Central Bank publishes Microfinance Model Strategic Framework

02-05-2025

2 May 2025, Baku:  The Central Bank has published a strategic framework document on the microfinance model.

The document outlines initiatives aimed at increasing the role of the microfinance sector in financing the self-employed and micro, small and medium-sized enterprises, as well as supporting overall economic growth.

The strategic framework document includes priorities for strengthening the legal and regulatory framework for microfinance, introducing the concept of microcredit into legislation, institutional development of non-bank credit institutions, diversifying funding sources, and strengthening risk-sharing mechanisms. The document also reflects priorities for improving the system for identifying self-employed and family-owned businesses.