BAKU, Azerbaijan, June 25. President of the
Republic of Azerbaijan Ilham Aliyev has approved the country's law
"On financial leasing".
The text of the law was published on the official website of the
President of Azerbaijan.
The law defines the legal bases of financial leasing activity
and the legal, organizational, and economic bases of regulation and
control in this field in order to strengthen the role of financial
leasing activity in development, promotion, and economic
growth.
According to the law, new fines have been defined for violation
of the legislation on financial lease.
Thus, due to failure to submit to the Central Bank of Azerbaijan
(CBA), or incorrect submission of financial lease statements by
individuals (excluding banks, local branches of foreign banks and
non-bank credit organizations) to the CBA, officials will be fined
from 1,000 manat ($590) to 1,500 manat ($882), and legal entities
will be fined from 3,000 manat ($1,760) 5,000 manat ($2,940).
Within 9 months from the entry into force of the law, persons
carrying out leasing activities in the country (including currently
suspending leasing activities in accordance with normative legal
acts) must adapt their activities to the requirements of this law
and apply to the CBA to be included in the relevant register.
During that period, persons who do not comply with the requirements
of the law shouldn't conclude new financial lease agreements,
should not allow the extension of existing leasing agreements, and
should take measures in accordance with normative legal acts to
remove the words "financial lease", "financial leasing", "leasing"
or a combination of these words from the name of the company.
The law enters into force 6 months after its publication.
With another law approved by President Ilham Aliyev, a
number of laws have been adapted to the law "On financial
leasing".
