Long-term lending to the economy increased by 30.7%

Residual volume of lending to the economy of the country increased in May, 2012 148.2 million manat or 1.4% to 10,611.5 million manat.

According to the Central Bank of Azerbaijan, the increase in lending over the past 12 months amounted to 1,861.1 million manat or 21.3%. The share of overdue loans in the total exceeded by 1 June this year 6.7% versus 6.3% a year earlier.

Short-term loans increased for the year by 66.9 million manat or 2.3%, while long-term - by 1.798.2 million manats or 30.7%. The balance of the latter amounted to 7656.7 million manat. The share of long-term loans amounted to 72.1% (against 66.9% a year earlier). The share of private banks in total credit investments reached 63.7%, the share of the country's largest International Bank of Azerbaijan for the year declined to 33.6%, the remaining 2.6% accounted for non-banking credit organizations

In the real economy from the banks issued 98.3% of all loans in the financial sector - 1.7%. As of June 1, 2012, individuals were granted loans amounting to 3,733.8 million manat or 35.2% of the total, in the sphere of trade and services - 2,829.3 million manat or 26.7%, in the sphere of energy and natural resources - 261.6 million manat or 2.5%, in construction and property - 952.5 million manat or 9.0%, in industry and production - 613.6 million manat or 5.8% in the sphere of transport and communications - 424.9 million manat or 4.01%, in the sphere of agriculture and processing - 496.6 million manat or 4.7%, etc.

The share of loans in foreign currency amounted to 34.1%. At the corresponding date last year, the share of foreign currency lending to the economy amounted to 38.9%.

According to the regional structure of credit investments, 87.2 per cent of it accounted for Baku. Baku also accounted for 85.1 percent of delinquency. The average lending rate in the country in May amounted to 16.1%.

According to the Central Bank of Azerbaijan, the average rate of manat loans in May were down 0.06% to 15.99%, and the index for loans in foreign currency on the contrary increased by 0.26% to 16.31%. In annual terms manat resources decreased by 0.51 percentage points and currency resources - by 0.17 percentage points. As of June 1 this year, manat loans were issued to individuals under 18.47% per annum and foreign currency loans - by 22.15%. For legal entities, the figures were 14.33% and 13.80% respectively. -15D-