Dear Capital Market Participants,

As is known, on December 30, 2023, the Development Strategy of the National Depository Center of the Republic of Azerbaijan (NDC) for 2024–2026 was approved, prepared with the support of the Central Bank of the Republic of Azerbaijan.

Within the framework of the Strategy, the transformation of the NDC, including its conversion into an institution with advanced corporate governance and information security, offering broad capabilities and an impeccable operational framework, as well as the alignment of securities settlement and custodian services with best international practices, is envisaged. The Strategy defines such strategic goals as the development of the NDC's lines of activity, enhancement of operational and service efficiency, establishment of a reliable, resilient and high-profile institution, and formation of an effective working environment and a professional team. The development of the NDC's lines of activity encompasses such strategic initiatives as the expansion of the range of services, establishment of a central counterparty model, and support for the development of the capital market ecosystem. Within the framework of the goal of enhancing operational and service efficiency, the creation of a fully functional and agile IT infrastructure, an increase in the level of digitalization, a transition to a customer-centric approach and the development of the financial management system are envisaged. The initiatives under the goal of establishing a reliable, resilient and high-profile institution include the improvement of risk management mechanisms, the development of AML/CFT compliance control mechanisms, the strengthening of information security and the formation of corporate image. The formation of an effective working environment and a professional team reflects initiatives aimed at the improvement of human resources management processes, the development of corporate culture and the creation of a healthy and effective working environment.

Furthermore, at the core of our Development Strategy, the NDC's new mission, strategic vision and values have been defined in a manner that serves the long-term goals of our organization.

The successful implementation of the goals and priorities of the NDC's Development Strategy for 2024–2026 will make a significant contribution to the development of the capital market of our country.

Respectfully,

Elchin Alizadeh,

Chairman of the Supervisory Board of the National Depository Center of the Republic of Azerbaijan