Baku. Ali Ahmadov – APA-Economics. One of the reasons of interest rates on credits in Azerbaijan-based banks is difficulty in returning of troubled loans, long procedures on it, as well as long process on direction of debt to a pledge, said the Chairman of Board of Directors of Jahangir Hajiyev.
“In many times, confiscation of pledges and their sale process last for years. During this period, the banks struggle, courts are executed in several levels. This takes at least 24 months”, he added.
During this period, the credit resources remain useless: “Banks must pay interests to depositors, so the banks must be able to earn these interests”.
In cases on confiscation of pledges, banks face complaints on deprive of pledge owners from their residential area and violation of their rights: “But, otherwise, the rights of depositors can be violated”.