Banking sector also monopolized in Azerbaijan

17 out of 40 banks working in Azerbaijan went bankrupt. It is not a mere accident, since the Central Bank of Azerbaijan only sponsors banks being near to ruling circles. According to Azadlıq, Azerbaijani banking sector monopolization is a dangerous tendency.

Chairman of Economic Innovation Center Chairman Mehemmed Talibli said in his interview to the newspaper that growth in the number of banks working with loss indicates unbalanced macroeconomic management. According to him, indeed, narrowing the financial abilities indicates complication of financial resources management.

“Bankruptcy of 17 banks causes a complicated situation for business subjects and businessmen. Business environment was not beneficial in Azerbaijan as it is. Banking sector appearance in such a complicated situation aggravates the situation for even more. Businessmen’s inability to get credits hinders country’s economic development. Division of subjects into “foreigners” and “their people” certainly, will have a negative effect, it leads to limitation of activities of a number of banks, what is a dangerous tendency,” he said.