OREANDA-NEWS. May 5, 2009. Azerbaijan is expected to make decision on 5-fold growth of deposit amount guaranteed fully by the Azerbaijan Deposit Insurance Fund (ADIF).

Ziyad Samedzadeh, Chairman of the Parliamentary Committee for Economic Policy, said at the next session to be held May 8, 2009 the Parliament will make amendments and additions to the Law on Insurance of Deposits of Individuals.

“Under the Law, the insured amount should not exceed AZN 8,000, while our committee is ready to consider its growth of up to AZN 30,000. We will adopt the amendments at the next parliamentary session,” Samedzadeh noted.

“Today Azerbaijan is only possible country among CIS states, where deposit insurance reaches such high levels. The planned amendments are about the deposit amount, not the deposit interest rate for not to be covered by insurance,” Samedzadeh said. Deposit rate should not exceed the Central Bank’s refinancing rate more than 1.8 fold.

Today ADIF covers deposits of 1.275 million people. Since August 13, 2007 to October 1, 2008 ADIF overall receipts made AZN 8.897 million. For the past three quarters of 2008 individuals’ deposits in the ADIF member banks totaled AZN 1.498 bn, uninsured deposits AZN 268 million, and insured deposits AZN 1.462 bn.

The fully insured deposit level makes USD 37,400 according to the current exchange rate.