Azerbaijan Deposit Insurance Fund began the process of payment of compensatory pay-offs for the insured deposits of “Demirbank” OJSC since February 1, 2018.
Depositors will be able to receive their compensation in 26 branches of “Kapital Bank”, APA-Economics reported.
The license of Demirbank OJSC was revoked on Dec. 23 due to the discrepancy between the total capital of the bank and the minimum requirement established for banks, and the adequacy ratio of the aggregate capital is lower than three percent stipulated by the legislation.
Currently, the upper limit of the interest rate on insured deposits in foreign currency is 3%. The maximum level of the annual interest rate for insured deposits in national currency should not exceed 15%. According to the law “On deposit insurance”, the deposits of the population, the annual interest rate for which does not exceed the maximum level established by the Board of Trustees of the Deposit Insurance Fund, will be insured within three years, regardless of the amount of the deposit.