OREANDA-NEWS. July 04, 2011. Moody’s International Ratings Agency thinks that, privatization of International Bank of Azerbaijan will positively influence to the bank’s rating, Agency said. As "APA-ECONOMICS" reports, it was reflected in the statement of the agency thereof, reported the press-centre of IBA.

According to the statement, this process will cause increase of transparency and free power, improvement of corporative management and strengthening of bank’s capitalization. At the same time, the privatization will support the improvement of competitiveness dynamics in banking sector and strengthening of total financial indicators of banks.

Consultants involved in privatization process of the IBA will make recommendations on conditions of privatization, support legally and technically, assess the state’s share in bank’s authorized capital and help to involve the strategic investors. We would like to note that the consortium consisting of “PricewaterhouseCoopers Audit Azerbaijan”, “Salans UK Ltd.” and “Rothschild & CIE” has been selected as a consultant.

Agency states that the privatization will be a long-term process and it will not be completed in 2011. According to Agency’s expectations, bank’s capital stock will considerably increase as a result of emission of shares.

Being Azerbaijan’s largest bank IBA has dominating position in banking sector. 42% of total volume of local banking system assets, 43% of credits, 36% of deposits, including 24% of population deposits fall on the share of this bank.

We would like to note that, currently, IBA’s 50,2% of shares belong to Azerbaijani Government and 49,8% belong to private natural and legal persons.