Along with improving the living conditions of the population, the Mortgage and Credit Guarantee Fund (MCGF) is increasing the access to financial resources for businesses.

During 2020, the Fund has taken important measures to provide guarantees and interest subsidies for business loans. Under the mechanism, loans more than AZN 75 million have been be granted to entrepreneurs this year under the guarantee of the Fund. In general, to date, with the implementation of guarantees and interest subsidies, entrepreneurs have received loans up to AZN 145 million. The calculated amount of interest subsidies on these loans is up to AZN 19 mln. 

The average term of guaranteed loans was 29 months, and the interest rate on loans to be repaid by borrowers was 6%. These loans will create more than 2,400 new jobs through the financing of business projects. The actual number of employees in these enterprises is more than 17,000. The guaranteed loans were provided mainly to the food industry, agriculture, trade services, machinery and equipment, as well as the production and processing of other industrial products.

It should be noted that the process of automation of issuing guarantees by the Fund has already been completed and the electronic system has been fully operational. The electronic system allows for full automation of the entire process, obtaining the required documents electronically in real time and decision-making within a short period of time (5 working days). As a result, the automation serves to speed up the process of credit guarantees without the need for additional documents, to further increase the accessibility of the mechanism and to improve the level of service to entrepreneurs.