A routine meeting of the SOFAZ Supervisory Board was held on November 19, 2005. The meeting was presided over by Mr. Artur Rasizadeh, Prime Minister and Chairman of the Supervisory Board and discussed changes to the Fund's 2005 budget, the SOFAZ draft budget for 2006 and improvements in the Fund's asset management policy.
While considering the changes to the Fund's budget, made by the Milli Majlis (Parliament) and approved by the Law "About changes to the 2006 state budget" on 21 June 2005, the Supervisory Board endorsed an increase in SOFAZ budget expenditures for 2005 from 105 billion manats to 205 billion manats and recommended that the draft Decree on changes to the Fund's 2005 budget be forwarded for approval by the President of the Republic of Azerbaijan. The additional 100 billion manats was approved by the Parliament owing to an increase in expenditures over 2005 of the Baku-Tbilisi-Ceyhan pipeline project in which the government's equity participation is funded by SOFAZ.
The Board also approved the Fund's 2006 budget revenues as 807,842.6 thousand new Azerbaijan manats (AYM), its expenditures as 954,287.7 thousand AYM and the Fund's operating expenditures as 3,976.7 thousand AYM. Having endorsed the Fund's 2006 draft budget, including the major directions of its investment policy, and its draft annual operating expenditures, the Supervisory Board recommended the budget for the approval by President of the Republic of Azerbaijan.
The SOFAZ Executive Director presented his proposals about improvement of the Fund's investment policy. The Board determined that it would be expedient to air the proposals to a larger audience. Board members also exchanged views on various other issues related to the Fund's activity.
Prime Minister Artur Rasizadeh was re-elected as the Supervisory Board's Chairman-in-office.