Baku, Fineko/abc.az. Crediting in accord with standards of the Azerbaijan Mortgage Fund (AMF) under the country’s Central Bank is developing currently on the basis of commercial principles.

Yesterday at Milli Majlis session CB chairman of board Elman Rustamov said that mortgage lending system restored since 1 June develops in a less degree at the expense of subsidized crediting from State Budget assignments and operates mainly due to finances raised at the financial market.

“Today mortgage lending portfolio exceeds 61 million manats. Mortgage loans were granted to over 1,400 people, including about 150 subsidized social mortgage loans,” Rustamov said.

He pointed out that mortgage lending reanimated the real estate market reduced by 15% in the first half of 2009, while certain growth had been observed in the second half of the year.

“As a result, we managed to diminish the volume of investment losses caused because of cuts in prices. Mortgage lending will be continued and we do not expect another stoppage in its process,” Rustamov said.

In 2010 the government will lower investments in mortgage sector. According to Accounting Chamber’s chair Heydar Asadov, the fact that the government will keep only social mortgage lending commitments does not jeopardize to the market as it is able to increase mobilizing finances at the financial market.

Already today no more than 10% of mortgage loans are refinanced by the AMF at the expense of the State Budget.

11.11.2009 08:33