SGRF FILES ARBITRATION CLAIM OVER BULGARIA BANK

MUSCAT: Oman’s State General Reserve Fund (SGRF) has filed an arbitration claim against Bulgaria in relation to the sovereign wealth fund’s investment in the Eastern European country’s bankrupt Corporate Commercial Bank (CCB).

The arbitration claim has been filed with the Washington, DC-based International Centre for Settlement of Investment Disputes (ICSID).

According to details on the ICSID website, the case was registered on October 22 with the subject of the dispute categorised as ‘banking enterprise’.

In July, the SGRF had said that it was working to protect its investment in CCB and observing all updates related to the bank.

The CCB was shut down last year by Bulgaria’s central bank after a bank run in June 2014.

The Oman fund had said its stake in CCB represent much less than 0.5 per cent of its total investment portfolio, adding, “Yet, the fund will spare no effort to retrieve its money.”

SGRF was a major shareholder in CCB with its 30 per cent holding in the bank.

SOURCE: MUSCAT DAILY