Sberbank intends to allocate AzMeCo 1.5 billion dollars
Sberbank of Russia intends to finance projects of Azerbaijan Methanol Company LLC (AzMeCo) totaling $ 1.5 billion as part of a memorandum of cooperation. According to a press release of the bank, the document was signed during the XVIII International Economic Forum (SPIEF) .
Cooperation of AzMeCo and Sberbank provides refinancing methanol plant in the Karadag district of Baku for $ 450 million and several smaller projects. This long-term project financing to commercial retail space in Moscow , long-term project financing for the construction of a methanol plant in southwestern Russia and a number of project finance transactions medium and large businesses in the Crimea.
The document was signed for five years with the possibility of extension and establishing formal pre-contractual relations. Specific projects will be governed by separate agreements. The memorandum does not restrict AzMeCo in the cooperation with other banks.
AzMeCo is an international company headquartered in Baku and presence in Russia, the Netherlands, Uzbekistan, Afghanistan and Turkey. This is the only owner of the methanol plant in Azerbaijan, certified according to international standards. AzMeCo investment in the plant was approximately $ 500 million. The gas supplier for AzMeCo is the State Oil Company of Azerbaijan. - 17D-
Economics
-
Azerbaijan's financial standing continues to strengthen as the country's foreign currency reserves have surged to $71 billion as of January 1, 2025, according to the Ministry of Finance. This figure, which includes reserves held by the State Oil Fund of Azerbaijan (SOFAZ) and the Central Bank of Azerbaijan (CBA), far exceeds the nation's external debt, which stands at a fraction of its reserves, specifically nearly 14 times less. This robust reserve position reflects Azerbaijan's fiscal stability and the government’s strategic economic management.
-
According to operational data from the Ministry of Energy of Azerbaijan, in January 2025, the country produced 2.3 million tons of oil, including condensate, and 3.9 billion cubic meters of gas.
-
The State Oil Company of Azerbaijan (SOCAR) has opened a representative office in Albania and is set to launch a specific project this year, the Albanian company "Albgaz" announced.
-
"Azerbaijan is currently among 54 middle-income countries," said Shahmar Movsumov, head of the Economic Affairs and Innovative Development Policy Department of the Presidential Administration, during the presentation of the World Bank’s World Development Report 2024 in Baku on February 10.
Leave a review