OREANDA-NEWS. August 04, 2010. The Central Bank of Azerbaijan (CBA) has placed this year’s 30th issue of short-term notes with state registration number 50103025S at the Baku Stock Exchange (BSE) only by 80% of the announced volume. At that, it reduced more the size of the notes issue and raided speculative requests of investors which demanded last week from the CBA to double profitability of notes.

The BSE informs that on 4 August two investors submitted claims for AZN 13.3 million at par value or 266.004% of the announced issue (AZN 5 million) and 332.505% of really set notes for auction (AZN 4 million).

The orders were submitted at the price of 99.9226% (claims for annual profitability of 1%).

In accordance with CBA’s decision, the orders were satisfied at the cut-off price of 99.9226% (1%) and the weighted average price conformed to it.

The issue was placed for AZN 4 million or 80% of announced volume with meeting the noncompetitive orders for AZN 800,200.  Circulation period of the issue is 28 days and maturity date is 1 September 2010.

Compared to the previous auction, profitability on cut off price did not change - 1% as well as on weighted average price.

In 2009, decline of profitability at on cut-off price made 4.72% and at weighted average price 3.74%. In 2005-10 overall decline of profitability on cut-off price still makes 2.79% and at weighted average price - 4.08%.

In 2010 the CBA registered the issue of notes for AZN 300 million at face value. So far, the Bank has announced about placement of 30 issues in the amount of AZN 161 million, really put up for sale the notes for AZN 139  million and raised AZN 127.57 million or 79.2% of the announced volume.

In 2009, CBA registered issue of notes in the amount of AZN 5 bn, announced on placement of 51 issues in the amount of AZN 579 million (11.58% of planned issue), put really up for sale notes in the amount of  AZN 363 million at face value (7.26% of the year target) and raised AZN 286.2 million at face value.

In 2008, CBA planned issue of its notes in the amount of AZN 5 bn through sale of 52 issues in the amount of AZN 2.49 bn (49.81% of the planned issue). Of them CBA put  up for sale the notes to the sum of AZN 1.845 bn at face value (36.91% of the 2008 target) and raised AZN 1.616 bn at face value.

In 2007, CBA planned issue of its notes in the amount of AZN 3 bn and raised AZN 1.845 bn through sale of 61 issues.