Azerbaijan’s Finance Ministry plans to introduce a single medium-term debt ceiling covering all state-owned enterprises. The decision was announced at a ministry board meeting on November 13, chaired by Finance Minister Sahil Babayev.
Azerbaijan’s Ministry of Finance has moved to cap borrowing by state-owned enterprises, raising the issue at a board meeting held on November 13 under the chairmanship of Finance Minister Sahil Babayev. The meeting also addressed bringing state companies’ financial reporting in line with international standards.
Participants discussed improving borrowing procedures and simplifying reporting requirements for state enterprises. Under the new model presented at the meeting, state-owned enterprises’ overall borrowing capacity will be limited to a single aggregate cap set for the medium term.
The ministry also plans to roll out a new scoring system for assessing the formulation, execution and reporting of the state budget starting next year. Babayev gave instructions to prepare the relevant documents and put the new mechanisms into practice.
