By late 2006, the German KfW bank will conduct final expertise of the Azeri draft law “On deposit guarantee”, the head of the KfW Baku Office, Natik Abdulayev, told Trend.

After the law comes into force, KfW will allocate a credit of 5 million euro for the formation of an initial chartered capital of the Deposit Guarantee Fund.

The Deposit Guarantee Fund is a legal entity and a non-commercial organization. A Trustee Council is to be set up to manage the Fund’s activity and an Executive Director appointed.

The draft law envisages a mandatory participation of Azerbaijani banks in the Deposit Guarantee Fund. The entrance fee for the banks is set at 10 000 manats.