{"id":3688,"date":"2026-04-29T18:55:17","date_gmt":"2026-04-29T18:55:17","guid":{"rendered":"https:\/\/laip.ly\/en\/?page_id=3688"},"modified":"2026-04-29T20:15:00","modified_gmt":"2026-04-29T20:15:00","slug":"santiago-principles","status":"publish","type":"page","link":"https:\/\/laip.ly\/en\/governance\/santiago-principles\/","title":{"rendered":"Santiago Principles"},"content":{"rendered":"
<\/p>\n
The Santiago Principles\u00ae are a globally recognised set of standards that guide how sovereign wealth funds (SWFs) operate, invest, and manage risk. They were developed and are voluntarily adopted by members of the International Forum of Sovereign Wealth Funds (IFSWF) and consist of 24 principles, known as the Generally Accepted Principles and Practices (GAPP).<\/p>\n At their core, these principles are designed to build trust. They help ensure that investment decisions are made on clear economic and financial grounds, while supporting transparency, accountability, and sound governance. In doing so, they contribute to the stability of the global financial system and encourage long-term investment.<\/p>\n At the Libya Africa Investment Portfolio (LAIP), the Santiago Principles are not treated as a formal requirement alone. They are part of how we operate. They shape our internal policies, guide our decision-making, and reflect our commitment to managing national assets responsibly and sustainably.<\/span><\/p>\n<\/div>\n<\/div>\n The 24 principles are organised into three main areas that reflect the full investment lifecycle, from establishing a clear legal foundation to ensuring strong governance and managing risk and performance effectively.<\/p>\n<\/div>\n<\/div>\n This area focuses on clarity, ensuring that the organisation operates within a well-defined legal structure, with clear objectives and alignment with national economic policy.<\/p>\n In practice, this means that LAIP:<\/strong><\/p>\n Strong governance sits at the centre of the Santiago Principles. This area focuses on how decisions are made, how responsibilities are defined, and how accountability is maintained.<\/p>\n At LAIP:<\/strong><\/p>\n Investment decisions are based on careful analysis of risk and return and are taken independently, guided by economic and financial considerations.<\/li>\n<\/ul>\n<\/div>\n<\/li>\n<\/ul>\n This area focuses on maintaining a disciplined approach to risk while continuously assessing performance.<\/p>\n At LAIP:<\/strong><\/span><\/p>\n A clear and publicly disclosed legal framework, including its regulatory basis.<\/p>\n<\/div>\n<\/li>\n A clear statement of the fund\u2019s purpose and investment objectives.<\/span><\/p>\n<\/div>\n<\/li>\n Consistency with, and support for, relevant fiscal and monetary policies.<\/span><\/p>\n<\/div>\n<\/li>\n Transparent and well-defined rules governing funding and withdrawals.<\/span><\/p>\n<\/div>\n<\/li>\n Regular reporting to enhance transparency and accountability.<\/span><\/p>\n<\/div>\n<\/li>\n A sound governance framework with a clear division of roles and responsibilities.<\/span><\/p>\n<\/div>\n<\/li>\n Operational independence in the implementation of strategies.<\/span><\/p>\n<\/div>\n<\/li>\n A clearly defined role for the government as owner.<\/span><\/p>\n<\/div>\n<\/li>\n Management operating within a clearly defined mandate.<\/span><\/p>\n<\/div>\n<\/li>\n Clear processes for the appointment, oversight, and accountability of management.<\/span><\/p>\n<\/div>\n<\/li>\n Financial statements prepared in accordance with recognised standards and subject to independent audit.<\/p>\n<\/div>\n<\/li>\n Effective internal and external oversight mechanisms.<\/p>\n<\/div>\n<\/li>\n Adherence to high professional and ethical standards.