BAKU, Azerbaijan, June 17. Strengthening financial system stability is helping unlock greater participation from the private sector, according to the Executive Director of the Central Bank of Azerbaijan, Shahin Mahmudzade, Trend's correspondent reports from the event.
Shahin Mahmudzade made the remarks during the 20th Islamic Development Bank (IsDB) Global Forum on Islamic Finance, held in Baku as part of the Annual Meeting of the IsDB Group.
He said the Central Bank’s efforts to modernize the regulatory framework over the past three years have gone beyond traditional banking reforms and now include new areas such as market conduct standards and environmental, social, and governance (ESG) principles.
Mahmudzade noted that reforms have also extended to the capital markets, where amendments to existing legislation have been introduced and several new draft laws have been submitted to the government. These include proposed frameworks covering rating agencies, derivatives, venture capital, and crowdfunding.
He added that Azerbaijan’s insurance sector has also undergone significant regulatory updates, including a near-complete revision of laws governing mandatory insurance products, some of which are already under government review.
According to Mahmudzade, these reforms are designed to improve financial stability and create a more attractive environment for private sector investment and long-term capital mobilization.
