Azerbaijan economic and financial sector development

Azerbaijan is experiencing shifts in its financial and regulatory landscape. In the banking sector, consumer credit has shown rapid growth, outpacing business loans as citizens use credit to manage living costs and personal needs. Simultaneously, the insurance market has expanded significantly, with the national insurance market approximately doubling in size over the last four years due to Central Bank reforms and state strategic goals.

Efforts to modernize the economy include new regulations to simplify the state cadastral process for unregistered real estate through the Real Estate Registry and Cadastre Information System (DERKİS). To support business development, the European Investment Bank is collaborating with local institutions to provide 12 million euros in funding to expand long-term credit access for micro, small, and medium-sized enterprises. Business loans continue to represent a major portion of the total credit portfolio, and economic diversification is creating new opportunities for international cooperation in infrastructure and renewable energy.