From January to September 2014 incomes of the State Oil Fund of Azerbaijan (SOFAZ) totaled 10,131,900 AZN. During this period last year proceeds to SOFAZ totaled 10,086,000 AZN, reported SOFAZ.
Comparative classification of SOFAZ’s incomes during 9 months
| Classification of incomes | January-September 2014
(million AZN) |
January-September 2013
(million AZN) |
| Incomes from oil and gas contracts | 9 969,6 | 9 774,8 |
| Including sale of profitable oil and gas | 9 947,8 | 9 766,8 |
| Transit incomes | 6,8 | 6,0 |
| Per acre payments | 1,7 | 1,7 |
| Bonus payments | 13,3 | 0,3 |
| Incomes from management of SOFAZ’s incomes | 162,3 | 311,2 |
As one can see from the table, proceeds of management of SOFAZ’s resources dropped as twice against the same period last year.
A source from the Oil Fund told Caspian Barrel that several factors have affected a sharp decline of proceeds of management of SOFAZ’s resources. For instance, profitability of package of the Fund’s assets managed by IBS Global Asset Management and State Street Global Advisors, which during 9 months, 2013 constituted 17.6%, but from January to September 2014 decreased to 4.6%. At the end of April last year the Oil Fund invested $500 million into 2.95% shares of Russian VTB bank. In 2013 profitability of VTB shares during three quarters constituted 3.67%, but from January to September this year it constituted minus 21.4%, said a source from the Oil Fund.
SOFAZ also mentioned that “the decline is considered as short-term changes at the market.”
