![SOFAR coped with financial difficulties in 2023](https://turan.az/resized/news/2024/LMNSCcG6uMNfZMsmhCvpDkjM4cWYJA1xZ6VdKnei-750-500-resize.webp)
SOFAR coped with financial difficulties in 2023
SOFAR coped with financial difficulties in 2023
In the backdrop of global market turbulence, the State Oil Fund of Azerbaijan (SOFAR) navigated the financial challenges of 2023, marked by heightened volatility in the international markets. The year unfolded as a period of economic uncertainty, spurred by apprehensions surrounding global economic growth and inflation, especially amidst tightening policies by central banks in several developed countries.
Contrary to earlier recession expectations, the year witnessed a deceleration in inflation across developed nations, coupled with positive trends in various economic indicators, particularly towards the year-end, exerting a favorable influence on overall economic growth. Notably, this economic oscillation had a discernible impact on the profitability of financial assets.
After two consecutive years of losses, most bond indices staged a recovery, closing the year with positive returns. Simultaneously, major stock indexes demonstrated profitability by the year-end, buoyed by optimistic projections for inflation and the anticipation of interest rate reductions by central banks in developed countries.
Amidst this market backdrop, the State Oil Fund of Azerbaijan reported a noteworthy return on investments for 2023, standing at 7.1%, marking the highest rate of return since its inception. The fund's revenues for the year totaled 21 billion 661.9 million manats, with significant contributions from the sale of profitable oil and gas, transit, bonuses, acre payments, and returns from fund management.
While the fund's expenditures amounted to 11 billion 832.6 million manats, including transfers to the state budget of Azerbaijan and allocations for strategic educational programs, prudent financial management resulted in a surplus of 9 billion 829 million manats. This surplus, coupled with income from fund management, contributed to a remarkable 14.3% increase in SOFAR's assets, reaching $56 billion 69.7 million as of December 31, 2023.
The State Oil Fund's resilience in navigating the complexities of the global financial landscape underscores its robust financial strategies and adaptive approach to market dynamics, positioning it as a pivotal entity in Azerbaijan's economic framework.
Economics
-
The Cabinet of Ministers of the Republic of Azerbaijan has enacted amendments to the "commodity nomenclature of foreign economic activity, rates of import customs duties, and rates of export customs duties," originally approved by a decree on November 17, 2017, No. 500.
-
In a significant step towards bolstering its tourism infrastructure ahead of the 29th United Nations Climate Change Conference (COP29), Azerbaijan showcased its National Booking Platform and awarded star ratings to hotels meeting the National Star Classification standards in a ceremony on Wednesday. The event, held in Baku, underscored the country's readiness to host the international conference, set to attract a substantial influx of visitors.
-
Baku Metro transported 113,195,216 passengers in the first half of 2024, marking a 12.2% increase compared to the same period in 2022 and a 5.3% rise from 2023. However, the number of passengers is still 3% lower than in the first half of 2019.
-
Azerbaijan's agricultural sector has reported mixed results for the first five months of 2024, according to data from the State Statistics Committee (SSC). The total value of agricultural products reached 3 billion 352 million manats, a 3.1% increase compared to the same period last year.
Müəllimlərin sertifikasiyası, təhsil haqqına görə universitetlərdən çıxarılan tələbələr... – Elçin Əfəndi Çətin sualda
News Line
-
- Finance,
- 11:37
- 148
Leave a review