Share of mortgage lending from bank's internal assets approaches 40% in Azerbaijan

Azerbaijani banks began to expand mortgage lending at their own expense from mid-2021, Report informs, citing a government source.

"While previously, the share of mortgage loans issued through the Mortgage and Credit Guarantee Fund was about 80%, now it has decreased to 61.5%. So, the bank's internal capabilities accounted for 1 billion manats or 38 5% out of 2.6 billion manats of the mortgage portfolio," the source said.

The share of banks in business lending at their own expense is 88%.

"There has recently been no significant increase in the volume of business loans issued through the state line. This is because the allocated funds are similar to depreciation," the source added.