Azerbaijan Investment Company’s Supervisory Council to Consider Joint Project with Kuwait Finance House

Business Materials 19 March 2008 14:36 (UTC +04:00)

Azerbaijan, Baku, 18 March / Trend corr S. Babayeva/ The Azerbaijan Investment Company (AIC) plans to submit to its Supervisory Council- the project on creation of an investment fund jointly with the Kuwait Finance House (KFH), the AIC Executive Director Anar Akhundov said on 18 March.

The KFH Supervisory House has already decided to allot initial investments in the sum of $15mln to the project for establishment of an investment fund, jointly with the AIC.

Previously, AIC stated that within the first two years the fund's capital will be formed at $20mln, with $5mln as the share of AIC's.

Islamic structures are always interested in projects in the field of agriculture, infrastructure, logistics and transport. Therefore, it is planned to give preference to these fields while cooperating with KFH.

AIC plans to act as minority stockholder in the projects. The main capital will come to Azerbaijan from the foreign investors. The joint fund by AIC and KFH is supposed to be established on the basis of the MOI- which was signed in May 2007. Joint investment projects in Azerbaijan will be implemented through the MOI.

By the agreement, AIC is expected to purchase 25% and KFH 75% of the new organization's stocks. As a result of the implementation of arrangements envisaged in the memorandum, conditions will be created for the development of investment climate in Azerbaijan and for the implementation of large business projects.