Banking in Azerbaijan in its present form dates back to 1992, but it originated in the second half of the 19th century and continued through the Soviet period.
Banks in Azerbaijan have mandatory reserves, determination of norms, regulations of liabilities between creditors and depositors, and deposit insurance.
[1][2] In Article 19, paragraph 2 of the first Constitution of the Republic of Azerbaijan adopted in the referendum on November 12, 1995, it was reaffirmed that the right to issue and withdraw money from circulation only belongs to the National Bank.
In order to adapt to the updated scientific and theoretical methods and the requirements of modern ongoing processes, the law "On the National Bank of the Republic of Azerbaijan" was adopted on December 10, 2004.
In this regard, the law “On the Prevention of the Legalization of Criminally Obtained Funds or Other Property and the Financing of Terrorism” came into force on date 25 February 2009.