The Egyptian cabinet’s Information and Decision Support Centre (IDSC) said sovereign funds represent an innovative financing tool that surfaced to help achieve sustainable development.
This came in a video wired by the centre to highlight the history of establishing sovereign funds.
The video said that the first sovereign fund was set up in Kuwait in 1953 with an aim to invest in oil revenues to maintain the rights of the coming generations.
The video added that the sovereign funds are established to realise three main goals; achieving stability and protecting the general budget and economy from fluctuating prices, saving through turning non-renewable accounts into diverse asset portfolios and, finally, realising development through incentivising finance of social and economic projects in order to increase gross domestic product, employment, etc.
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