Baku, Fineko/abc.az. The International Finance Corporation (IFC), a member of the World Bank Group (WBG), is finishing regular stage of development of legislative regulation of Azerbaijani fund and mortgage markets within the frames of the Project of Primary Mortgage Market in Central Asia and Azerbaijan.

Presently, discussion concerning recommendations of IFC on Bill on Covered Bonds is finished, the project said.

“The State Securities Committee (SSC) and  Central Bank of Azerbaijan (CBA), for the most part, accepted almost our recommendations.  No editorial work remains – to include practically in the bill in order to submit it for consideration to the Cabinet of Ministers (CB),” the project informed.

The Azerbaijani government and IFC Project with $3.2 million budget are drafting the Bill on Covered Bonds as a basis for securitization of commercial real estate mortgage sector in the country.

The bill updating involved Steve Batler drawn by the Corporation. Meanwhile, the first issue of AMF covered bonds was registered in May. The fund can issue bonds with annual rate of 3% with circulation period of up to 7 years in the amount of AZN 55 million. Work over the Bill on Mortgage Bonds has been launched since spring 2008. Bonds of the first emission were already place in the amount of AZN 33 million.

In June, 2007, mortgage lending on the Azerbaijan Mortgage Fund (AMF) standards was stopped and was resumed only since 18th June 2009.

12.10.2009 14:52