BAKU, Azerbaijan, May 21. Modern housing
finance frameworks have evolved significantly beyond basic
structural construction, operating as highly strategic instruments
to drive human capital development, secure social stability, and
catalyze macroeconomic growth, Azerbaijan's Deputy Minister of
Finance Anar Karimov said, Trend reports.


He made the remark during a high-level session titled "A New
Deal for Housing Finance" held within the framework of the 13th
session of the World Urban Forum (WUF13) in Baku.


According to him, a progressive housing policy must
simultaneously guarantee affordability, social inclusion,
environmental sustainability, and long-term financial viability. He
pointed out that structural housing finance directly shapes the
future fabric of society, dictating aggregate social well-being and
expanding wealth-building opportunities for young families.


Karimov reported that Azerbaijan has successfully engineered a
resilient housing finance matrix that seamlessly balances direct
social safety nets with the strict macroprudential sustainability
of the broader financial system. He highlighted that the
state-backed Mortgage and Credit Guarantee Fund has supported more
than 58,000 residential mortgage loans and executed approximately
9,000 rent-to-own agreements, pushing the fund’s total assets under
management past the $2 billion threshold.


According to the deputy minister, this financing model
strategically blends targeted state budget support with diversified
capital market instruments, including the regular issuance of
corporate and sovereign bonds on the domestic market. He added that
subsidized concessionary mortgage programs systematically cover
highly vulnerable population segments, including refugees,
internally displaced persons (IDPs), military personnel, and
public-school educators.


Karimov emphasized that the Ministry of Finance directs
substantial attention toward the comprehensive digitalization of
all housing finance workflows. This architectural transition
incorporates fully automated, end-to-end electronic loan
application pipelines and real-time data processing synchronized
across integrated e-government platforms.


He concurrently detailed the operational activities of the State
Agency for Housing Development (MIDA), which actively executes
large-scale residential projects to provide subsidized housing
stock to eligible citizens. Furthermore, the deputy minister
highlighted the monumental "Great Return" state program, noting
that Azerbaijan has channeled over $10 billion since 2022 into the
physical reconstruction and economic rehabilitation of its
liberated territories.


The residential housing sector exerts a powerful multiplier
effect across the broader national economy, directly stimulating
industrial production, accelerating local employment loops, and
driving municipal infrastructure and modern urban expansion,
Karimov explained.


In conclusion, Karimov outlined Azerbaijan's accelerating
deployment of green financial architecture, including the
development of a national green taxonomy, the issuance of green
bonds, the integration of distributed renewable energy sources into
residential grids, the digitization of land cadastres, and the
enforcement of ecological construction standards. Housing finance
represents far more than a simple metric of square meters; it
constitutes the foundational core of human potential development
and resilient, sustainable urbanism, he concluded.


Today marks the fifth day of WUF13 in Baku.







The first day included a ministerial meeting dedicated to the
New Urban Agenda, a ministerial roundtable, assemblies for women
and civil society, business sessions, and discussions on urban
prosperity. An official ceremony marking the raising of the UN and
Azerbaijani flags also took place.


The second day stood out for the inaugural Leaders' Summit,
featuring high-level discussions on the global housing crisis,
urbanization policy, and urban resilience. Concurrently, the
opening of the Mexico City pavilion took place, serving as a
significant platform for expanding cooperation with the Latin
American region and preparing for WUF14.


The third day of WUF13 featured a comprehensive program of
events covering the global housing crisis, the formation of safe
and inclusive cities, climate resilience, artificial intelligence
and urban governance, green urbanization, social equity, and
sustainable transport.


One of the highlights of the third day was the signing of a
sister-city memorandum between the Azerbaijani city of Shusha and
the Turkish city of Trabzon.


The fourth day of WUF13 featured a broad program of events
dedicated to urbanization, climate change, inclusive urban
development, housing policy, and sustainable governance.


One of the important events of the UN Special Program for the
Economies of Central Asia (SPECA) Cities Forum, held on the fourth
day, was the announcement of Almaty’s official accession to the
“Declaration of Intent on the Establishment of the SPECA Smart
Climate-Resilient Cities Forum.”


Also, for the first time in WUF history and at Azerbaijan’s
initiative, the “WUF13 NGO Forum: Global Partnership and
Decision-Making” was held.


WUF13, which has attracted more than 40,000 registered
participants from 182 countries, will continue until May 22. Held
under the theme “Housing the world: Safe and resilient cities and
communities,” the forum brings together governments, international
organizations, experts, and representatives of civil society to
strengthen global cooperation in the field of sustainable urban
development.