Volume of problem loans increases in Azerbaijan

Finance Materials 25 June 2021 17:01 (UTC +04:00)
Volume of problem loans increases in Azerbaijan

BAKU, Azerbaijan, June 25

By Sadraddin Aghjayev - Trend:

The volume of problem loans in Azerbaijan increased by 6 percent from January through May 2021 compared to the same period of 2020, amounting to 906.9 million manat ($533.4 million), Trend reports citing the statistical bulletin of the Central Bank (CBA).

“The total volume of the loan portfolio of the banking sector and non-bank credit organizations (NBCO) decreased by over 1 percent over the year, amounting to 15 billion manat ($8.82 billion),” the report said.

At the same time, the share of state banks in issued loans amounted to 2.87 billion manat or $1.68 billion (19.1 percent of the total portfolio), private banks - 11.8 billion manat or $6.94 billion (78.4 percent), NBCOs - 375.7 million manat or $221 million (2.5 percent).

Reportedly, the volume of loans issued in national currency as of June 2021 amounted to 10.9 billion manat or $6.41 billion (an increase of 7.1 percent over the year), and their share in the loan portfolio of banks made up 72.5 percent.

“In the mentioned period, loans were issued in foreign currency in the amount of more than 4.14 billion manat or $2.43 billion (an annual decrease of 4.3 percent) with a specific weight of 27.5 percent of the banks' loan portfolio,” the report added.


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