On February 3, U.S. President Donald Trump signed an executive order to establish a National Prosperity Fund. Bloomberg reports this news.
Trump informed reporters in the Oval Office that he has tasked Treasury Secretary Scott Bessent and nominee for Commerce Secretary Howard Lutnick with leading the initiative to create the fund.
Bessent, in turn, stated that the fund will be established within the next 12 months. According to him, this matter is "very important from a strategic perspective."
In the long term, this fund may be utilized to acquire TikTok, which continues to operate in the U.S. due to Trump's decision to delay the enforcement of the law aimed at banning the service, Lutnick said.
Currently, it is unclear how the American National Prosperity Fund will function.
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The establishment of the National Prosperity Fund is one of Donald Trump's campaign promises.
During his presidential campaign, he mentioned that a state investment fund could finance "major national initiatives for the benefit of the entire American people," including the construction of highways and airports, as well as medical research.
National prosperity funds typically exist in countries that either have large foreign currency reserves, like China, or generate revenue from the sale of oil or other commodity goods, such as Norway and Saudi Arabia.
Twenty U.S. states have their own sovereign wealth funds, which are funded through commodities or land.