oil fund

STATE OIL FUND OF THE REPUBLIC OF AZERBAIJAN

SOFAZ celebrates 15th anniversary

29 Dec 2014 11:09:04

SOFAZ celebrates 15th anniversary

29 Dec 2014 11:09:04
The State Oil Fund of the Republic of Azerbaijan (SOFAZ) celebrates its 15th anniversary on December 29, 2014. During 15 years SOFAZ has become an internationally recognized organization. Establishment of SOFAZ is a successful result of national oil strategy laid by National leader Heydar Aliyev. As a part of the National Oil Strategy, the State Oil Fund was established by the Decree of Heydar Aliyev in 1999, with the aim of efficient management of the accumulated oil and gas revenues, and assignment of these assets to the development of advanced areas and implementation projects of social-economic importance.

Since its establishment, the State Oil Fund has carried out significant measures to achieve the defined goals, which were successfully implemented.

The volume of SOFAZ assets amounted to USD 270 mln. at the time of establishment and it has exceeded USD 37 bln. as of December 29, 2014.

Today, the State Oil Fund efficiently manages these assets and finances major national projects of social-economic importance.

With the strategic decision of the national leader Heydar Aliyev, the first accumulated assets of the State Oil Fund were allocated to the improvement of social conditions of refugees and internally displaced persons. The State Oil Fund also financed Heydar Aliyev Baku-Tbilisi-Ceyhan Main Export Pipeline project and the construction of the Oguz-Gabala-Baku water pipeline. SOFAZ is financing Baku-Tbilisi-Kars New Railway project, signifying economic efficiency, safety and reliability, initiated by the President of the Republic of Azerbaijan Ilham Aliyev, reconstruction of the Samur-Absheron irrigation system, construction of “Star” oil refinery complex and the “Southern Gas Corridor” projects.

One of the key projects financed by the State Oil Fund is the “State Program on education of Azerbaijan youth abroad in the years of 2007-2015”, which has been implemented in accordance with the President Ilham Aliyev’s ordinance. The execution of this project is an important step in the realization of the idea of turning “black gold into human capital”.

From the day of establishment transparency was one of the crucial principles of the activity of the Oil Fund. As a result of the transparent operations, the State Oil Fund was awarded the “United Nations Public Service Award” in May 2007. The State Oil Fund is the first governmental agency among organizations of the Eastern Europe and CIS countries to receive the UNPSA.

During the past years new investment tools have also been added to the investment portfolio of the State Oil Fund, including equities, real estate and gold.

The Fund has been acknowledged for its institutional capacity building, efficient management of assets, transparent operations and information disclosure, not only in Azerbaijan but also in the international arena.

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