Azerbaijan’s largest bank secures landmark bond deal in Türkiye

The International Bank of Azerbaijan (ABB), which caters to 2.2 million customers, completed the country’s first bond acquisition in Türkiye.

According to Azerbaijan National Depository Center (NDC) Chairman Aghahuseyn Hudaverdiyev, the initial purchase consisted of 940 government bonds valued at 5,000 manats (approximately $2,941) each, totaling $2.65 million, business-focused dunya.com reported on Monday.

Hudaverdiyev emphasized that this was only the first step in a larger initiative, stating “This pilot operation was carried out with the support of the central organization. As a result, ABB-Invest used its own funds to acquire government bonds denominated in Turkish lira, with a two-year circulation period, an annual interest rate of 36%, and a nominal value of 100 Turkish lira.”

Financial powerhouse in Azerbaijan

ABB, established in 1992, is Azerbaijan’s largest wholly state-owned financial institution.

With 66 branches and 13 sub-branches across the country, ABB serves 2.2 million individual customers and employs more than 3,000 staff. The bank‘s total assets exceed $8 billion.

Meanwhile, Turkish companies have invested $12 billion in Azerbaijan, while Azerbaijani investments in Türkiye exceed $20 billion. Leading Azerbaijani companies such as SOCAR and Pasa Group have concentrated their investments in energy, finance, and tourism.