Last week review (Jan. 18-22)
CBA cancels Bank of Azerbaijan's license
Bank of Azerbaijan's license has been cancelled upon a decision of the Central Bank of Azerbaijan (CBA).
A temporary administrator has been appointed in the bank.
The decision was taken because Bank of Azerbaijan violated the minimum requirement for total capital and its total capital adequacy ratio was less than three percent (the CBA's requirement is 10 percent), CBA said in a message.
"The bank is unable to fulfill its obligations to creditors," CBA said. "Its current activity doesn't correspond to prudential rules. The management of the bank is unreliable."
CBA also said the Azerbaijan Deposit Insurance Fund will pay compensations to the bank's depositors in accordance with laws.
Azerbaijan to give preference to local producers during public procurement
Azerbaijan will give preference to domestic products during public procurement, Azerbaijan's Economy Minister Shahin Mustafayev said at the meeting of the Parliamentary Committee on Economic Policy.
He made the remarks regarding the draft amendments to the law "On Public Procurement" adopted by the country's parliament.
In case of high quality production, even if the tender bid cost exceeds the price offered by the customer within the framework of the tender by 20 percent, the preference will be given to local producer, in accordance with these amendments, the minister said.
"These proposals have been prepared within the framework of promoting domestic production," he said. "Previously, it was recommended to give preference to domestic production even if the tender bid cost exceeded the price offered by the customer within the framework of the tender by 15 percent, but it wasn't mandatory."
Azerbaijani president meets Vice Chairman of Lazard Europe
President of Azerbaijan Ilham Aliyev has met with Vice Chairman of Lazard Europe Mathieu Pigasse in Davos.
President Ilham Aliyev highly praised cooperation between Azerbaijan and Lazard Europe. The head of state said there was good potential for developing this cooperation even further.
They discussed business relations between Azerbaijan and Lazard Europe, as well as opportunities for cooperation in other areas.
President Ilham Aliyev meets BP Chief Executive Officer
President of Azerbaijan Ilham Aliyev has met with Chief Executive Officer of BP Robert Dudley in Davos.
They praised Azerbaijan-BP cooperation in the exploitation of Azeri-Chırag-Gunashli and Shahdeniz fields.
They also pointed out the successful continuation of geological survey on shallow part of Absheron peninsula waters.
President Ilham Aliyev meets head of LUKOIL
President of Azerbaijan Ilham Aliyev has met with president of Russian LUKOIL company Vahid Alakbarov in Davos.
It was said that LUKOIL had successfully operated in Azerbaijan for more than 20 years and was a reliable partner.
The sides discussed prospects for cooperation between Azerbaijan and LUKOIL.
Azerbaijani president meets with EBRD president
President of the Republic of Azerbaijan Ilham Aliyev met with President of the European Bank for Reconstruction and Development Suma Chakrabarti.
The level of cooperation between Azerbaijan and European Bank for Reconstruction and Development was praised at the meeting. Views on economic reforms carried out in Azerbaijan were exchanged.
The existence of great potential for further deepening cooperation between Azerbaijan and ERDB was emphasized and new opportunities were discussed in this regard.
Azerbaijani president meets European Commission vice-president for energy union
President of Azerbaijan Ilham Aliyev met with the European Commission Vice-President for Energy Union Maros Sefcovic in Davos.
They expressed satisfaction with the level of cooperation between Azerbaijan and the European Union in various areas, including in the field of energy.
The sides stressed the importance of Azerbaijan`s role in ensuring energy security of Europe, and the significance of the Southern Gas Corridor in this regard.
Report: Azerbaijan among best countries in "Open for Business Ranking"
The US News & World Report, a multi-platform publisher of news and information, has put Azerbaijan among the best countries to do business in.
According to the report, Azerbaijan is among the countries listed in the "Open for Business" subranking of the Best Countries rankings conducted in partnership with the Wharton School of the University of Pennsylvania.
The ranking was presented at the World Economic Forum in Davos, which started its work.
Azerbaijan ranked 43, coming ahead of such countries as Kazakhstan, Iran, Russia and Turkey, as well as Saudi Arabia, Ukraine, Egypt, South Africa, Argentina and others.
Azerbaijani president meets Microsoft Corporate vice president
President of Azerbaijan Ilham Aliyev met with Corporate Vice President of Microsoft Susan Hauser in Davos.
The parties noted that the information and communication technologies system is successfully developing in Azerbaijan. It was also noted that this sphere was of great importance.
The sides also discussed how to expand cooperation between Azerbaijan and Microsoft.
Azerbaijani president meets high-ranking Procter & Gamble rep
President of the Republic of Azerbaijan Ilham Aliyev met with President of Europe Selling and Market Operations at Procter & Gamble Gary Coombe in Davos.
Procter & Gamble`s successful activity in Azerbaijan was emphasized at the meeting. The sides exchanged views over the expansion of cooperation between Azerbaijan and the company.
Azerbaijan included in world ranking on property rights
Property Rights Alliance published a report based on the "International Property Rights Index" and included Azerbaijan in the annual world ranking on property rights for the first time, Azerbaijani Copyright Agency said.
This year's survey covered 129 countries, with Azerbaijan being 103rd. Index and rating, which include a number of indicators also assess the protection of intellectual property rights.
Moody's takes rating actions on six Azerbaijani banks
Moody's Investors Service has taken rating actions on six Azerbaijani banks.
Moody's affirmed Xalq Bank, Bank Respublika and Kapital Bank's current BCA at b3, b2 and b1.
The outlook was changed to negative from stable.
Moody's downgraded VTB Bank's (Azerbaijan) (VTBAZ) Bank of Baku and Unibank's BCA to caa1 from b2 and long-term deposit ratings to B2 from B1 with a negative outlook.
The rating actions reflect the negative impact of the depreciation of the Azerbaijani manat on the banks' asset quality, profitability and funding after the introduction in December 2015 of a free-floating exchange rate regime, as well as heightened dollarization of the banks' funding profiles.
President Aliyev attends Informal Gathering of World Economic Leaders
Informal Gathering of World Economic Leaders: Imperatives for 2016 has been held as part of the World Economic Forum in Davos.
President of the Republic of Azerbaijan Ilham Aliyev attended the event.
Azerbaijani president meets Total CEO
President of Azerbaijan Ilham Aliyev met with Chief Executive Officer of Total Patrick Pouyanne in Davos.
The current state and prospects of cooperation between Azerbaijan and Total was discussed at the meeting. The sides exchanged views on the exploitation of "Absheron" gas field and implementation of other projects.