Azerbaijan, Baku, 23 May / corr. Trend I. Khalilova/ The European Bank for Reconstruction and Development (EBRD) has announced its wish to have a share in the capital of the non-banking credit organizations of Azerbaijan. Talks are being held to enter the composition of the shareholders of CredAgro, a source in the government said on 23 May. The annual meeting of the managers of EBRD adopted this decision on 18-19 May in Kiev.
The talks with EBRD are still at the early stage, CredAgro said.
"We have such plans, but the shareholders have not yet determined the volume of the share that can be given to EBRD," the credit organization said.
The only founder of CredAgro is international humanitarian organization ACDI-VOCA that established a non-banking credit organization in Azerbaijan 8 years ago. The authorized capital stock of the organization is $5,000 with aggregate capital of AZN7mln.
CredAgro has been cooperating with EBRD since 2006, and the organization was first amongst the non-banking organization to be granted loan from EBRD. So far, EBRD has financed mainly banking organizations with a share in their capital and granted loans to them.
In 2007, EBRD increased its loans to CredAgro up to $4mln.
At present, the activities of CredAgro focus on financing projects in the regions and it covers 27 regions. The Bank has established 9 representations and several back offices. The Bank finances various spheres including trade operations, infrastructure, leasing and consumer crediting. The credit is granted for CredAgro with 36% interest rate annually for 3 year term.
The Official exchange rate for 23 May is 0,8235 AZN/USD.
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