At the press briefing today, the Chief Executive Officer of Samruk-Kazyna JSC, Nurlan Zhakupov, summed up his work for the first 100 days and spoke about further plans for the development of the Fund.

He noted that he was satisfied with the state in which the Fund’s affairs were transferred, the level of the team and employees in portfolio companies.

Nurlan Zhakupov stressed that the Fund has a huge impact on the state of our economy, being its driver and leader in business approaches. The contribution of Samruk-Kazyna to the sustainable development of Kazakhstan in 2022 amounted to KZT7.6 trillion.

“If we sum up, in particular, our payments to the state, that is: taxes, dividends and other distributions for 2022, then this amount is almost KZT2 trillion. This is comparable to the budget of 2023 of the largest agglomeration of Kazakhstan – the city of Almaty and the Almaty region – combined”, - N. Zhakupov said.

One of the main issues raised at the briefing was the increase in tariffs for a number of activities of portfolio companies. The Fund’s management, together with the Government and state bodies, is systematically working towards the introduction of fair tariffs, but with mandatory consideration of the interests of the population in order to ensure social stability.

“The Fund subsidizes the economy of Kazakhstan by providing preferential tariffs and prices in the amount of KZT1.2 trillion - Nurlan Zhakupov said. This leads to chronic underfunding and, accordingly, deterioration of infrastructure. Last year, the President instructed to implement the “Tariff in Exchange for Investment” program. We are currently working with the Government and the Executive Office of the President on a planned increase in tariffs. Our task is to keep the growth of tariffs within the target inflation corridor of 10-12% and ensure social stability”, - the Head of the Fund said.

At the moment, the change in tariffs has been agreed for the following companies:

● JSC NC KazMunayGas - increase in wholesale prices for fuel and lubricants

● JSC NC QazaqGaz - increase in wholesale and retail gas prices

● Samruk-Energy JSC - a tariff for electricity production

● JSC NC Kazakhstan Temir Zholy - a tariff for the services of the main railway network

Currently, the issue of changing tariffs for the following categories of services is worked out: water supply through the main water pipeline, gas transportation, heat energy, transit and export, locomotive traction.

During the briefing, the revenue forecast of Samruk-Kazyna for the end of 2023 was presented. According to this forecast, a significant increase in the value of the Fund’s assets is expected, which will amount to $78 billion compared to $72 billion at the beginning of the year.

At the end, Nurlan Zhakupov outlined a personal goal for the development of Samruk-Kazyna JSC.

“I believe that I should not just preserve the assets of the Fund, our National Treasure, increase their efficiency and increase transparency. I took over the management of the Fund when the total value of its assets was $72 billion. I intend to make every effort so that by the end of 2026 the value of the Fund’s assets, that is, the value of enterprises and companies owned by the people of Kazakhstan, will amount to $100 billion. This is an ambitious goal, but I am sure that we have every opportunity to achieve this goal”, - he said.

The net profit of the Fund is planned to be at the level at least of 2022, despite the decline in oil prices.