President of Azerbaijan expands powers of Guarantee Fund

President of Azerbaijan Ilham Aliyev has approved a bill amending the Law “On Public Debt,” adopted by the Milli Majlis on July 14.

According to Report, the amendment provides for the settlement (repayment) of obligations on public debt and guarantees through the Guarantee Fund in cases where loans issued from the state budget are not repaid by recipient organizations.

This amendment will allow the Guarantee Fund to be used not only for obligations related to public debt and guarantees but also for covering unpaid budget loans, turning it into a more flexible instrument.

At the same time, the draft also includes amendments concerning the sources of the Guarantee Fund, in connection with the preparation of a bill on changes to the Law “On the Budget System.”