Sole Shareholder

The Government of the Republic of Kazakhstan is the Sole Shareholder of the Fund. The Government governs the Fund and the Organisations solely through exercising its powers of the Sole Shareholder of the Fund, as provided by the Law on the Fund and the Fund’s Charter, as well as through its representation on the Fund’s Board of Directors. The main principles and issues of interaction between the Government and the Fund are regulated by the Agreement on Cooperation.

The Government of the Republic of Kazakhstan segregates its powers of the Sole Shareholder of the Fund from its powers related to state regulatory functions. The Government governs the Fund to enhance the national welfare of the Republic of Kazakhstan through achieving growth in the long-term value and through managing the assets of the Fund and the Organisations effectively.

The Government provides the Fund and the Organizations with full operational independence and does not permit interference by the Government and public authorities in the current and investment activities of the Fund and the Organizations, except in cases provided for by laws and acts of the President of the Republic of Kazakhstan. The Fund’s Management Board, the Chief Executive Officer, and bodies of the the Organisations are fully autonomous and independent in their decisions and any actions within their competence.

The Sole Shareholder of the Fund has a list of tasks, decisions on which must be taken directly by the Sole Shareholder. An overview of issues referred to the exclusive competence of the Sole Shareholder is given below.  These questions are fundamental to the Fund in summing up the strategic and financial results:

• Approval of the Fund’s Charter;
• Approval of the annual financial statements of the Fund;
• Approval of the Development Plan of the Fund;
• Approval of the Fund’s Corporate Governance Code;
• Determination of the Fund’s dividend policy, taking a decision on the distribution of the Fund net income based on the results of the reporting period, taking a decision on the payment of dividends;
• Taking decisions on voluntary reorganization or liquidation of the Fund;
• Determination of the quantitative composition, term of office of the Board of Directors of the Fund, election of its members and early termination of their powers;
• Appointment and early dismissal of the Chief Executive Officer;
• Alienation of shares of companies according to the list determined by the Sole Shareholder of the Fund, as well as transfer of these shares to trust management;
• Decision-making on liquidation, reorganization of companies according to the list determined by the Sole Shareholder of the Fund.

A full list of issues referred to the exclusive competence of the Sole Shareholder is disclosed in the Charter of the Fund at www.sk.kz