Baku, Azerbaijan, Apr. 18
By Maksim Tsurkov – Trend:
The State Oil Fund of Azerbaijan (SOFAZ) will continue to invest in real estate funds within the share of investment portfolio that is specified in the Fund’s regulations (10 percent), said SOFAZ Executive Director Shahmar Movsumov.
He made the remarks at a press conference in Baku Apr. 18.
“We intend to continue acquiring real estate assets within 10 percent of the investment portfolio. But if earlier we bought buildings, now we invest in specialized real estate funds that acquire assets,” he said, adding that this also reduces risks.
As of April 1, the total volume of SOFAZ investment portfolio was $33.2 billion or 99.98 percent of the total assets. Meanwhile, 4.6 percent of the Fund’s investment portfolio was invested in real estate.
SOFAZ was established in 1999 with assets of $271 million.
Based on SOFAZ's regulations, its funds may be used for the construction and reconstruction of strategically important infrastructure facilities, as well as solving important national problems.
The main goals of the State Oil Fund include: accumulation of resources and the placement of the Fund's assets abroad in order to minimize the negative effect on the economy, the prevention of "Dutch disease" to some extent, promotion of resource accumulation for future generations and support of current social and economic processes in Azerbaijan.