The rate of the Central Bank of Azerbaijan (CBA) has been reduced from 3.5 percent to 3 percent since July 13, 2015.
The decision was taken to create a monetary basis to enhance financial support for the economic growth in the non-oil sector, to stimulate the investments by accelerating the reduction of interest rates, to optimize the cost of financing the small and medium business and mortgage lending.
The CBA also lowered the ratio of "leverage" from 8 to 6 percent. The changes have entered into force since July 14. The appropriate changes were made to the "Rules of calculation of the banks' capital and its adequacy".
The "leverage" is intended to limit the banks' great growth.
The measures, taken in the current year in response to the new trends of the economic cycle, are aimed at preserving the stability of the national economy.
One of the most important measures taken in this area was to stimulate a decrease in the cost of banking services, in particular, interest rates.
Thus, the CBA has introduced upper limit of interest rates on loans. This decision applies only to consumer loans and micro-loans. The CBA recommended the banks that the actual annual interest rate on consumer loans must not exceed 29 percent, while micro-loans - 25 percent.
No administrative measures are envisaged for a failure to comply with this requirement. However, all banks in the country brought the rates on loans into compliance with the level proposed by the CBA.
In July, the CBA also cancelled the license of two banks - EvroBank and Azerbaycan Kredit Bankı. The CBA's actions are aimed at reducing the risks in the banking sector, maintaining the trust and expanding the financial mediation.
Turkish Ziraat Bank's branch has officially begun its activity in Azerbaijan.
"The bank was not officially opened," the bank said. "But we have started serving customers since the middle of July."
T.C. Ziraat Bankasi received in late 2014 a license from the Central Bank of Azerbaijan to conduct banking activities in Azerbaijan through its subsidiary, the Ziraat Bank Azerbaijan.
The president signed a decree on pre-privatization rehabilitation of the International Bank of Azerbaijan (IBA) in the same month to prepare the IBA state-owned shares for the privatization.
In terms of the financial indices, the IBA is the largest bank in the country and plays a major role in issuing the loans to entrepreneurs, rendering a wide range of banking services to the population, making payments and social benefits.
The foreign exchange reserves, owned by the CBA, decreased by $18.7 million (0.2 percent) up to $8.5 billion in July 2015 compared to June.
The CBA's foreign exchange reserves have decreased by $5.26 billion (38.2 percent) since early 2015.
A decrease in the CBA's foreign currency reserves has been observed since July 2014. Earlier, this process was conducted slowly ($20-50 million). But a sharp decline in their volume has been observed since December. This is connected with an increase in demand for dollar supply in the country.
However, the foreign exchange reserves increased in May-June 2015. In May, the CBA's reserves increased by $42.9 million (0.51 percent) - up to $8.43 billion compared to April and by $89.4 million (1.06 percent) in June. Earlier, CBA chairman Elman Rustamov said that after adjusting the exchange rate of manat, the CBA continues participating in the foreign exchange market. This is connected with the ongoing process of dollarization.
Currency market and manat rate
Rustamov said that while keeping the average price of oil at $50 and the stability of the economy of Azerbaijan's trade partners, no problems with the exchange rate of the manat are expected by late 2015 and in the medium term.
He said that the exchange rate of manat is most dependent on external factors rather than internal.
We observed the process of appreciating the dollar rate versus manat and depreciating of the euro amid Greece's default in July.
Azerbaijani monetary market
The CBA's important objective is to manage the money supply at an adequate macroeconomic and financial stability level, in terms of continuous growth of foreign exchange reserves of the country and increased liquidity of the banking system.
A decrease in the foreign exchange reserves of the country, as well as the CBA decision as of February 16 about holding the exchange rate policy on the basis of the mechanism of the dual currency basket that includes the dollar and the euro, significantly affect the amount of the monetary aggregates in subsequent months.
The money supply rate (M2) (cash in circulation (outside banks) and remainders in the domestic currency on accounts of non-financial organizations, financial (excluding credit) organizations and physical entities) decreased by 1.26 percent in July 2015 compared to the last month and by 37.75 percent compared to the same period of 2014, the CBA's report said.
The money supply rate (M2) amounted to 10.853 billion manat as of July 2015 compared to 10.992 billion manat as of June and 17.435 billion manat as of August 1, 2014, according to the report.
The amount of cash money supply (M0) decreased by 39.34 percent during a year and amounted to 6.374 billion manat compared to 10.508 billion manat as of late July 2014. M0 increased by 0.3 percent in July compared to June.
