Azerbaijan approves new bill "On payment services and payment systems"

At today's meeting of the Milli Majlis in the third reading, a new bill "On payment services and payment systems" was adopted.

According to Report, the draft law establishes the legal basis for the activities of payment systems, payment services, payment organizations, as well as the legal, organizational and economic basis for regulation and control in this area.

It also establishes rules for safeguarding funds, maintaining accounting and financial reporting, reviewing applications and resolving disputes.

Along with this, the draft contains requirements for the organization and rules of payment systems, settlements, licensing and registration, activities of operators and electronic money systems, opening branches and representative offices of a payment organization and electronic money systems, reflects the criteria for state regulation and control.

The document notes that the payment institution and the electronic money system must have a minimum authorized capital and total capital.

In addition, according to the document, the requirements for the minimum authorized capital and the minimum amount of the total capital of the payment organization and the electronic money system, the procedure for calculating the total capital, as well as its structure and composition are determined by regulatory acts of the Central Bank of Azerbaijan.

According to the new bill, 6 organizations will be classified as payment service providers in Azerbaijan:

- Central Bank of Azerbaijan;

- Banks and local branches of foreign banks;

- Non-bank credit organizations;

- National postal operator;

- Payment organizations;

- Systems of electronic money.

After discussion, the new bill was put to a vote and adopted in the third reading.

source: report.az