Five Azerbaijani banks may be closed in 2017


The list of five Azerbaijani banks, which are in danger of being closed in 2017, has been made. Currently the country is numbering 32 credit institutions after bankruptcy of 10 banks in 2016.

Reliable sources say that the list includes Bank of Baku, Muganbank, Amrahbank, AtaBank, and Demirbank.

"The reason for their closure may be shortage of capital. So, the shortage of capital at some of those banks reaches AZN 200 million, while the minimum capital requirement for the bank is AZN 50 million," the source said.

According to the source, some of the above-mentioned banks have already applied for support to the regulator and the government.

"Support has not been approved, at least not yet. Also, an individual plan on the rescue of the five banks has not been developed," the source said.

Earlier, the Financial Market Supervision Chamber (FIMSA), as the regulator, has stated that it has no plans on closure of credit institutions for 2017.