<\/span><\/p>\n<\/div>\n<\/li>\n Compliance with applicable laws and regulations in recipient countries.<\/span><\/p>\n<\/div>\n<\/li>\n A legal framework that safeguards the fund\u2019s assets and rights.<\/span><\/p>\n<\/div>\n<\/li>\n Administrative and financial independence in operations.<\/span><\/p>\n<\/div>\n<\/li>\n Timely disclosure of material and relevant information.<\/p>\n<\/div>\n<\/li>\n A clear and consistent investment policy framework.<\/span><\/p>\n<\/div>\n<\/li>\n Investment decisions based on risk and return considerations.<\/span><\/p>\n<\/div>\n<\/li>\n Respect for market integrity and fair competition.<\/p>\n<\/div>\n<\/li>\n Exercise of ownership rights in line with investment policies.<\/span><\/p>\n<\/div>\n<\/li>\n A robust and comprehensive risk management framework.<\/span><\/p>\n<\/div>\n<\/li>\n Measurement and disclosure of investment performance.<\/span><\/p>\n<\/div>\n<\/li>\n Regular review of implementation and compliance with the Principles.<\/span><\/p>\n<\/div>\n<\/li>\n<\/ul>\n For LAIP, adherence to the Santiago Principles is about more than alignment. It is about building trust and delivering long-term value.<\/strong><\/p>\n<\/div>\n<\/div>\n It helps us to:<\/span><\/p>\n By embedding these principles into how we work, LAIP continues to strengthen its role as a long-term investor contributing to sustainable economic development.<\/span><\/p>\n<\/div>\n<\/div>\n Santiago Principles The Santiago Principles\u00ae are a globally recognised set of standards that guide how sovereign wealth funds (SWFs) operate, invest, and manage risk. They were developed and are voluntarily adopted by members of the International Forum of Sovereign Wealth Funds (IFSWF) and consist of 24 principles, known as the Generally Accepted Principles and Practices […]<\/p>\n","protected":false},"author":5,"featured_media":1029,"parent":28,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_acf_changed":false,"footnotes":""},"class_list":["post-3688","page","type-page","status-publish","has-post-thumbnail","hentry"],"acf":[],"yoast_head":"\nFramework Overview<\/h3>\n
\n
I. Legal Framework and Investment Objectives (Principles 1\u20135)<\/h3>\n
\n
II. Governance and Institutional Independence (Principles 6\u201321)<\/h3>\n
\n
III. Risk Management and Performance Monitoring (Principles 22\u201324)<\/h3>\n
\n
The Complete Reference Framework <\/h3>\n<\/div>\n
\n
Principle 1<\/h3>\n
Legal Framework<\/h3>\n
Principle 2<\/h3>\n
Objectives <\/h3>\n
Principle 3<\/h3>\n
Policy Coordination <\/h3>\n
Principle 4<\/h3>\n
Funding and Withdrawal Rules <\/h3>\n
Principle 5<\/h3>\n
Reporting <\/h3>\n
Principle 6<\/h3>\n
Governance Framework <\/h3>\n
Principle 7<\/h3>\n
Operational Independence <\/h3>\n
Principle 8<\/h3>\n
Owner\u2019s Role <\/h3>\n
Principle 9<\/h3>\n
Management Mandate <\/h3>\n
Principle 10<\/h3>\n
Accountability and Appointment <\/h3>\n
Principle 11<\/h3>\n
Financial Reporting <\/h3>\n
Principle 12<\/h3>\n
Oversight <\/h3>\n
Principle 13<\/h3>\n
Professional and Ethical Standards <\/h3>\n
Principle 14<\/h3>\n
Dealings with Third Parties <\/h3>\n
Principle 15<\/h3>\n
Asset Protection <\/h3>\n
Principle 16<\/h3>\n
Administrative Independence <\/h3>\n
Principle 17<\/h3>\n
Disclosure <\/h3>\n
Principle 18<\/h3>\n
Investment Policy <\/h3>\n
Principle 19<\/h3>\n
Investment Decisions <\/h3>\n
Principle 20<\/h3>\n
Market Integrity <\/h3>\n
Principle 21<\/h3>\n
Ownership Rights <\/h3>\n
Principle 22<\/h3>\n
Risk Management <\/h3>\n
Principle 23<\/h3>\n
Performance Measurement <\/h3>\n
Principle 24<\/h3>\n
Review and Compliance <\/h3>\n
Why It Matters<\/h3>\n
\n
<\/span><\/li>\n<\/ul>\n
\n<\/p>\n","protected":false},"excerpt":{"rendered":"