SOFAZ receipts to reach $220 million, expenses - $215 million in 2005

The observation council of State Oil Fund of Azerbaijan (SOFAR) has approved the SOCAR's budget for 2005 and submitted it to Azerbaijani President Ilham Aliyev. Within the frameworks of the budget the SOFAR's receipts have been approved at the level of $220 million (AZM 1 trillion 78 billion), expenses - $215 million (AZM 1 057 billion).

SOFAR's observation council has also approved the main directions of the expenses for 2005. In particular, AZM 202 billion will be allocated for improvement of housing conditions of refugees and forced migrants, AZM 105 billion for paying off of a state stake in BTC construction project, AZM 750 billion will be transferred to the national budget and AZM 15.8 billion are to be used for the Oil Fund assets management.

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.

Translated by Nataliya Shirinskikh