The Azerbaijan Microfinance Association, an organization with approximately 31 microfinance institution members, is considering the introduction of an agricultural guarantee fund, which would guarantee up to 80 percent of an entrepreneur’s loan. Risk for loans will be divided 80 percent to the fund and 20 percent to the lending institution. The maximum loan guarantee has been set at AZN 100,000 (USD 127,200). No schedule for the possible introduction of the fund has been released.
By Natalie Baer, Research Associate
About the Azerbaijan Microfinance Association: The Azerbaijan Microfinance Association (AMFA) is an organization with approximately 31 members, all of which are microfinance institutions (MFIs) in Azerbaijan. AMFA started informally in the mid-1990s to help meet the economic requirements of internally displaced persons (IDPs) and began a formalized alliance of what would become AMFA in 2001. The organization utilizes in an effort to “advance the interests of the microfinance community” in Azerbaijan. Its three “strategic pillars” are: “innovative products and services, continuing education and industry expertise.” AMFA also offers services to improve financial management at medium-sized and larger institutions.
Sources and Additional Resources:
[1] Azerbaijan prepares concept of agricultural credit guarantee fund, http://en.trend.az/capital/business/1998649.html
MicroCapital Universe Profile: Azerbaijan Microfinance Association
https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Azerbaijan+Microfinance+Association+%28AMFA%29
MicroCapital story, February 7, 2012, “MICROCAPITAL BRIEF: DemirBank of Azerbaijan to Borrow $8m from Microfinance Enhancement Facility, Co-Managed by responsibility” https://www.microcapital.org/microcapital-brief-demirbank-of-azerbaijan-to-borrow-8m-from-microfinance-enhancement-facility-co-managed-by-responsability/
MicroCapital story, January 26, 2012, “MICROCAPITAL BRIEF: Incofin Rural Impulse Fund II, Triple Jump’s ASN-Novib Microkredietfonds Acquire Shares of AzerCredit of Azerbaijan” https://www.microcapital.org/microcapital-brief-incofin-rural-impulse-fund-ii-triple-jumps-asn-novib-microkredietfonds-acquire-shares-of-azercredit-of-azerbaijan/
Browse the MicroCapital Universe and add your entry to the wiki at: https://www.microcapital.org/microfinanceuniverse/
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