“The Oil Fund is busy sinking oil money” |

“With this move, the Fund will make a bigger loss in the last quarter and write down 2022 as the worst year of its activity”

Azerbaijan The current value of the assets of the State Oil Fund of the Republic of Azerbaijan is 45 billion It is 386 million dollars. This was after a 0.80 percent increase.

For example, in the first 9 months of last year, the assets of the fund increased by 1.52 percent.

SOFAZ of 2022 january– information on income and expenses for the months of September announced.

In that information, it is noted that in the first 9 months of this year, the budget revenues of SOFAZ amounted to 11,365.9 million manats, and the budget expenses amounted to 6,566.9 million manats.

“In 9 months, SOFAZ’s oil and gas the income related to the implementation of the agreements was 15,886.9 million manats, 15,106.2 million manats from the sale of profit oil and gas, bonus payments were 768.7 million manats, transit income was 7.2 million manats, and account payments were 4.8 million manats. , is mentioned in the information.

During this period, SOFAZ transferred 6,542.0 million manats to the state budget. “For the years 2019-2023 Azerbaijan in the Republic higher education 8.1 million manats were directed to the financing of the State Program on increasing the international competitiveness of the system. During the period, SOFAZ administration expenses amounted to 16.8 million manats.

During the past 9 months, the market value of SOFAZ assets decreased by 4,521.0 million manats caused by short-term price fluctuations.

The extra-budgetary expenses of SOFAZ due to the difference caused by exchange rate changes amounted to 4,185.2 million manats.

Economist Gubad Ibadoglu he says that SOFAZ will spend 1 billion on average every month this year. Manat was damaged:

“During the past 9 months, losses of the Fund due to devaluation of assets and changes in exchange rates 8 billion 706 million 20It was 0 thousand manats. It is clear from the information that due to the half-hearted and unprofessional management of the Fund, during the past 9 months, the damage caused by short-term price fluctuations in the market value of SOFAZ assets amounted to 4,521 million manats, and the extra-budgetary expenses caused by changes in exchange rates amounted to 4,185.2 million manats.

The economist says that in a word, the Fund is involved in sinking oil money. That is why during this period the Fund’s budget revenues amounted to 11,365.9 million manats, and its expenses amounted to 6,566.9 million manats, as of September 30, 2022, its assets increased by only 0.8 percent compared to the beginning of the year:

“With this move, the Fund will make a bigger loss in the last quarter and write down 2022 as the worst year of its activity. For information, let me note that the biggest losses of the Fund Russia and from the assets placed in Turkey, as well as from changes in the exchange rate of the euro and pound sterling against the dollar.”

The report also shows that 70.8 percent of the Oil Fund’s investment portfolio is held in dollars, 19 percent in euros, and 4.7 percent in pounds. Two of the top three currencies in the portfolio – the euro and the pound sterling in recent months dollars has seriously lost its value. The devaluations exposed the Oil Fund’s currency-related losses. In the fund’s investment portfolio, the Chinese yuan is 1.2 percent, the Japanese yen is 1.1 percent, the Australian dollar is 0.6 percent, Turkey 0.4 percent per lira and Russia ruble had a share of 0.4 percent. Other currencies account for another 1.8 percent of the portfolio. At the same time, USA About 12 percent of the dollar portfolio consists of gold investments. Fund Azerbaijan and the amount of funds kept in AZN is only 730 million AZN.

About 80 percent of the fund’s investment portfolio consists of bonds and shares, about 14 percent of gold, and about 6 percent of real estate. The fund invests mainly in the West Europe and USAis carried out in Western in the investment portfolio of the Oil Fund Europe and North America’s share is close to 60 percent.

As for the company’s investments, the report notes that the value of shares in the first half of the year was 5.9 billion dollars has been The fund made investments in 14 different currencies in more than 1,600 companies from 26 countries of the world. The largest investments are related to five global companies.

The most invested company of the Oil Fund “Apple“is Fund “Apple211 million to the company dollars invested. “Apple“‘s share in the fund’s investment portfolio is 3.7 percent. The amount of investments in the second place “Microsoft” company is 173 million dollars (3 percent). Oil Fund “Google” invested 121 million dollars in the company, 92 million dollars in “Amazon”, and 86 million dollars in “Nestle”.