Sofaz won’t pull out of VTB despite falling shares

Azerbaijan’sState Oil Fund (Sofaz) says it has no intention of selling its shares in Russia’sVTB Bank despite a sharp decline in the bank’s share price following Westernsanctions.

“VTB is Russia’ssecond largest bank by capitalization and has a strong financial basis,” Sofazsaid in an interview with Baku-based Bizim Yol newspaper. “Although VTB Bank’sshares have been adversely affected by recent developments, we think the bank’slong-term financial results will be positive.”

Sofaz, which wasestablished in 1999 to manage Azerbaijan’s income from oil and gas sales,bought 3 percent of VTB shares last year. It also invested in real estate inMoscow and other western capitals to diversify assets.

The fund’sassets stood at $37.6 billion as of July 1, according to its website.

Bakudaily.Az