As of July 2015, Broad Money Supply (M3) totaled 18.855 billion manat or 11.17 percent less compared to the same period in 2014 (21.225 billion manat) and by 0.03 percent more as of end June 2015 (18.849 billion manat).
The transaction money (M1) decreased by 33.3 percent during a year and amounted to 8.214 billion manat compared to 13.037 billion manat as of July 2014 and increased by 1.16 percent compared to last month (8.301 billion manat).
Parameters of monetary market, in billion manat:
|
Volume, Jan.-July |
|
|
Money mass in extensive understating (М3) |
18 855,4 |
|
Money mass on manat (М2) |
10 853,5 |
|
Cash in manat (М0) |
6 374,5 |
|
Non-cash in manat |
4 479 |
As of August 1, 2015, the bank reserves in Azerbaijan amounted to 777.8 million manat, which is 8.3 percent more than in the same period of 2014 (702.1 million manat).
The expanded monetary base in Azerbaijan totaled 7.793 billion manat as of Aug. 1, 2015.
In annual terms, the monetary base in Azerbaijan decreased by 34.3 percent. For comparison, as of July 2014, this figure was 11.858 billion manat. The monetary base reduced by 0.16 percent in Azerbaijan compared to June.
As of August 1, 2015, the monetary base in manat amounted to 7.467 billion manat versus 11.736 billion manat as of August 1, 2014.
In the mentioned period, the volume of money in circulation amounted to 7.014 billion manat, while this figure was 11.144 billion manat as of Aug. 1, 2014.
The ratio of the mass of cash in circulation to the monetary base was 90 percent as of August 1, 2015, decreasing by 3.9 percent compared to the same index as of July 1, 2014.
Azerbaijan's loan market
Azerbaijani banks increased lending to the economy by 18.5 percent in January-July 2015 compared to the same period of 2014, the report said.
The bank lending volume decreased by 0.5 percent in July 2015 compared to the previous month.
As of Aug. 1, 2015, the banks issued loans totaling around 20.187 billion manat, including around 11.419 billion manat (56.57 percent) in national currency and 8.768 billion manat (43.43 percent) in freely convertible currency, the CBA report said.
This ratio hit 73 and 27 percent in January 2015, but 60 and 40 percent accordingly in January-February, 59.17 и 40.83 percent accordingly in the first quarter.
For comparison, the banks delivered loans worth 17.034 billion manat (around 12.467 billion manat in national currency and 4.567 billion manat in freely convertible currency) as of July 2014.
Of the total portfolio, borrowings and loans worth 1.295 billion manat (6.4 percent) were overdue.
The share of overdue loans decreased by 3.28 percent in July compared to June.
This has been the first decline in the volume of overdue loans since early 2015. Thus, in January, their volume amounted to 1.031 billion manat (5.55 percent). By June 1, it reached 1.339 billion manat (6.6 percent).
The volume of bad loans increased by 43.85 percent compared to the same period of 2014 and 32.6 percent compared to early 2015.
For comparison: this index was 900.1 million manat (5.28 percent) in January-July 2014.
The statistics of overdue loans does not include similar loans of Aqrarkredit non-banking credit institution.
An increase in delinquency was observed amid an increase of the banks' credit portfolio.
The volume of short-term loans amounted to 4.413 billion manat (including overdue loans worth 452.6 million manat) as of July 2015 compared to 3.559 billion manat (including overdue loans worth 379.6 million manat) a year earlier. The volume of short-term loans in the economy increased by 24 percent in a year.
The volume of long term loans amounted to 15.774 billion manat (including 842.2 million manat worth overdue loans) as of January-July 2015, compared to 13.475 billion manat (including 520.5 million manat worth overdue loans) as of July 2014. The volume of long term loans has increased by 17.06 percent in a year.
The credit portfolio of the state banks in the country hit 7.225 billion manat with the specific weight of 35.8 percent, while private banks issued loans worth around 12.376 billion manat with a specific weight of 61.3 percent.
The remaining 2.9 percent fell to the share of non-bank credit organizations which issued 586 million manat, according to the CBA.
Azerbaijani banks increased the consumer lending volume by 11.2 percent in January-July 2015 compared to the same period of 2014 but decreased by 1.5 percent in July compared to June, said the report.
The consumer lending volumes decreased in the country after the devaluation of the manat rate [the dollar rate increased by almost 34 percent February 21]. So, in February, it increased by almost 9 percent. In March, the banks reduced the consumer lending volume by 1.4 percent, in April - 1.2 percent, in May - 1.88 percent, in June - 1.97 percent.
