Microfinance Institutions Study Issue of Entering into Credit Bureau in Azerbaijan

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May 2013
Azerbaijan, May, 07 2013 - Microfinance institutions (MFIs) of Azerbaijan have returned to the idea of entering into the first credit bureau, being created in Azerbaijan.

Teymur Heybatov, representative of IFC-realized project of Azerbaijan-Central Asia Financial Markets Infrastructure (ACAFI), says that a meeting will be held with the leadership of the Azerbaijan Microfinance Association (AMFA), at which AMFA stated of its members’ interest in participation in the credit bureau project.

"In this regard, AMFA was submitted for distribution a package of documents, including a memorandum of understanding on the establishment of the credit bureau, the requirements for potential members and founders. If MFIs consider participation in the bureau creation attractive and interesting for themselves and be ready to undertake financial obligations, they will be able to connect to the process through the signing of a memorandum," Heybatov said.

Currently, the First Credit Bureau Executive Committee is conducting choice of the bureau’s operator.

In June it will send the inquiry technical and financial proposals to potential operators of the Bureau. The operators will be given up to 2 months to prepare their final technical and financial proposals.

The potential operators are expected to submit their final proposals by the end of summer 2013. This will enable to evaluate their proposals in autumn and determine the operator of the first credit bureau in Azerbaijan.

IFC-realized project of Azerbaijan-Central Asia Financial Markets Infrastructure (ACAFI) with financial support of the Swiss State Secretariat for Economic Affairs (SECO) coordinates the process of credit bureau and creation of relevant legislative and standard base.

Earlier, the Credit Bureau Executive Committee identified seven organizations that have an interest in cooperation in an international technical partner (vendor) for the creation and management of the first credit bureau in Azerbaijan.

Today in Baku six of them (InfoCredit Holding, NICE Information Service, KKB, GDS Eurasia, CRIF and Creditinfo) present their capabilities.

To date, the Memorandum of Understanding (MoU) for participation in the establishment and in the equity stakes in the national credit bureau has been signed by 10 banks - AccessBank, AG Bank, DemirBank, PASHA Bank, ASB Bank, Mugan Bank, TuranBank, Bank Respublika, YapiKredi Bank Azerbaijan, and UniBank. By signing the MoU, they undertook a commitment to establish a bureau after the national legislation allows it.

It is expected that originally 9 local founders will get equal participation in the capital of the bureau, and then hand over a part of it to the foreign vendor. According to indicative estimates of the credit bureau structure, its authorized capital was estimated at AZN 2.5 million.

 



Source : ABC
 

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