SOFAZ: Important for Azerbaijan to ensure transparency in extractive industry

By  Trend

Ensuring transparency in Azerbaijan’s extractive industry is very important, Executive Director of the State Oil Fund of Azerbaijan (SOFAZ) Shahmar Movsumov said, Trend reports Feb. 13.

He was speaking at the conference “Support for the Implementation of Roadmap for Disclosing Information on Beneficial Law in the Extractive Industries of Azerbaijan.”

“Publishing information about beneficiaries, individuals who control companies and legal entities [in the extractive industry] helps to avoid illegal circulation of money, development of the shadow economy, etc.,” Movsumov said.

He noted that the trend towards transparency in the extractive industries is increasing in the world and Azerbaijan has also joined this initiative.

He also stressed the role of the Asian Development Bank (ADB), noting that the support of such a prestigious financial institution is very significant.

“The ADB attracted both local and international consultants and experts, who have already submitted three reports so far,” Movsumov said.

Extractive Industries Transparency Commission was created after Azerbaijan in March 2017 announced its leaving the Extractive Industries Transparency Initiative (EITI).

Azerbaijani President Ilham Aliyev signed a decree on additional measures in early April 2017 in connection with an increase in reporting and transparency in the extractive industry, the main item of which was the establishment of the Extractive Industries Transparency Commission.