The share of consumer loans in a total volume of the banks' loan investments decreased from 43 percent as of February up to 38.5 percent as of July - up to 7.77 billion manat.
For comparison: their share accounted for 41 percent, and the amount of issued loans - 6.99 billion manat in January-July 2014.
The trade and services (14.2 percent or 2.86 billion manat) ranked second on the share in the total loan portfolio of banks. The construction and real estate sector (13.9 percent or 2.8 billion manat) ranked third.
Around 10.8 percent of the total volume of lending to the real sector of Azerbaijan was directed to the industry and production. In nominal terms it amounts to 2.18 billion manat.
The share of transport and communication hit 4.6 percent (921.7 million manat), agriculture and processing reached 4.7 percent (946.7 million manat), energy, chemistry, and natural resources - 1.4 percent (279.5 million manat).
The loans given to the population in Azerbaijan's districts totaled 3.312 billion manat as of January-July 2015, or 16.4 percent of the banks' total loan portfolio, the CBA says.
Almost a third (28.2 percent) of loans or 933.78 million manat given to the population in the regions of the country accounted for the foreign currency. The share of loans in foreign currency in Azerbaijani regions increased compared to the same period of 2014. So, their share hit 21.7 percent or 586.86 million manat in the same period of last year.
The loans worth 16.875 billion manat were delivered in Baku. Here the loans in national currency (manat) amounted to 9.041 billion manat (53.6 percent).
For comparison, the loans amounting to 14.326 billion manat were given in Baku during the same period in 2014, of which 10.346 billion manat (72.2 percent) accounted for the loans in the national currency.
The average interest rate on loans throughout the country was 13.4 percent in January-July 2015, while in Baku this index stood at 12 percent.
The lending volume in the Absheron Economic district totaled 649.5 million manat at an average rate of 19.1 percent.
In other economic districts the lending index was as follows: Aran - 836.7 million manat at a rate of 22.9 percent, Mountainous Shirvan - 115.57 million manat at a rate of 23 percent, Ganja-Gazakh - 744 million manat at a rate of 19.5 percent, Guba-Khachmaz - 258.5 million manat at a rate of 20.7 percent, Lankaran - 288.08 million manat at a rate of 24 percent, Shaki-Zagatala - 215.3 million manat at a rate of 22.1 percent, the Upper Karabakh - 61.97 million manat at a rate of 19.6 percent, Kalbajar-Lachin - 5.78 million manat at a rate of 17.8 percent, Nakhchivan - 136.5 million manat at a rate of 13.8 percent.
The average interest rate on loans issued by Azerbaijani banks in national currency in July decreased, but in foreign currency - increased.
The average rate on bank lending to the economy of Azerbaijan in national currency amounted to 13.97 percent as of July 2015 compared to 13.98 percent in the previous month.
The average interest rate on loans in July 2014 hit 14.36 percent but 13.81 percent as of early 2015.
The average rate on bank lending in freely convertible currency made up 12.73 percent compared to 12.47 percent in the previous month.
The average rate was 14.64 percent in July 2014 but 14.07 percent in early 2015.
The average rate on bank lending to legal entities in national currency amounted to 9.87 percent compared to 9.89 percent in June 2015, 11.09 percent in July 2014 and 9.99 percent as of early 2015.
The average rate on bank lending to corporate clients in freely convertible currency amounted to 8.83 percent compared to 8.81 percent, 10.54 percent and 9.18 percent in July accordingly.
As of July, the average rate on bank lending to physical entities in national currency amounted to 18.29 percent compared to 18.22 percent in June 2015, 18.49 percent in the same period of 2014 and 18.53 percent in early 2015.
The average rate on bank loans to individual customers in freely convertible currency was 21.46 percent compared to 20.58 percent, 21.33 percent and 21.52 percent in early 2015.
Mortgage lending
The Azerbaijan Mortgage Fund (AMF) under the Azerbaijani Central Bank delivered loans amounting to 65.2 million manat in January-July 2015 or 2.25 percent less than in the same period of 2014, the CBA's report as of January-July 2015 said.
The loans worth 8.7 million manat were delivered through AMF in July, which is 45 percent more than in July 2014 (six million manat), the report said.The total amount of refinancing the loans issued by the banks earlier amounted to 48.9 million manat in July 2015.
Some 29.2 million manat of 50 million manat envisaged for this year have been allocated for social mortgage since early 2015. Some 5.3 million manat were transferred from the state budget to the AMF in July 2015.
