The Financial Markets Supervisory Authority (FIMSA) has commented on the reports about consolidation of Rabitabank and Bank Respublika.
According to FIMSA, it supports steps taken by banks for increase of sustainability of capital: “Measures are being taken for increase of sustainability of capital within the framework of restructuring of banking sector. Therefore, there are initiatives such as bond issue, transformation of liabilities into capital and consolidation with other banks. The FIMSA supports the steps taken by banks for increase of sustainability of capital and controls the prudential implementation of the processes”.
On October 16, several sources in the banking sector told APA-Economics that Rabitabank and Bank Respublika are conducting negotiations on consolidation.
According to the source, both banks have merged their ATMs.
Chairman of Rabitabank’s Supervisory Board Zakir Nuriyev told APA-Economics that the bank is open for negotiations on consolidation: “However, no negotiations are underway on consolidation”.
Bank Respublika’s spokesman Ramil Bayramov said he was unaware of the consolidation.