OREANDA-NEWS. November 09, 2010. Creation of Unified Economic Zone of Caspian Sea was discussed in the framework of III Baku International Conference of CIS member states “Financial institutions - the basis of structural modernization of the economies of CIS member states”, reported the press-centre of IBA.

Azerbaijan has completed the transition period and has entered a phase of modernization of its economy. About this yesterday said the head of the International Bank of Azerbaijan (IBA), the First Vice-President of Finance and Banking Council (FBC) of CIS Jahangir Gadjiyev at the opening of Baku 3rd International Conference of CIS member states “Financial institutions - the basis of structural modernization of the economies of CIS member states”. “The economy of Azerbaijan is one of the fastest growing in the world and leads the CIS in the rate of GDP. Today, the structural modernization of Azerbaijan’s economy through innovation is most obvious. Solving this problem needs “long money” and in this recent performance and reliability of the banking sector significantly increased, in what is a significant part of IBA”, - said Gadjiyev (“Novosti-Azerbaijan”).

According to him, there is a need to increase the capitalization of the banking sector and the availability of funding sources in perspective.

The head of the IBA also noted the need to develop a plan to improve the financial and banking system of Azerbaijan, which shall conform to the trends of development of the state economy.

Moreover, according to him, the International Bank of Azerbaijan leaded by him, for 18 years of existence has become the largest financial institution of the Caucasus region. “Even during the crisis, the image of the IBA has continued to strengthen. We were able to maintain positive dynamics on all indicators of banking activities”, - Gadjiyev said.

In his speech he emphasized that today, the Bank financed a strategically important infrastructure projects in Azerbaijan and the Bank's branches abroad helped to attract financial resources. “IBA financed about 80 projects, 50 of them - large and medium. They cover such areas as construction, transport, trade, ICT and others. For example, we have funded the construction of 24 turbine units for the production of wind energy, as well as production of methanol, that is, the bank contributes to the development of chemical industry in Azerbaijan. In addition, we participate in international and regional projects related to the Caspian Sea. I hope that the IBA will continue to maintain the leading position in the banking sector of Azerbaijan”, - concluded Gadjiyev.

In its turn, Chairman of the Coordination Council of CIS FBC, the adviser of the Executive Secretary of the CIS Anatoly Kazakov said at the 3rd International Conference of FBC in Baku, that the FBC CIS currently makes elaboration of hub cluster Eurasia. According to him, the design is still at an early stage. This work is carried out in the framework of ensurance of innovative development of CIS. “For this purpose we have begun cooperation with the European Union to use its experience in 5th and 6th stages of innovation development”, - said Kazakov.

He also noted about the need to increase the share of the national currencies of CIS countries in cross-border trade. If earlier the share of national currencies of CIS countries in mutual settlements was only 5%, while the remainder was fallen on U.S. dollar and Euro, but today this figure is already 20%, and it will grow further”, - said Kazakov. Referring to the idea of introducing its own accounting currency of CIS, including the “Evraza”, proposed by the President of Kazakhstan Nursultan Nazarbayev, he noted that the consideration of it is deferred to subsequent stages.

As noted Kazakov, now FBC is also working on establishment of regional economic centers in Almaty, Baku and Moscow.

According to him, FBC CIS also supports the need of establishment of a unified economic zone of the Caspian Sea. According to him, the International Bank of Azerbaijan held talks on the establishment of an Iinternational Financial Center in Baku, emphasizing that it depends on the banks-founders of FBS CIS. Kazakov also advocated the creation of a unified Customs Union in the Caspian Sea, as the Caspian region is now the center of major transportation and financial flows. He noted, that a unified Customs Union of the three countries (Russia, Belarus, Kazakhstan) has already established and the creation of a similar structure is possible in the Caspian Sea.

Yesterday in Baku within the framework of 3rd International Baku Conference of CIS “Financial Institutions - the basis of structural modernization of the economies of the CIS member states” agreement on cooperation was signed between the International Bank of Azerbaijan and “ASB Belarusbank” OJSC. The agreement is signed by the Head of IBA Jahangir Gadjiyev and Deputy Chairman of the Board of “Belarusbank” Gennady Gospodarik. The document envisages close cooperation in the banking sector, as well as the signing of transnational contracts. As noted Gadjiyev, the bilateral relations between Azerbaijan and Belarus are developing dynamically, as evidenced by the mutual visits of heads of states.

Signing of the Memorandum between the International Bank of Azerbaijan and Coinstar Eurasia Limited to launch the project Cash-to-card was also held in the framework of 3rd International Conference of FBC. “Today, we drew a line under the next stage of this process. And from December 2011, making of payments under this system will begin. “This is the first such project in CIS”, - said Jahangir Gadjiyev, head of IBA. According to him, the IBA and Coinstar Eurasia have been working long on this project. The agreement provides for carrying out of cross-border transactions, money transfers through bank cards issued by IBA. Coinstar Eurasia and Processing Center AzeriCard owned by the IBA developed a technology platform for the transfer of funds to bank cards.