CBA: Deposit portfolio of Azerbaijani banks grew by 30% in 2 years

The deposit portfolio of banks in Azerbaijan has increased by 30%, or 3.7 billion manats (approximately $2.2 billion), over the past two years, Fuad Isayev, Executive Director of the Central Bank of Azerbaijan (CBA), said in an interview with Report.

The director mentioned that there is also a steady increase in the volume of deposits of the population in banks: "Over the past two years, the deposit portfolio of banks has grown by 30%, or 3.7 billion manats ($2.2 billion), reaching 16.3 billion manats (approximately $9.6 billion). Encouragingly, alongside the absolute growth of deposits, there has also been a positive trend in the number of new depositors. As a result, in 2025 this figure increased by 29%, or 43,600 people, reaching 194,100. One of the key indicators of growing confidence in the banking sector is the decline in dollarization trends. By the end of 2025, the dollarization of banks' loan portfolios and individuals' deposit portfolios stood at 14.2% and 31.5%, respectively - historic minimum levels."

According to Isayev, by the end of 2025, the capital adequacy ratio of the banking sector was nearly twice the minimum regulatory requirement, which indicates strong capitalization of the sector: "During the first two years (2024 and 2025) of the Financial Sector Development Strategy 2024–2026, banks" assets grew by more than 16%, exceeding 57 billion manats (over $33.5 billion). The ratio of banks' assets to GDP increased by more than 4 percentage points during the current strategic period, surpassing 44%. The sector's loan portfolio grew by 30% over the past two years, exceeding 30 billion manats (over $17.6 billion). The total volume of business loans issued by banks rose by 28% from 2004 through 2025, reaching 16.1 billion manats (approximately $9.5 billion)."