Baku: The housing finance model formed in Azerbaijan is based on the principle of balancing social inclusivity with financial sustainability and relies on balancing market mechanisms with state support, First Deputy Finance Minister Anar Karimov said during the event titled 'A New Deal for Housing Finance' organized today in Baku within the framework of the 13th session of the World Urban Forum (WUF13), APA-Economics reports.
According to Azeri-Press News Agency, Anar Karimov emphasized that housing policy is no longer limited only to construction and social welfare, highlighting its strategic importance for human potential development, social stability, and inclusive economic growth. The model he described is rooted in balancing social inclusivity with financial sustainability, leveraging both market mechanisms and state support.
The deputy minister also discussed significant reforms in digitalizing housing finance processes, noting that application, evaluation, and approval are conducted entirely through electronic platforms. He acknowledged the demand for housing surpasses the current supply and mentioned ongoing efforts to implement new digital solutions for more transparent and socially oriented distribution mechanisms. Additionally, he spoke about extensive reconstruction work in liberated territories and the gradual resettlement of populations in these areas.
During the event's first session, housing provision was highlighted as crucial from a macroeconomic perspective. Subsequently, international financial institution representatives addressed the challenges facing existing housing finance systems, particularly accessibility and system limitations.
It was noted that low- and middle-income countries struggle with expanding housing access, necessitating more flexible and innovative approaches. Panel discussions involved city leaders, development bank representatives, and experts exploring effective coordination of fiscal policy, land management, planning systems, and financial regulations. They also discussed expanding public-private financing mechanisms, land-based financing, guarantee instruments, rental housing funds, and community financing tools.
The session ended with an interactive plenary discussion, where participants exchanged views on recognizing housing finance as a fundamental pillar of sustainable development, overcoming current system limitations, and introducing new approaches applicable across countries.