Azerbaijan, Baku, Nov. 15 / Trend A. Akhundov /
Another mission of the European Bank for Reconstruction and Development (EBRD) will arrive in Azerbaijan in 2013 to discuss expanding operations with the Azerbaijani financial sector, head of the EBRD office in Azerbaijan Neal McCain told Trend on Thursday.
EBRD Director for Financial Institutions for the Caucasus, Central Asia and Mongolia, Mike Taylor visited Azerbaijan in October. The purpose of the visit was to discuss the possible participation of the bank in the process of consolidation and acquisition which are expected in the Azerbaijani banking sector in 2013.
"There were no specific results after Taylor's visit," McCain said. He discussed the opportunities and prospects of developing the banking sector and there being many changes with the Central Bank. Taylor also had meetings with the banks - EBRD's partners in Azerbaijan,of which there are nine. Taylor will visit Azerbaijan again in 2013."
According to the Central Bank board's decision as of July 25, the requirement for the minimum total capital of existing banks and authorised capital of newly established banks was increased from the current 10 million ($12.7 million) to 50 million manat ($63.7 million). The new requirement for the capitalisation of banks will come into force from January 1, 2014.
"A five-fold increase in the capital requirement is a very interesting point," McCain said. "We fully support the policy of the Central Bank. This decision will increase the capital of the banks and enhance the concentration of personnel in the banks.
"We would like to participate in this process. If there are suitable projects we are willing to participate, not only through making investments by issuing loans. We are also interested in buying shares."
