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VTB Azerbaijan`s rep: New deposit insurance rules to be announced

04.03.2020,16:21


March 4, Fineko/abc.az. The new rules for bank deposit insurance in Azerbaijan have been published.

ABC.AZ reports that the above-said statement was made by Yevgeny Kirin, Bank VTB Azerbaijan’s chairman of board, at a press conference dedicated to Bank's activity for 2019.

He noted that the financial market regulator, the Central Bank of Azerbaijan (CBA), will announce new rules in the near future.

According to Kirin, the details of the new rules are still unknown: "We know for sure that the period of full deposit insurance is approaching to the end, and insurance rule will cover only a certain amount. I think this is the right approach, as full deposit insurance leads to the fact that they are placed in a bank with a high interest rate, which does not allow you to reduce interest rates on loans. Because deposits still play a key resource base in banks for giving loans."

It should be noted that the deposit insurance period ends in full today (March 4).