Bank Of Baku

Azerbaijan sees 16% drop in debt securities market in 1Q09

Azerbaijan sees 16% drop in debt securities market in 1Q09
# 16 April 2009 11:42 (UTC +04:00)
Baku. Nijat Mustafayev – APA-Economics. Azerbaijan’s debt market maintained its active rate during the first quarter mostly thanks to government debt instruments, said the State Committee for Securities.

Debt securities market totaled AZN 1.75 billion for the first quarter, down 16% from the same period last year.

Short-term notes of the National Bank of Azerbaijan accounted for 86% of the debt market, leaving 13.8% to T-bills of the Ministry of Finance.
The issue of T-bills increased 66% year-on-year to AZN 105.7 million during the first quarter.

The T-bills secondary market exceeded the primary market after growing by 266-fold as against the same period last year.

After National Bank loosened monetary policy, the issue of short-term notes sank by 70% year-on-year to AZN 162.4 million.

Repo and reverse repo transactions on notes amounted to AZN 1.2 billion, down 8% from a year ago.

Repo transactions on government bonds (T-bills) made AZN 21 million, a 3.2 times increase on a year ago.
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