Lending to Azerbaijani financial sector up multifold
BAKU, Azerbaijan, Jan.8
By Zeyni Jafarov – Trend:
The volume of credit transactions through letters of credit as of early December 2020 made up 6.7 million manat ($3.9 million) in Azerbaijan, Trend reports citing the data from the Central Bank of Azerbaijan (CBA).
According to the bank, this figure reflects a decrease in annual circulation by 71 percent or 16.3 million manat ($9.6 million).
Factoring operations amounted to 32 million manat ($18 million) as of early December 2020. This, in turn, is by 3.2 percent more than the indicator for the same period of 2019.
In accordance with the CBA report, the volume of lending by banks to the client's current account for payment of settlement documents in case of insufficient amount of funds or a lack of funds on the client's current account (credit overdraft) as of December 1 of the past year amounted to 36.4 million manat ($21.4 million), which shows a decline in annual terms by 27.8 percent or 14 million manat ($7.5 million).
The share of overdraft loans in lending to the real sector made up 0.2 percent, down by 0.1 percentage points compared to the same period of last year.
The volume of lending to the financial sector as of December 1, 2020, amounted to 450 million manat ($264.7 million), an increase of 50 percent for the year.
In general, the volume of lending to the Azerbaijani real sector amounted to 14.68 billion manat ($8.6 million) as of December 1, 2020, showing annualized growth of 435.1 million manat ($255.9 million) or 2.9 percent
(1 USD = 1.7 manat on Jan.8)