IFC Helps Azerbaijan Develop Efficient Credit Information Sharing System
Baku, Azerbaijan, April 30, 2013—
IFC, a member of the World Bank Group, is helping Azerbaijan develop an efficient credit reporting system to ease access to finance for individual borrowers and small businesses and boost private sector development.
Starting April 30, IFC and local stakeholders are hosting a two-day conference in Baku to increase awareness of credit information sharing and facilitate the exchange of knowledge, ideas, and best practices.
An efficient credit information system helps financial institutions make informed decisions, helping borrowers who have previously been under-served due to a lack of credit information.
“The creation of a private credit information bureau will be an important step in strengthening the country’s financial institutions and mitigating risks, and the advice we have received from IFC has helped guide us through this process,” said Rauf Akhundov, the head of Azerbaijan’s Private Credit Bureau Steering Committee. “This conference and knowledge exchange provides us with yet another opportunity to take advantage of international experience in building and operating a credit bureau.”
The conference brings together representatives from the Presidential Administration of Azerbaijan, the country’s central bank, local financial institutions, telecommunications and utilities companies, and experienced credit bureau operators from Germany, Italy, Iceland, Singapore, South Korea, Turkey, and the United States.
“International experience confirms that commercial credit bureaus are well equipped to meet the rising demands of today’s global marketplace,” said Aliya Azimova, IFC Representative in Azerbaijan. “A well-developed and effective credit information sharing system with new products will help financial institutions in Azerbaijan increase lending, thereby supporting private sector development.”
The initiative is part of the IFC Azerbaijan and Central Asia Financial Markets Infrastructure Project, supported with finds from the Swiss State Secretariat for Economic Affairs (SECO).
Azerbaijan became a member of IFC in 1995. Since then IFC has invested almost $393 million and mobilized nearly $73 million from other lenders in 67 projects in financial services, infrastructure, and manufacturing.
IFC has also implemented advisory projects focused on private sector development. In addition, the State Oil Fund of the Republic of Azerbaijan (SOFAZ) has committed $350 million to three funds managed by IFC Asset Management Company that invest alongside IFC in private sector projects in emerging markets.
IFC, a member of the World Bank Group, is the largest global development institution focused exclusively on the private sector. We help developing countries achieve sustainable growth by financing investment, mobilizing capital in international financial markets, and providing advisory services to businesses and governments. In FY12, our investments reached an all-time high of more than $20 billion, leveraging the power of the private sector to create jobs, spark innovation, and tackle the world’s most pressing development challenges. For more information, visit