In light of global economy and the latest developments in the region, the Central Bank of Azerbaijan (CBA) is continuing its purposeful activities in order to maintain macroeconomic stability as well as help economic growth and national economy diversify, the CBA told APA-Economics.

Measures to expand economic subjects’ access to financial services, responsible crediting, and reduce loan interest rates are continuing.

During its meeting on 13 Aug. 2015, the CBA Board of Directors adopted several decisions in order to help optimize operational expenses of banks and stimulate reduction of interest rates by reducing the cost of financial resources. The CBA has also adopted decisions so as to increase corporative social responsibility of credit institutions and promote presentation of products that are suitable to the financial situation, needs, and goals of consumers.

Under the decision of the Central Bank's Board of Directors, fees of interbank payment services via AZIPS (Azerbaijan Interbank Payment System) real time gross settlement system were decreased by 2 times. Tariffs on cash outflows were also changed. 0.15% tariff applied to banknotes of 50 and 100 manat denominations was cancelled, second and subsequent cash inflow and outflow rate within a day was set as 0.05%.

The Central Bank's Board of Directors has also approved "Methodological guidance on responsible lending in banks and non-bank credit institutions”.

The Guidance gives recommendations to the credit institutions on determination of appropriateness of consumers’ monthly debt burden with their incomes, as well as assessment of appropriateness of credit conditions with consumers’ needs and goals. In general, application of Methodological Guidance will serve to prevent excessive borrowing developing responsible crediting in credit institutions and responsible borrowing habits of consumers.

Adoption of Methodological Guidance is an important step towards application of an integrated approach in consumer loaning.