USTA awards grant to the State Oil Fund of Azerbaijan for institutional capacity building

The U.S. Trade and Development Agency (USTDA) awarded a grant for technical assistance in institutional capacity building for the State Oil Fund of Azerbaijan (SOFAZ). The grant was conferred at a signing ceremony at SOFAZ offices in Baku, KZ-today reports from Baku.

U.S. Ambassador to Azerbaijan Reno Harnish and SOFAZ Executive Director Samir Sharifov signed an agreement on behalf of the U.S. and Azerbaijani Governments, respectively.

USTDA awarded a $1 million 91 thousand grant according to the technical task developed by SOFAZ, S. Sharifov said. The USTDA-funded technical assistance is designed to assist SOFAZ in developing its human resources and institutional capacity to better manage these revenues. The first phase of the assistance will focus on reviewing and refining current asset and risk management guidelines and policies.

The grant will provide expending cooperation with foreign investors, S. Sharifov added. "Together with financial assets increasing, the quantity of foreign managers controlling SOFAZ assets will also be rising," he said.

The bids have been already carried out to find consulting company.

SOFAZ has been established in accordance with the Decree of the President of Azerbaijan dated December 29, 1999. Statutory regulations of SOFAZ were approved by the President of Azerbaijan on December 29, 2000. The Fund is an extra-budgetary institution, accountable and responsible to the President. Revenues generated from implementing agreements on exploration, development and production sharing for oil and gas fields in the territory of the Republic of Azerbaijan.

USTA implements the significant projects in foreign countries.

Translated by Nataliya Shhirinskikh