Bank Of Baku

Risky lending drops in Azerbaijan

Risky lending drops in Azerbaijan
# 05 November 2008 14:00 (UTC +04:00)
Baku. Vahab Rzayev – APA-Economics. As of October 1, the share of non-prime or nonstandard loans accounted for 4.5 percent of total lending by Azerbaijan-based banks, down 4.9 percentage points on last year and 3.6 percentage points on early this year.
There is a tendency of regular decline in risky lending in recent years.




Non-prime loaning is a type of lending that relies on risk-based pricing to serve borrowers who cannot obtain credit in the prime market.
The decline in so-called non-standard loans is a sign of the emergence of healthy banking practice in Azerbaijan.
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