbaijan's NBCO talks on granting grace periods for debt repayments
BAKU, Azerbaijan, May 22
By Fidan Babayeva – Trend:
During the COVID-19 special quarantine regime, all contracts of borrowers were restructured by providing grace periods for debt repayment, Board Member, Customer Relationship Director of Finoko OJSC NBCO Boyukaga Mammadov told Trend on May 22.
According to him, taking into account the celebration of Novruz holiday in the country and the beginning of the spread of coronavirus in March and April 2020, the demand for loans has sharply decreased and as a result the issuance of loans these months has been completely suspended.
"The COVID-19 pandemic caused great damage to the world economy, having an impact on the economy of Azerbaijan as well,” he said. “We coped to preserve our assets, but despite this, lending was suspended during the quarantine period, and there were delays in loan repayments due to late issuance of salaries to many workers.”
“It should be noted that after the quarantine ease, payments were restored by 80 percent,” he also said.
“In 2019, small and medium-sized enterprises were granted loans totaling 11.1 million manat,” stressed Mammadov.
Finoko NBCO has been operating since 2014. The organization’s mission is to issue loans in a quick and affordable way.
The authorized capital of the organization is 4.8 million manat ($2.8 million), and the total capital is 8.09 million manat ($4.7 million).
In Azerbaijan, Finoko NBCO has four branches, three of which are regional, and one in Baku.
The organization provides loans for financing of small and medium-sized businesses, consumer lending, including for the development of agriculture both independently and via Azerbaijan’s Entrepreneurship Development Fund and the Agrarian Credit and Development Agency (AKIA) under the Ministry of Agriculture.
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