The implementation of the “VAT refund” mechanism in e-commerce is essential.
This was stated by Zeynal Karimzade, a member of the Board of the “Azerbaijan Fintech Association” (AzFina) Public Union, at the event held in Baku on the topic “Azerbaijan’s Digital Finance Agenda”.
According to him, this issue has been discussed with the Central Bank of Azerbaijan at various times: “Some of our proposals are already in the implementation stage, while others are still pending as they require certain changes within the legislative framework. I believe that these projects can significantly contribute to the further growth of the fintech and e-commerce market. The “Multipost” project exists, and its main advantage is that it serves to reduce commission costs for entrepreneurs. “Embedded finance” solutions will allow large retail chains to offer alternative financial services and create integrated financial tools for their customers. This will lead to both increased customer loyalty and the formation of new business models. B2B lending, in turn, can create alternative financing tools for entrepreneurs, paving the way for a new direction in the fintech market.
Another important project is the “Click-to-Pay” model. Currently, work is underway on artificial intelligence agents in this direction, and in general, the formation of new standards for biometric payments is expected. We have been keeping these proposals on the agenda for several years now, and we hope to see their implementation in the coming years.”
“Also, the full integration of the “VAT refund” mechanism into e-commerce is one of the important issues. As you know, today, in many cases, citizens cannot benefit from that program during online shopping. Changes in this direction could provide an additional stimulus for the development of e-commerce. I would also like to support the opinions expressed by our colleagues regarding the media and investment environment. Attracting foreign investments and the interest of investors in the country is extremely important. Our organization is a company built from scratch in Azerbaijan and developed mainly through foreign investments. Today, we continue to grow through various investment rounds.
However, some events that have taken place in the market in recent years and certain information spread in the media have caused concern among our foreign partners and investors. We hear these concerns regularly. I think it is important to approach these issues more sensitively. Because maintaining the attractiveness of our market for international investors is of strategic importance. Especially for the fintech sector, sharing accurate and objective information is of great importance for Azerbaijan to remain an interesting market in terms of investment.” /Report