PARLIAMENT ADOPTED THE LAW “ON BANKS”
Informing was the head of the standing committee of the Milli Majlis on economic policy Sattar Safarov, who said: “After adoption of the Law “On State Budget for 2001”, President Heydar Aliyev assigned the National Bank to draft a new bill on banks. As the acting law on banks was adopted in 1996 and in the past period in several fields of economy, including banking sphere, took place a number of changes. Dynamic development of economy necessitated elaboration of new bill. Presented for discussion, the new bill will regulate creation of banks in the Republic of Azerbaijan, their functioning and development, granting them licenses and their recall, as well as other mechanisms. Several years ago, in the country were functioning about 250 banks, and then as a result of the conducted expedient policy pursued by National Bank, majority of them couldn’t withstand competition and suspended its activity. Currently, in the Republic functioning are 46 banks, 16 of which operate in account of the foreign capital. The new Draft covers all the conditions for regulation of activity of the banks.
Then, was speaking the chairman of Board of the National Bank Elman Rustamov, who said: “Founder of the independent Azerbaijan President Heydar Aliyev attached a particular attention to conducting reforms in all the fields of economy of the country, including banking system, development of banking activity and bringing it in conformity with the international standards. Thanks to this attention in the past years in the banking system were reached significant successes. In a short period, in Azerbaijan were established finance, monetary-credit and banking systems of new type, meeting the principles of market economy”.
At words of the chairman of National Bank, the new Draft will cardinally differ from the previous one and completely meets international standards.
After comprehensive discussions, the Law was adopted.