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Khayal Mammmadkhanli: Our target is to turn Azfinance Bank to a leading bank in Azerbaijan - INTERVIEW

Khayal Mammmadkhanli: Our target is to turn Azfinance Bank to a leading bank in Azerbaijan - <font color=red> INTERVIEW </font>

20 February 2009 07:26 (UTC +04:00)

-What are the plans for the near future?

AzFinance Joint-Stock Commercial Bank was registered in July 2008 and was granted a banking license by the National Bank on November 28. We launched the official operation early this week and at present we provide banking services to legal and natural persons. Currently, the bank consists of a head office and one branch. Over the next three months we plan to open branches in the center of Baku and Mardakan. Currently, these buildings are being reconstructed and remodeled. Branches based in Baku will work around the clock to provide services to customers.
Through these branches, we will offer new banking services in the market of Azerbaijan. In accordance with our strategic plan, we plan to open 5 branches in 2009 and 10 branches in 2010

-What about the bank’s plans for joining the international money transfer systems?

- During this year AzFinance Bank plans to join the most effective international money transfer systems. We will join the money transfer systems which cover the entire world, including countries where Azerbaijanis compactly live. The work for joining SWIFT is under way. At the end of next month it is scheduled to complete this process and launch this service.

-How many ATMs and POS-terminals do you plan to install this year?

- We have brought 5 ATMs to Azerbaijan, and plan to deploy them at commercial and business centers in Baku in a few months. In general, we plan to install 10 ATMs in the territory of the republic by the year-end. In addition to ATMs, we will install electronic foreign exchange points automatic deposit boxes in branches. All these can be considered as new banking technologies in Azerbaijan.
By the end of this year, we will install 50 POS-terminals. Until the mid year it is planed to install POS-terminals in many trade and business centers.

- Has the bank devised a development strategy for the upcoming years?

- We have a strategic plan for 2008-2018. Of course, this plan may change. However, it is courage to develop strategic plan for 10 years in the current situation. In fact, the plan doesnâ€™t envision real projections, but the development strategy. In line with this strategy, we intend to implement the plan in phases. The main goal of AzFinance Bank is to become a leading banking organization in the country to introduce banking innovation and offer a wider range of products. We intend to introduce Internet banking in the nearest future.

-What about deposit-taking and loan-lending plans?

- From March, we will prepare certain loan products. The relevant departments of the bank have already prepared some competitive deposit products for first clients. In parallel, we will soon begin the formation of the loan portfolio. For this reason, we will take deposits.

- How do you plan to participate in the domestic and foreign securities market?

- According to the plans, we will direct part of the authorized capital to the purchase of government securities. We will also take concrete actions on the acquisition of stable and profitable securities, and participation in equity markets. However, due to the ongoing financial crisis, we have to be careful about every decision. In the world there is a problem of liquidity, there are problems in converting the properties, securities or assets to cash in real time. Therefore, the time will show all the activities that we undertake.

- Do you have plans for mortgage loans, leasing operations and other operations?

- In the nearest future we intend to launch the self-financing mortgage program. We plan to implement this program for a long period. Our plans include the financing of various projects for the construction, acquisition of construction packages and their realization through the mortgage line. We are currently exploring ways to finance these projects by either lending or leasing. In the future, our bank will submit proposals to leasing companies. In addition, we will prepare our leasing products.