Baku: The State Oil Fund of Azerbaijan (SOFAZ) is actively channeling investments into high-yielding assets, according to Israfil Mammadov, the Executive Director of SOFAZ. In an interview with APA-Economics, Mammadov highlighted the strategic approach of the Fund towards investments characterized by lower risk and long-term government backing, which offer returns of 7-8%. Among these investments is a $50 million stake acquired in May in Abu Dhabi-based ADNOC Gas Pipeline Assets LLC (AGPA). Despite the potential to invest more, the high demand for shares in such firms limited the investment to $50 million.

According to Azeri-Press News Agency, SOFAZ’s investment strategy also includes a significant $100 million allocation to the ‘GEMS Education’ network in the United Arab Emirates (UAE), which is expected to yield high returns. Mammadov expressed optimism about this investment, noting that GEMS Education is the largest private education network globally, offering a 12-year education program. Established in the UAE in 1959, GEMS Education operates schools across multiple regions, including the Middle East, North Africa, Asia, Europe, and America. The network currently educates 170,000 students from 176 countries, with over 135,000 students enrolled in more than 40 schools in the UAE alone. The anticipated return on this investment exceeds 15%, aligning well with the Fund’s risk-return profile for its overall portfolio.