The assets of the State Oil Fund of the Republic of Azerbaijan (SOFAZ) reached $73 billion 541.5 million as of January 1 of this year, marking a significant 22.5 percent increase compared to the same period last year.
Operative Information Center-OMM reports, citing official data from the Fund, that SOFAZ's budget revenues for 2025 totaled 17 billion 160.4 million manats, while budget expenditures amounted to 14 billion 627.2 million manats.
During the year, the Fund generated 10 billion 266.3 million manats from the implementation of oil and gas agreements. Of this amount, 9 billion 497 million manats came from the sale of profit oil and gas, 765.7 million manats from bonuses and transit payments, and 3.6 million manats from acreage payments. Specifically, the Azeri-Chirag-Gunashli field contributed 8 billion 292.9 million manats, while the Shah Deniz field provided 958.8 million manats to the Fund.
Income from the management of the Fund's assets stood at 6 billion 894.1 million manats, with the investment portfolio yielding a return of 6.2 percent during the reporting period. In 2025, SOFAZ transferred 14 billion 481 million manats to the state budget of Azerbaijan. Additionally, 18.6 million manats were allocated to the "State Program for Increasing the International Competitiveness of the Higher Education System for 2019–2023," and 86.9 million manats were directed toward the "State Program for the Education of Youth in Prestigious Foreign Higher Education Institutions for 2022–2028." The Fund's administrative expenses totaled 40.7 million manats, while extra-budgetary revenues resulting from exchange rate fluctuations amounted to 20 billion 434 million manats.
According to the Fund's statement, positive trends in global financial markets in 2025 significantly impacted asset growth. Interest rate cuts by central banks in the US, Eurozone, and UK boosted yields in bond markets, serving as a primary source of income for the Fund's debt instruments. Equity investments also showed positive returns, driven by resilient corporate financial performance, advancements in technology and artificial intelligence, and easing monetary policies.
Established in 1999, SOFAZ is a sovereign wealth fund responsible for managing Azerbaijan's oil and gas revenues to ensure macroeconomic stability and preserve wealth for future generations. The Fund plays a critical role in financing major infrastructure projects and educational initiatives in Azerbaijan, acting as a financial cushion against volatility in global energy prices.
