Azernews.Az

By Nigar Abbasova

Azerbaijan Deposit Insurance Fund (ADIF) has so far paid compensations worth over 261.4 million manats ($ 162.6 million) to depositors of the recently closed Dekabank, Kredobank, Zaminbank, Parabank, Caucasus Development Bank, AtraBank, Bank of Azerbaijan, Ganjabank and Texnikabank.

Acceptance of applications from insured depositors of DekaBank, KredoBank, Zaminbank and Parabank began on August 1, 2016 and the payment of compensations has been carried out since that day.

Compensations to the depositors of Caucasus Development Bank and AtraBank are being paid starting from August 23. Payments are being carried out at the branches the banks.

Depositors of Caucasus Development Bank receive compensations at the bank’s main office. Payment of compensations to insured depositors of Bank of Azerbaijan has been carried out since January 29, 2016 at branches of Muganbank and Rabitabank, and since September 8 at ADIF’s office.

Clients of Ganjabank receive compensations since February 4 at the branches of Rabitabank, Unibank and Kapital Bank.

ADIF launched payment of compensations to depositors of Texnikabank on February 12.

The licenses of all the nine banks were revoked in 2016, as their assets were not classified in line with the law, and they didn’t create adequate reserves and their aggregate capital did not meet the minimum requirements.

Deputy CEO of the Central Bank of Azerbaijan (CBA) Aftandil Babayev earlier said that the closure of non-viable banks in the country is aimed at mitigating the influence of unhealthy credit organizations on the economy of the country.

Some 33 banks are currently implementing their activities in the country.

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