Budget revenues of the State Oil Fund of the Republic of Azerbaijan (SOFAZ) for the period of January-September, 2019 reached 14 715.2 million manats, while budget expenditures constituted 7 680.4 million manats.
Revenue of 12 074.9 mln. manats was received from implementation of oil and gas agreements, including 11 290.4 mln. manats from the sale of profit oil and gas, 766.4 mln. manats as bonus payments, 4.7 mln. manats as acreage fee and 13.4 mln. manats as transit payments.
The revenues from managing SOFAZ’s assets for January-September 2019 amounted to 2 640.3 mln. manats.
As per 2019 budget of the Fund, 7 536.0 mln. manats were transferred to the state budget. The expenditure in the amount of 126.4 mln. manats were directed to financing the improvement of social-economic condition of refugees and internally displaced persons. SOFAZ’s administrative and operational expenses for the reporting period were 18 mln. manats.
SOFAZ’s extra-budgetary expenditures related to the revaluation of foreign exchange totaled 219.8 mln. manats.
The assets of SOFAZ as of September 30, 2019 have increased by 10.4% compared to the beginning of 2019 (USD 38 515.2 mln.) and stood at USD 42 524.4 mln.
The increase was mainly due to SOFAZ inflows from the sale of profitable oil and gas, as well as, from the investment returns. During the current period each asset class positively contributed to the overall investment portfolio return, while the equity investments returns were significantly higher compared to other assets classes. Thus, despite the negative return (-6.6%) on the equity sub-portfolio for the last year, the return number for the first nine month of the current year amounted to 15.2%.