BAKU, Azerbaijan, Dec.24
By Leman Zeynalova – Trend:
Azerbaijan’s State Oil Fund (SOFAZ) doesn’t plan additional changes to its currency portfolio in the near future, the Fund told Trend.
“As part of its investment policy, SOFAZ changed the distribution of its currency assets in early 2020 decreasing the share of investments in Euro from 35 percent to 20 percent, while the share of investments in dollars increased from 50 percent to 65 percent. Moreover, according to the Fund’s investment policy, its investments in pound sterling shouldn’t exceed 5 percent. The remaining 10 percent can account for other currencies. SOFAZ doesn’t plan to make additional changes to its currency portfolio in the near future,” said SOFAZ.
The State Oil Fund of Azerbaijan was established in 1999, and at that time its assets stood at $271 million.
The mission of the State Oil Fund of the Republic of Azerbaijan (SOFAZ) is to transform depletable hydrocarbon reserves into financial assets generating perpetual income for current and future generations.
The main goal of the establishment of SOFAZ is to accumulate and efficiently manage oil revenues.
SOFAZ's activity is directed to the achievement of the following objectives:
Preserving macroeconomic stability, ensuring fiscal-tax discipline, decreasing dependence on oil revenues and stimulating development of the non-oil sector;
Ensuring inter-generational equality with regard to the country's oil wealth and accumulate and preserve oil revenues for future generations;
Financing major national scale projects to support socio-economic progress.
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