The total volume of placing the mortgage bonds amounted to 31 million manat in January-July. These funds are used to finance the ordinary mortgage.
The average amount issued by AMF authorized banks is 40.698 manat (this figure amounted to 39.944 manat in July 2014), the average term of loan issue - 279,7 months (278 months), the average interest rate is 6.72 percent (versus 6.82 percent in 2014), and the average monthly payment is 297.5 manat (318.7 manat).
Some 17,374 mortgage loans worth more than 702.4 million manat have been delivered up till now through the fund, including 97.1 million manat in 2014, 112.9 million manat in 2013, 74.77 million manat - in 2012, 95.64 million manat - in 2011, 97.08 million manat - in 2010, 76.9 million manat - in 2009, 70.2 million AZN - in 2007 and 5.6 million manat - in 2006.
Currently, the maximum amount of a common mortgage loan through the AMF is 50,000 AZN at a rate of 8 percent with a payback period of 25 years. Terms under the social mortgage are 50,000 AZN at an annual rate of 4 percent with a payback period of 30 years. The initial payment under a social mortgage is 15 percent, whilst a conventional loan is 20 percent.
Conditions of mortgage lending are as follows: Loans must be issued in Azerbaijani AZN and only to Azerbaijani citizens and the mortgage can only be for an apartment or private house.
The volume of mortgage lending must not exceed 80 percent of the market price and the monthly payment must not exceed 70 percent of the debtor's monthly income. It is compulsory to have an agreement on life insurance.
Preferential conditions are granted to family members of war victims, national heroes, internally displaced persons, civil servants with at least a three years' experience, PhDs and those making special contributions to sport as well as to the military with at least a three-year service term. Each family having the right to such a mortgage can only use the opportunity once.
At present, the authorized banks of the Mortgage Fund are 30 banks (some 43 banks operate in the country).
Some 21 insurance companies [their total number is 26] and 16 appraisal organizations are the participants of the mortgage market.
Azerbaijan's banking sector
The economic cycles, seasonal factors and the attitude of investors, dictated by a variety of causes impact on the dynamics of deposits.
As of Aug. 1, 2015, the total amount of bank deposits and deposits of physical and legal entities drawn by the credit organizations of Azerbaijan totaled 18.214 billion manat.
According to the CBA report, the deposit base of banks declined by almost 0.1 percent in July, increased by 17.86 percent since early 2015, while in annual terms - increased by 25.1 percent.
For comparison, as of July 1, 2015, the total amount of deposits in Azerbaijani banks amounted to 18.232 billion manat, as of Jan. 1 - 15.453 billion manat, as of August 1, 2014 - 14.558 billion manat.
As of July 2015, the deposits in national currency - manat amounted to 4.880 billion manat, of which 1.925 billion manat - demand deposits, 2.954 billion manat - term deposits.
According to the report, during the period, the deposits in freely convertible currency amounted to 13.334 billion (3.466 billion manat - demand deposits, 9.868 billion manat - term deposits).
Thus, as of July 1, the deposits in manat hit 26.8 percent, in foreign currency - 73.2 percent of the total deposit base of banks. For comparison, as of 2015, some 50.1 percent was formed through manat deposits, while 49.9 percent of the banks' deposit base was formed through the deposits in foreign currency.
As of 2014, the deposits in national currency amounted to 7.743 billion manat, of which 2.734 billion manat - demand deposits, 5.009 billion manat - term deposits. The deposits in foreign currency amounted to 7.710 billion manat, of which 1.799 billion manat - demand deposits, 5.911 billion manat - term deposits.
The growing share of deposits in foreign currency, observed in February-April, was caused by the devaluation of the national currency. Thus, the official exchange rate was set at 1.05 manat upon the decision of the Board of Directors of the Central Bank of Azerbaijan on February 21, 2015.
As of August 1, 2015, the volume of the physical entities' deposits in Azerbaijani banks amounted to 7.605 billion manat. In July, the volume of the population's deposits decreased by 0.63 percent compared to 0.69 percent growth in July 2014. This index has increased by 5.79 percent since early 2015, while by 9.58 percent per annum.
For comparison, as of July 1, 2015, the volume of the physical entities' deposits in the country's banks amounted to 7.654 billion manat, as of June 1 - 7.701 billion manat, as of January - 7.188 billion manat and as of Aug. 1, 2014 - 6.940 billion manat.
The population's deposits, attracted to Azerbaijan's banking system from the country's districts (except for Baku), totaled 587.26 million manat in January-July 2015, or 7.7 percent of the total bank deposits.
