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National Ownership Support Fund to strengthen soft loans control

24 October 2009 08:38 (UTC +04:00)

Baku. Nijat Mustafayev â€“ APA-Economics. A workshop for learning of new normative-legal documents was held in Baku attended by the representatives of the National Ownership Support Fund (NOSF) of the Azerbaijanâ€™s Ministry for Economic Development, Baku Business Education Center and regional organizations, as well as owners.

The Ministry for Economic Development told APA-Economics, chief of the ownership development policy department of the ministry Zaur Gasimov talked about the comprehensive measures in Azerbaijan for strengthening the financial support to the development of private sector, increasing of usefulness of soft loans, learning and implementation of international experience in this field.

NOSF executive director Shirzad Abdullayev informed the participants about the NOSF regulations and rules of use of NOSF resources approved by the head of state and said the new normative-legal documents had great importance for increasing of the fundâ€™s useful activity, transparency of soft loans, efficiency of investment projects funding, extension of ownersâ€™ opportunities for access to the governmentâ€™s soft loans, particularly strengthening of protection of the ownersâ€™ rights.

NOSW new regulations set the number, authorities and standing orders of the members of its Board of Directors. It provides more effective control over the fund, objective evaluation of the projects on the basis of minimal requirements, funding of investment projects in accordance with the prior directions determined in the different economic spheres and economic regions. According to the regulations, the Board of Directors will conduct regular monitoring for strengthening of control over the soft loan assignments.

According to the rules of use of NOSF resources, the fund eased credit mechanism, reduced soft loanâ€™s maximal percent rate to 6 % and period of application approval to 25 days. Maximum amount of credits was increased to 5 million AZN.