Baku, Azerbaijan, Nov. 20
By Huseyn Veliyev
Banking market of Azerbaijan expects to be in favorable situation in 2019, while macroeconomic indices in general will be more positive, Chairman of the VTB Board Yevgeniy Kirin told Trend.
Kirin said GDP growth rate is predicted to be quite high next year to stimulate growth of assets of the banking sector and resources attracted from the population.
"I guess the growth dynamic of major indicators to reach 5 percent in 2019. As to this year [2018], we have recently published data that noted the growth of crediting at 4 percent. Furthermore, the dynamic have accelerated over the past few months. I suppose our forecasts for this year will justify themselves in the range of 4 percent. It refers to the increase of crediting and growth of deposits of individuals," Kirin added.
He stressed the positive dynamics in the country's banking sector comparing the results of 2018 with the indices of 2017 and 2016.
"I remind that the banking sector concluded the year of 2017 with decrease in the size of assets by force of some crisis developments in the country's banking sector, whereas definite increase was observed in 2018. We see ongoing positive changes. The banking sector is revitalizing and restoring its previous positions. However, I believe that a problem of capitalization and a problem of bad loans are yet topical. The issue will hardly be solved by the end of the year and that hampers the development of banks. Banks are one of important participants of economy and the economy should be interested in the development of banking system as the banks make an essential impact and play a role in stimulating and creating conditions for economic growth," Kirin said.
