PremiumAzerbaijani Banks Able to Pay Off their External Liabilities during Financial Crisis

Business Materials 10 December 2008 20:32 (UTC +04:00)

Azerbaijan, Baku, 10 Dec / Trend corr. N.Ismayilova/ Adequate currency reserves and low external borrowing will enable Azerbaijani banks to pay their external debts during the financial crisis, head of the World Bank's Baku Office Gregory Jedrzejczak said at the meeting of the Azerbaijan Banks Association on 10 Dec.

"Azerbaijan is very capable to send two billion dollars for the payment of loans from its reserves. I don't think the country will ask for assistance from the International Monetary Fund, he said.
 

Director for Credit Institutions of the National Bank of Azerbaijan (NBA) Rashad Orujev confirmed that problems in payment of external bank borrowings are not felt.

According Jedrzejczak, low external debts to creditors, high level of financial reserves and prudential policy are the positive aspects of the Azerbaijani economy in the global crisis.

According to the WB representative, the negative aspects are the weak competitiveness of the economy and falling oil prices.

"I think oil prices are minor factors, because their changes immediately affect all countries, so the general state of the Azerbaijani economy can be assessed as positive," the World Bank said.

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