Tuesday, 02 January 2024 12:17 GMT

Azerbaijan Plans Minimum Net Stable Funding Ratio For Banks In 2027


Date:

(MENAFN- Trend News Agency) BAKU, Azerbaijan, October 13. Azerbaijan plans to introduce a minimum prudential requirement for banks' Net Stable Funding Ratio (NSFR) in 2027.

This was stated in the Financial Stability Report published by the Central Bank of Azerbaijan (CBA).

According to the report, the Central Bank began collecting quarterly data on banks' NSFR in 2026 to encourage long-term liquidity management in the banking sector.

To this end, the CBA developed a methodology for calculating the NSFR and the relevant reporting forms. The data submitted by banks is being reviewed and verified, while banks are also receiving the necessary methodological support and guidance.

The report also noted an increase in the loan-to-deposit ratio. In the first half of 2026, this indicator rose by 2 percentage points compared with the end of 2025, reaching 80%.

Although both loan and deposit portfolios expanded, the loan portfolio grew 1.5 times faster than the deposit portfolio, contributing to the increase in the loan-to-deposit ratio.

MENAFN13102026000187011040ID1111802039



Trend News Agency

Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.



More Story