BAKU, Azerbaijan, October 15. A unified limit is applied to illegal betting operations in Azerbaijan, Executive Director of the Central Bank of Azerbaijan (CBA), Shahin Mahmudzade, said at a press conference dedicated to the presentation of the Financial Stability Report in Baku on Thursday, Trend's correspondent reports from the event.
According to him, in order to restrict transactions related to illegal gambling and betting activities in Azerbaijan, banks, electronic money institutions, and other financial entities have reached an agreement to implement unified limits on payments.
He noted that banks previously applied varying limits to transfers associated with illegal gambling and betting operations. Subsequently, banks and other financial market participants came together and decided to standardize these limits.
"In the past, each bank had its own limit; some imposed restrictions based on the number of transfers, while others set limits on the transaction amounts. Banks, electronic money institutions, and other participants collaborated and agreed to unify these limits. A rule is now in place prohibiting more than five such transactions per card," Mahmudzade pointed out.
According to the CBA representative, the primary objective of this unified approach is to restrict the use of bank cards for illegal gambling and betting activities. In this regard, coordinated action among financial sector participants is crucial.
He emphasized that the agreement among banks on standardized limits is also intended to prevent customers from encountering inconsistent restrictions across different banks.
Mahmudzade also touched upon the mechanism, implemented as of October 1, that allows individuals to prohibit loans from being taken out in their own names. He remarked that citizens can place restrictions on the issuance of loans in their names via the electronic platform of the Azerbaijan Credit Bureau.
"A person can prohibit themselves from taking out loans. Even if they were to share their personal information with someone else, this mechanism makes it possible to prevent a new loan from being issued in their name. Since lifting the prohibition takes some time, this provides an opportunity for the bank to contact the client and verify the legitimacy of the transaction," he explained.
According to the CBA executive, banks should also enable clients, via their mobile apps, online platforms, and other electronic services, to place restrictions on obtaining loans from that specific bank.
He added that the mechanism for self-prohibiting loan acquisition, along with additional restrictions implemented by banks, serves to strengthen the financial security of citizens.
Mahmudzade also noted that the adoption of a unified approach by banks regarding transactions linked to illegal gambling aligns with international practice. According to him, when financial institutions make joint decisions and operate based on shared principles in this area, it leads to more effective outcomes.
