BAKU, Azerbaijan, July 23. As of July 1, 34.4%
of the bonds and different cash market devices held by the State
Oil Fund of the Republic of Azerbaijan (SOFAZ) have been rated AA, down
12 share factors from the identical interval a yr earlier, in accordance
to the Fund.
In the course of the reporting interval, SOFAZ elevated the share of
AAA-rated devices in its fixed-income portfolio to twenty-eight%, up from
21.5% a yr earlier.
The Fund additionally raised the share of A-rated devices to 25.3%
from 19.1%, whereas the share of non-investment-grade devices
elevated to 0.8% from 0.4%.
On the similar time, the share of BBB-rated devices declined to
11.5% from 12.6% a yr earlier.
As of the reporting date, the maturity profile of SOFAZ’s bond
and cash market portfolio was as follows:
14.7% with maturities of as much as one yr, in contrast with 14.8% a
yr earlier.
30.1% with maturities of 1 to a few years, up from 29.6%.
26.4% with maturities of three to 5 years, in contrast with
26.2%.
28.8% with maturities of greater than 5 years, down from
29.4%.
As SOFAZ continues to diversify its funding portfolio, it’s
additionally increasing its participation in worldwide funding
platforms.
In an interview with Pattern, Merlissa Trisno, Director of Funds and Capital
Partnerships on the Indonesia Funding Authority (INA),
highlighted SOFAZ’s strategic function as one of many founding sovereign
traders within the Galaxy Orientis China-ASEAN Funding Platform
(CAIP).
“The State Oil Fund of the Republic of Azerbaijan performs an
essential function as one of many platform’s founding sovereign
traders. Its participation demonstrates the shared dedication of
three sovereign wealth funds to assist long-term funding and
financial cooperation alongside one of many world’s fastest-growing
improvement corridors,” Trisno stated.
She stated CAIP brings collectively the monetary sources,
institutional experience and international networks of the China Funding
Company (CIC), the Indonesia Funding Authority (INA) and
SOFAZ to finance high-quality funding tasks throughout the
area.
“The platform goals to contribute to regional improvement by
combining long-term capital, institutional experience and international
networks to assist high-quality funding alternatives,” she
stated.
Trisno added that the platform has secured roughly $520
million in preliminary funding and is concentrating on a complete of $1 billion,
with plans to draw further institutional traders within the
future.
“We consider the platform will, over time, present a powerful
basis for increasing financial and funding cooperation amongst
Indonesia, China, ASEAN nations, Azerbaijan and different companions,”
the INA official stated.