The volume of deposits in Baku was 7.018 billion manat, while some 1.839 billion manat accounted for the deposits in the national currency.
After the devaluation of the manat by almost 34 percent on February 21, a tendency of reducing the amount of deposits in the banking system was observed. During July, the portfolio of bank deposits of the population living in regions of the country declined by 0.12 percent.
As opposed to Baku, most of the population in the regions of the country still keeps its funds in manat. Thus, in the reporting period, the volume of savings of the inhabitants of the regions in foreign currency amounted to 287.77 million manat (49 percent of total deposits in the regions).
The bank deposits in foreign currency have gradually increased outside the capital since the beginning of the year. The volume of bank deposits of the population in foreign currency in the regions of Azerbaijan hit 24.2 percent.
In this period, the average interest rate throughout the country and Baku hit 8 percent.
Thus, the Absheron economic region is still the leader on such indices as attracting the population's deposits by the banks (178.47 million manat, average rate - 8.6 percent per annum).
During this period, the volume of deposits in the Aran economic region - 93.55 million manat at a rate of 6.3 percent, Mountainous Shirvan - 13.7 million manat at a rate of 7 percent, Ganja-Gazakh - 135.3 million manat at a rate 7.8 percent, Guba-Khachmaz - 38.89 million manat at a rate of 6.8 percent, Lankaran - 39.4 million manat - the rate of 7.7 percent, Sheki-Zagatala - 45 million manat - the rate of 6.4 percent, Upper Karabakh -17.2 million manat - 4.7 percent, Kalbajar-Lachin - 2.2 million manat - 5.3 percent, Nakhchivan - 23.5 million manat - the average rate of 4.6 percent.
The Azerbaijani banks decreased interest rates on deposits both in national and foreign currency in July 2015, the report said.
The average rate on deposits in manat as of Aug. 1, 2015 made up 8.41 percent compared to 8.86 percent in June, 8.81 percent in May, 8.82 percent in April, 8.99 percent in March, 8.95 percent in February, 8.82 percent in January, 8.86 percent in early 2015.
The average rate on deposits in foreign currency amounted to 8.36 percent versus 8.47 percent in June, 4.03 percent in May, 8.31 percent in April, 8.75 percent in March, 8.73 percent in February, 8.93 percent in January, 9.24 percent in early 2015.
As of Aug. 1, 2015, the average interest rate on deposits of physical entities in manat made up 9.67 percent, while it was 9.7 percent in June, 9.66 percent in May, 9.58 percent in April, 9.71 percent in March, 9.64 percent in February, 9.41 percent in January, 9.45 percent in early 2015.
The average rate on deposits of individual customers in foreign currency amounted to 9.39 percent compared to 9.48 percent in June, 9.50 percent in May, 9.51 percent in April, 9.62 percent in March, 9.57 percent in February, 10.05 percent in January, 9.78 percent in early 2015.
The average rate on deposits of legal entities in manat made up 5 percent in early August 2015 versus 6.50 percent in June, 5.95 percent in May, 5.88 percent in April, 5.85 percent in March, 5.78 percent in February, 5.66 percent in January, 5.51 percent in early 2015.
The average rate on deposits of corporate clients in foreign currency amounted to 4.01 percent compared to 4.13 percent in June, 4.03 percent in May, 3.93 percent in April, 4.31 percent in March, 4.34 percent in February, 4.36 percent in January, 6 percent in early 2015.
There are 43 banks in Azerbaijan, two of which are state banks and 157 non-bank-credit organizations, including 103 credit unions.
Payment card market
The number of payment cards in Azerbaijan increased by 0.5 percent in July 2015 and hit 5.86 million units compared to the same period of 2014, according to the report.
Some 4.67 million units of the total number of cards were debit cards, in particular, 2.49 million - social cards, 1.48 million - salary cards, 704,000 - other cards. The number of credit cards was 1.2 million units.
The total turnover on payment cards via ATMs and POS-terminals amounted to 1.124 billion manat (3.1 percent growth during a year) and the total number of transactions - 7.36 million units or by 6.75 percent more than in the same period of 2014, according to the report.
The number of transactions on debit cards equaled 5.85 million units totaling 932 million manat.
Of the total number of transactions, around 4.4 million transactions amounting to 825 million manat were implemented on debit cards via ATMs within the country, and around 355,000 transactions amounting to 64 million manat via POS-terminals.
Some 1.5 million transactions worth 191 million manat were made on credit cards in July 2015.
