CBA: Investor demand is key challenge for sustainable financing in Azerbaijan

Investor demand is the main challenge facing Azerbaijani banks in sustainable financing, Central Bank of Azerbaijan (CBA) economist Ali Ahmadzada said at Baku Climate Action Week 2026 (BCAW 2026), Report informs.

"During meetings with banks, we always hear the same answer: 'The main problem is investor demand.' Banks are ready to finance sustainable and green projects, but there are not enough projects that are attractive to banks and, in other words, bankable," he said.

Ahmadzadeh noted that banks consider verification and compliance particularly important for sustainable financing.

"When we talk about sustainable loans, banks need to require additional documentation and verification from borrowers. This is not such a costly process for them. However, awareness is so low that they are reluctant to deal with these issues," he said.