Azerbaijan is preparing new rules for managing credit risks”/>
New rules for managing credit risks in non-bank credit and microfinance organizations in Azerbaijan will be adopted in the near future.
As Day.Az reports with reference to Trend, the General Director of the Central Bank of Azerbaijan said this on October 23 Togrul Aliyev during the conference “Innovative Solutions for Sustainable Microfinance”.
“New rules for managing credit risks in certain credit institutions have been developed. These documents were discussed with the Association of Non-Bank Financial Institutions and credit institutions, feedback and suggestions were received. It is expected that these documents will be adopted in the near future,” he said.
According to him, one of the key priorities is strengthening the institutional capacity of microfinance organizations and credit institutions.
“In this context, we are strengthening corporate governance requirements and improving outsourcing standards in banks and credit institutions. I would especially like to emphasize that our initiatives to protect the rights of consumers of financial services will help support inclusivity and improve risk management in both microfinance organizations and other financial institutions It is important to note that, given the current challenges, the Central Bank last year approved a roadmap for sustainable finance, and this year adopted the principles of sustainable finance with a special focus on managing climate change, environmental, social and governance risks. factors, which is especially important for microfinance organizations and non-bank credit institutions. The goal is to transfer experience and best practices in sustainable financing to these organizations,” T. Aliyev noted.
It should be noted that on November 1, the Central Bank of Azerbaijan (CBA) will announce the next decision on the parameters of the interest rate corridor.