Finance

Home page

Finance

Insured deposits in 4 liquidated banks of Azerbaijan surpass AZN 140M - UPDATED

Insured deposits in 4 liquidated banks of Azerbaijan surpass AZN 140M - <span style="color: red;">UPDATED

22 July 2016 08:48 (UTC +04:00)

Baku. Yegana Lachinzade - APA-Economics. Insured deposits in Dekabank, Kredobank, Parabank and Zaminbank, licenses of which have been cancelled under the decision of Azerbaijan’s Financial Market Supervisory Body, dated 21 July 2016, amounted to AZN 140,300,000, Rufat Aslanli, head the Board of Directors of the Financial Market Supervisory Body, told reporters.

According to him, these banks are members of the Azerbaijan Deposit Insurance Fund, the fund will pay the insured deposits to the clients. “If necessary, the Central Bank of Azerbaijan (CBA) would provide liquidity support,” he added.

***

10:20

Baku. Yegana Lachinzade – APA-Economics. The licenses of Dekabank, Kredobank, Parabank and Zaminbank have been cancelled in Azerbaijan, Rufat Aslanli, head the Board of Directors of the country's Financial Market Supervisory Body said told reporters on July 22.

The relevant decision was made by Azerbaijan’s Financial Market Supervisory Body dated July 21, 2016.

“The licenses of those banks have been revoked, as their assets haven’t been classified in line with the law, they haven’t created adequate reserves and the aggregate capital of these banks doesn’t meet the minimum requirements,” said Aslanli. “In general, they haven’t fulfilled the regulator’s instructions.”

The purpose of closing down these banks is to reduce the risks in the banking sector, strengthen the financial stability, increase the confidence and ensure the development of the financial sector, he added.

Aslanli pointed out that all these banks are members of the Azerbaijan Deposit Insurance Fund, therefore, their clients will be able to get payments for insured deposits.

Temporary administrators were appointed to these banks July 22.