IFC to support development of digital financial services in Azerbaijan’s credit institutions

In connection with the execution of works on combating poverty and expansion of economic growth in Azerbaijan, an agreement on support of development of digital financial services in the country has today been signed within the project carried out by the International Finance Corporation (IFC), Report informs citing the IFC.

As part of the cooperation with Swiss State Secretariat for Economic Affairs (SECO), the IFC will cooperate with Azerbaijan Banks Association (ABA). The IFC will give its recommendations to ABA on preparation of progressive digital financial service package, which will contribute to financial inclusivity and modernization.

The cooperation aims to facilitate the process of opening of deposit accounts for small entrepreneurs and individuals in villages and borrowing loans. The project will also help waise public awareness of digital and e-banking products. This issue is of great importance for Azerbaijan  since only 29% of population has accounts in financial organizations, which is significantly lower than the medium indicator on Europe and Central Asia, according to the World Bank’s Global Findex report.

"Technologies have potential to modernize access of Azerbaijani population to financial services," ABA chairman Zakir Nuriyev said.

Aliya Azimova, IFC Country Representative in Azerbaijan, said: "We allow small enterprises and entrepreneurs, especially those engaging in non-oil sector, to expand their business and create new jobs by strengthening access to the financial services. This is one of main factors to prevent poverty and build sustainable economy thanks to development of non-oil private sector."

Azerbaijan has been the IFC member since 1995.