The Milli Majlis Committee for Economic Policy, Industries and Enterprising had four agenda items to go through at the meeting it held on 9 December.

First, the Committee Chairman Tahir Mirkishili congratulated the meeting participants on the historic victory of the triumphant Azerbaijani Army in the 44-day Patriotic War – the victory, he added, which our state had secured in the military, political and diplomatic arenas under the guidance of the President and Commander-in-Chief of Azerbaijan Ilham Aliyev. The enemy’s spine had been broken in Garabagh; a considerable portion of the occupation army of Armenia had been annihilated.

Mr Mirkishili then emphasised the immense role of the economic potential of Azerbaijan in this triumph; he remarked that the economic prowess had been transformed into the military might that had allowed us to prevail.  

‘We, the Milli Majlis, a legislative body, should exercise initiative whilst facing the challenges we have before us – namely, those of passing new laws and adjusting the effective ones, and of developing new mechanisms of their enforcement. I am certain that we shall continue doing all within our power to strengthen the Azerbaijani State and to achieve the goals set by the President of the country,’ the Committee Chairman said.

Then, the Chairman of the Central Bank of the Azerbaijan Republic Elman Rustamov who was attending the meeting commented on the draft amendments (both in the first reading) to the laws ‘On the Complete Insurance of Deposits’ and ‘On the Insurance of Deposits’. But first, Mr Rustamov congratulated the assembled on the sacred Victory over the Armenian occupiers. He said then that the well-thought-out political course pursued over the 17 years past had provided for the restoration of the territorial integrity of Azerbaijan. Now, the state has in hand the serious task of restoring the de-occupied provinces, and the financial sector ought to play a profoundly serious role in that process. Then, the CBA Chairman informed the MPs in detail of the activities of the Deposit Insurance Fund; he also advised them that the complete insurance of deposits introduced in March 2016 had played a significant part in the maintenance of financial stability, the complete endurance of the banking system of the country and in boosting the depositors’ confidence in the banking system – all to the backbeat of the current global economic processes.

It was said then that the effective term of the Law that had held in force for 4 years and 9 months now had been extended twice and that the latest extension period had expired on 4 December. Meanwhile, the tabled Bill envisages a term extension for the Law until 5 April 2021.

The international experience clearly shows the importance of having an effective strategy of an exit from a complete deposit insurance system. In this connection, the Deposit Insurance Bill contemplates the increase of the covered retail deposit compensation from AZN 30,000 to AZN 100,000 (to the equivalent of AZN 1,000 for foreign-currency deposits) effective 5 April 2021. It is also proposed to provide insurance coverage of the physical persons engaged in unincorporated business enterprising (with the sum of compensation to be set at AZN 20,000).

Next, Mr Rustamov remarked that the funds of unincorporated business operators kept in banks were insured in several developed and developing countries including the G20 members, Kazakhstan, Russia, Poland, Malaysia, South Korea and Estonia.

In addition, the insurance of complete physical-person notary deposit account balances is contemplated in the new Bill. The purpose of this proposal is to increase the protection of financial service consumers’ rights in notarised sales-and-purchase transactions – especially, in those that are concerned with residence sales and purchases.

The Deputy Chairman of the Milli Majlis Committee for Economic Policy, Industries and Business Enterprising Ali Masimli and the MPs Vahid Ahmadov, Vugar Bayramov, Mahir Abbaszade, Ziyad Samadzade, Rufat Guliyev, Aydin Huseynov and Mazahir Efendiyev stated their views upon the Bills and made their relevant proposals. All the speakers underscored the glorious victory of the Azerbaijani Army led by the Commander-in-Chief Ilham Aliyev. The meeting participants who had taken the floor also discussed thoroughly the work that there is to be carried out in our country due to the new realia established in the region. Relevant proposals were put forth, besides.

The Head of the Economic and Social Legislation Department of the Milli Majlis Staff Muhammad Bazigov presented the draft amendments to the Law ‘On Accountancy’ at the committee meeting. Mr Bazigov told its participants that the amendments were meant to streamline accountancy  maintenance and financial reporting in commercial enterprises. The Bill is devised to introduce the same accountancy and financial reporting regime for the medium and large enterprises.

The MPs commended on the amendments contained in the Bill.

The candidature of Vugar Tapdig oglu Gulmammadov as Chairman of the Chamber of Accounts of the Azerbaijan Republic was considered at the end of the committee meeting. Tahir Mirkishili who briefed the participants on the subject mentioned that the audits by the Chamber of Accounts had made certain that the funds amounting to AZN 130 mn had been recovered for the State Budget over the past few years. The work of this organisation manifests dramatic changes qualitatively. All the information requests submitted to the Chamber of Accounts are responded to in a timely manner. The State Audit magazine has been published since 2017. Besides, there is the evident high professionalism behind the documents submitted to the Milli Majlis about composition and execution of the State Budget, and so forth. Vugar Gulmammadov can take a credit for the improvements made in all those processes. It being in keeping with Article 12 of the Law of the Azerbaijan Republic ‘On the Committees of the Milli Majlis of the Azerbaijan Republic’, the parliamentary Committee for Economic Policy, Industries and Enterprising finds it expedient to approve Vugar Tapdig oglu Gulmammadov as a candidate Chairman of the Chamber of Accounts of the Azerbaijan Republic.

Mr Gulmammadov thanked the Committee members for their confidence after they had supported his candidature.   

Following the exchange of opinions that went at the meeting, it was recommended that all the items considered during it should be tabled for deliberations at a plenary sitting of the Milli Majlis.

The Press and Public Relations Department
The Milli Majlis