SOFAZ advised to improve forecasting of hydrocarbon revenues

Azerbaijan's Chamber of Accounts has recommended that the State Oil Fund of Azerbaijan, SOFAZ, improve mechanisms for forecasting hydrocarbon production and revenues falling to the country's share, Report informs.

This was stated in the chamber's report on the results of an audit of the formation and use of SOFAZ funds in key areas.

According to the document, SOFAZ received 9.497 billion manat, about $5.6 billion, from the sale of hydrocarbons falling to Azerbaijan's share in 2025. This was 300.2 million manat, about $176.6 million, or 3.1%, below the approved forecast.

Taking into account differences between forecasts and actual figures for hydrocarbon production and revenues falling to the country's share, the Chamber of Accounts considered it necessary to improve forecasting mechanisms, effectively manage risks related to sale prices, strengthen oversight mechanisms with contractors, and increase coordination with relevant organizations to ensure these processes are implemented efficiently.