Overdue Loans Increased by One Third

According to the Central Bank of Republic of Azerbaijan (CBA), the volume of overdue loans by June 1 of this year amounted to 1 billion 313.2 million manats or 6.4% of total loans. In absolute terms, it is more to the beginning of the year by 34.5%, and even taking into account the February devaluation of the manat it does not mean "marking time", because most of the business loans are issued in dollars.

This increased total credit investments of banks and non-bank credit organizations in the country's economy (+ 10.4% YTD), reaching 20 billion 468.1 million manats. Differences in the zeal with a share of the state banks (IBA scandalous, for example) who have invested 7 billion 335.6 million manats (+ 19.4%), representing 35.8% of total loans. The share of private banks is 12 billion 542 million manats (+ 5.6%), or 61.3% of total loans. The rest is the share of non-bank credit organizations (NBCO).

By the way, most of the growth (+ 73.5%) loans accounted for foreign exchange - 8 billion 738.9 million manats. Even in absolute terms, it is close to the national currency loans which are experiencing difficult times (minus 13.2%). This is higher than the share of manat, dollars and euros - 11 billion 729.2 million manats.

By June 1, in the structure of credit investments the most, according to tradition, had to households (consumer credit) - 8 billion 43.4 million manats, or 39.3%, followed by trade and services - 2 billion 912.2 million manats (14.2%). Construction and real estate was 2 billion 814.1 million manats (13.8%), industry and the manufacturing sector - 2 billion 182.8 million manats (10.7%). Agriculture and processing - 935.1 million manats (4.6%), transport and communications - 890.9 million manats (4.4%), energy, chemical and natural resources sector - 276.2 million manats ( 1.3%), others were minor scope. --17D-