As many as 416,000 transactions worth 89 million manat, of the total number of transactions on credit cards, were implemented via ATMs and there were 571,000 transactions worth of 41 million manat via POS-terminals.
As of Aug. 1, 2015, around 2,685 ATMs operated in the country of which 1,507 are located in Baku and 1,178 in other cities and regions of the country. Their total number increased by 192 units or 7.7 percent during a year compared to July 2014.
As of late July 2015, the number of POS-terminals amounted to 77,959 units of which 49,110 are installed in Baku and 28,849 units in other cities and regions.
The number of POS-terminals increased by 23,971 units or 44.4 percent during the year.
Stock market
In July, President of Azerbaijan Ilham Aliyev signed a decree on applying the law "On the Securities Market".
According to the decree, the Cabinet of Ministers has been charged with preparing the proposals for bringing laws and regulations of Azerbaijan into compliance with the law "On the Securities Market" for three months, as well as bringing the legal acts of the country into compliance with the law.
Moreover, the Cabinet of Ministers was instructed to determine the rules of issue and circulation of state and municipal securities, offshore zones, the percentage of mandatory deductions from the annual net profit of the central depository and inform the president.
The Cabinet of Ministers must monitor bringing the legal acts of central executive bodies into compliance with the law and inform the president of Azerbaijan within five months and solve other issues arising from the law.
The State Securities Committee was instructed to approve the legal acts of a number of articles of the law.
The State Property Committee was instructed to adopt a new charter of the National Depository Center on the basis of the proposals of the State Securities Committee within one month.
The Ministry of Justice, the State Securities Committee and the State Property Committee were instructed to carry out the necessary measures for the state registration of the National Depository Center.
The Ministry of Justice was instructed to bring the legal acts of the central executive bodies into compliance with the law and inform the Cabinet of Ministers.
The Azerbaijani State Securities Committee recommends the securities market participants to convert shares and bonds from the documentary into book-entry form.
This is connected with entering the law "On the Securities Market" into force on July 14.
"The issue of certificated securities in Azerbaijan is banned to automate transactions on investment securities," the statement said. "The transactions on documentary investment securities issued before the law, are permitted only after converting these securities into a book-entry form."
Currently, the bonds and shares of the following companies, in particular, the nameless bonds of "Muganbank", the shares of "Wembley Developments (Azerbaijan)", "Bank BTB", the International Bank of Azerbaijan, "Bashak-Inam" insurance company, "Kapital Bank", "Kredobank", "Access Bank", "AzEL", "AqroFina", "LUKoil-Azerbaijan", "Londongate (Azerbaijan) Insurance Co", "Ural Ticaret Evi", "Konsaltinqservis", "Debut Bank "," Alkaros Motors AB" and "Amrah Insurance" are on the securities market of Azerbaijan in a documentary form.
Moreover, the joint-stock companies, who registered the shareholders, must submit the registers to the National Depository Center until September 15, 2015.
The derivatives ensured the growth of turnover of the Baku Stock Exchange in January-July from year to year.
According to the Baku Stock Exchange CJSC, in January-July, its turnover amounted to 7.078 billion manat compared to 7.007 billion manat (3,853 transactions) a year earlier. In July the turnover was 290.8 million manat compared to 507.1 million manat on 3,642 transactions in June.
It is estimated at 566.4 million manat on 5,232 transactions in May, 828.2 million manat on 5,478 transactions in April and 1.933 billion manat on 7,469 transactions in January 2015 (an absolute monthly turnover record in the history of the stock exchange).
The derivatives were the growth driver. There was a lack of them a year earlier. In January-July 2015, they formed the basis of the turnover of the Baku Stock Exchange - 5.444 billion manat.
In July, the turnover in derivatives amounted to 162.048 million manat compared to 202.719 million manat on 3,285 transactions in July 2014. It amounted to 276.7 million manat on 4,853 transactions in May, 82.9 million manat on 4,926 transactions in April, 1.722 billion manat on 7,346 transactions in February and 1.575 billion manat on 6,971 transactions in January.
The foreign exchange derivatives - 5.366 billion manat determined the de facto total turnover in January-July. In July, the foreign currency derivatives ensured 159.95 million manat compared to 200.148 million manat (2,751 transactions) in June.
The foreign exchange derivatives were traded at 273.639 million manat (4,211 transactions) in May, 622.661 million manat (4,556 transactions) in April, 875.015 million manat in March, 1.696 billion manat on 6,611 transactions in February, 1.539 billion manat on 6,052 transactions in January.