Promoting the development of small and medium-sized businesses
We support the development of small and medium-sized enterprises (SMEs) and domestic entrepreneurship in Kazakhstan as this sector of the economy is a driver of innovation, employment growth and sustainable development.
The Fund’s Group provides service support to SMEs by expanding their resource base, providing access to critical infrastructure, guaranteed off-takes, purchasing from local producers, and attracting investors.
For example, the realisation of major projects for new production processes creates conditions for SME development, forming new regional clusters. Our major transport projects provide new opportunities for SMEs by providing access to new trade routes and global markets. Together with the Atameken National Chamber of Entrepreneurs, we are increasing local content in the gas industry and creating a gas service industry almost from scratch.
We procure goods, works and services from local suppliers, which helps create new jobs, develop infrastructure, increase production capacity, develop supply chains and improve the competitiveness of local companies. This, in turn, contributes to regional economic development, increases people’s incomes and reduces social tensions.
In 2024, the amount of goods (works, services) purchased by the Fund totalled KZT 3,625 billion, and 97% of this amount is accounted for by local suppliers.
The share of in-country value in procurement increased in 2024 up to 82.5% (79% in 2023).
Share of goods (works, services) procured from local suppliers, %
| 2020 | 2021 | 2022 | 2023 | 2024 | |
|---|---|---|---|---|---|
| Proportion of purchases from local suppliers | 90 | 91 | 89 | 92 | 97 |
All procurements are carried out through the Fund’s procurement web portal – zakup.sk.kz. Information on all procurements is publicly available.
To ensure transparency, the Fund’s procurement database is integrated with the databases of the Prosecutor General, Financial Monitoring Agency, Anti-corruption Agency, Supreme Audit Chamber, Agency for the Protection and Development of Competition, Atameken National Chamber of Entrepreneurs and the Government of the Republic of Kazakhstan.
The Fund and all portfolio companies have a Procurement Procedure regulating the procurement process. In 2024, the Fund’s Procurement Procedure was amended to simplify the procurement process for domestic manufacturers.
In addition, KPIs have been set for managers of the Fund’s portfolio companies to increase the share of off-take contracts at the level of at least 10% of the total procurement.
In 2024, the Fund’s procurement system was recognised by leading international financial institutions – the European Bank for Reconstruction and Development (EBRD) and the Asian Development Bank – as compliant with the best international standards and practices. In particular, the procurement processes are fully automated, transparency of procedures is ensured, the influence of human factor is minimised and pre-qualification of potential suppliers is provided for. Financing of the Fund’s projects by international financial institutions is subject to procurement procedures in accordance with the Procedure and with priority given to Kazakhstani manufacturers.
A key instrument for supporting and developing local producers is the Import Substitution Programme, under which a producer undertakes to set up production of imported products and the Fund ensures long-term demand for these products.
As part of the implementation of the Import Substitution Programme, 91 new production projects were approved from 2018 to 31 December 2024, and 842 off-take contracts totalling KZT 306.6 billion were concluded with suppliers. At the same time, we concluded off-take contracts totalling KZT 191 billion in 2024, which is 10 times more than for 2023. These projects are expected to create 500 new jobs and attract over KZT 150 billion investments.
We integrate ESG principles into our procurement activities. In particular, in the review of applications from potential suppliers for projects under the New Production Facilitation Programme in accordance with the approved Procedure for the conclusion and execution of off-take contracts. In particular, projects are evaluated according to such criteria as the use of renewable energy sources at all stages of the product life cycle (including production of goods, procurement of raw materials, delivery, sale, use, utilisation, disposal) and the use of technologies to reduce the carbon footprint. Project evaluation is an important stage in the review of applications and directly affects the approval of the Fund’s Commission for further conclusion of an off-take contract with the supplier.