BANK OF BAKU
AUDITORS REPORT AND FINANCIAL STATEMENTS AT 31 DECEMBER 1999

	1999	1998
Corporate customers
-Current/settlement accounts	646,524	475,383
-Term deposits	100,000	-
Retail customers
-Current/demand accounts	113,652	382,274
-Term deposits	354,476	-
Total customer accounts	1,214,652	857,657

Interest rates on outstanding AZM and US$ term deposits at year-end range between 12% p.a. and 17 % p.a..
The currency analysis of customer accounts is disclosed in Note 20, and the maturity analysis is provided in Note 21.
Economic sector concentrations within customer accounts are as follows:

	1999	%	1998	%
Trade	464,961	38.3	376,949	44.0
Retail	467,269	38.5	382,274	44.6
Others	282,422	23.2	98,434	11.4
Total customer accounts	1,214,652	100.0	857,657	100.0

Note 1 Principal Activities 
Note 2 Basis of Presentation 
Note 3 Significant Accounting Policies 
Note 4 Cash and short-term Funds 
Note 5 Loans and Advances to Banks 
Note 6 Loans and Advances to Customers 
Note 7 Other Assets 
Note 8 Premises and Equipment 
Note 9 Due to Banks 
Note 10 Customer Accounts 
Note 11 Other Borrowed Funds 
Note 12 Other Liabilities
Note 13 Paid-in Capital 
Note 14 Retained earnings / Accumulated Deficit 
Note 15 Fees and Commission Income 
Note 16 Fees and Commission Expense
Note 17 General, Administrative and Other Operating Expenses 
Note 18 Taxation 
Note 19 Dividends 
Note 20 Asset and Liability Concentration 
Note 21 Risk Management 
Note 22 Commitments and Contingent Liabilities 
Note 23 Reconciliation of Azeri Accounting Rules to International Accounting Standards 
Note 24 Related Party Transactions