Stability of Azerbaijan's financial sector further strengthened - CBA

BAKU, Azerbaijan, October 1. The stability of
Azerbaijan's financial sector has significantly strengthened in the
first half of the year, Director General of the Central Bank of
Azerbaijan (CBA) Shahin Mahmudzade said at a presentation of the
financial stability report for the first half of 2024, Trend reports.
"In the first half of this year, the stability of Azerbaijan's
financial sector has been further reinforced. The banking sector
sustained its significant role during the reporting period,
representing a considerable share of the overall financial sector,"
he noted.
Mahmudzade noted that the majority of business loans during the
first half of 2024 were allocated to companies in the trade,
industry, and information sectors.
"In the first six months of this year, the business portfolio
increased by 1.26 billion manat ($741 million), which is 10
percent. The main drivers of growth were trade, industry, and
information and communication," he explained.
The General Director also addressed the recent exit of some
insurance companies from the mandatory auto liability insurance
market, stating that the CBA is unconcerned by these
developments.



"CBA is unconcerned by which insurance company leaves the OSAGO
market. What matters is that those providing mandatory auto
insurance can also offer CASCO. Insurers should not rely solely on
OSAGO for their financial stability and should actively develop
voluntary insurance options. Leaving the insurance company is its
commercial solution. If the company considers that this type of
insurance is unprofitable, it will leave the market," he noted.
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• Stability
• Financial Sector
• First Half Of 2024
• Cba
• Financial Report