BAKU, Azerbaijan, January 16. The authorized banks, backed by the guarantees provided by the Azerbaijan Mortgage and Credit Guarantee Fund (MCGF), issued loans totaling 549.5 million manat ($323.2 million) to entrepreneurs on December 31, 2024, the MCGF told Trend.
Meanwhile, the authorized banks granted loans worth 118.6 million manat ($69.7 million) over the past year.
MCGF noted that, in an effort to increase entrepreneurs' access to financial resources and reduce their payment burdens, the Fund provided subsidies amounting to 47.4 million manat ($27.8 million) between 2018 and 2024 for interest payments on business loans.
Moreover, the average interest rate set by banks on guaranteed loans stood at 14.4 percent. Thanks to the subsidies, borrowers received a payment reduction of 6.2 percent.
The guaranteed loans primarily target sectors such as tourism, catering, trade, construction, agriculture, the industrial sector, as well as the production and processing of industrial products, food production, and machinery and equipment sectors.
As part of the business projects financed by the provided loans, the creation of over 6,500 new jobs is expected.