Meeting of the Council for the Management of the National Welfare Fund Samruk-Kazyna Prime Minister B.Sagintayev, Head of the Presidential Administration A.Dzhaksybekov, Chairman of the National Bank D.Akishev, Chairman of the Board of Samruk-Kazyna JSC A.Esimov, Deputy Prime Ministers A.Mamin and A.Zhumagaliyev, Assistant President A. Smailov, Minister for Investments and Development Zh. Kasymbek, Minister of National Economy T. Suleimenov, Minister of Finance B.Sultanov, Minister of Energy K.Bozumbayev, Independent Director of Samruk-Kazyna JSC R. Evans, heads of national companies and enterprises .
Issues related to the adoption of the updated Development Strategy of Samruk-Kazyna and the Fund’s Transformation Program were discussed during the meeting.Opening the meeting, the President of Kazakhstan noted the strategic importance of the National Welfare Fund “Samruk-Kazyna” in strengthening and further development of the national economy.
– Samruk-Kazyna plays an important role in the economy of our country. The first long-term development strategy of the Foundation was adopted in 2012. It was designed to counter the effects of the global financial crisis. In recent years, the situation has changed. Resisting before external factors, our economy has taken the path of stable development. A lot of work has been done, “said Nursultan Nazarbayev.
The Head of State positively assessed the activities aimed at the development of the Fund, and pointed out the need to update previously adopted programs in accordance with modern conditions.
– We started the Third modernization of the economy, active work began on digitalization. The country’s development strategy was adopted until 2025. In these conditions, it is time to adopt the new Development Strategy of Samruk-Kazyna. We also need to update the Fund’s Transformation Program. The results of this program should be reflected in the activities of the Fund’s companies, “said the President of Kazakhstan.
During the meeting, reports were presented by the Chairman of the Board of Directors of Samruk-Kazyna JSC – Prime Minister B. Sagintayev, Chairman of the Board of Samruk-Kazyna JSC A.Esimov, Independent Director of Samruk-Kazyna JSC R. Evans. The participants of the meeting were presented with the updated Development Strategy of Samruk-Kazyna JSC for 2018-2028 and the Transformation Program. Particular attention was paid to the development of human capital and effective use of the human resources of the Fund.
After listening to the speakers, Nursultan Nazarbayev drew the attention of those present to a number of issues that require taking appropriate measures.
– Concerning the improvement of the management efficiency of the Fund. Until now, the multi-level system of management of the companies of the Fund continues to operate. This complicates decision-making, requires considerable financial resources to maintain a large number of administrative and managerial personnel. It is necessary to reduce the levels of government, “the Head of State said.
The President of Kazakhstan also drew attention to the importance of continuing work on privatization of the Fund’s assets, noting the high interest of foreign investors in participating in this program.
Nursultan Nazarbayev separately focused on the process of digitalization of the Fund’s companies, emphasizing the relevance and timeliness of this program in the conditions of the fourth industrial revolution.
In addition, the Head of State pointed to the need to make systemic decisions with respect to the major investment projects of the Fund.
Following the meeting, the President of Kazakhstan approved the updated Development Strategy of Samruk-Kazyna JSC for 2018-2028 and the Fund’s Transformation Program and instructed to ensure special control over their further implementation.
– The work of the National Welfare Fund should be aimed at improving the lives of Kazakhstanis and strengthening the country’s economy. The updated Development Strategy and the Transformation Program will not only improve the Fund’s performance, but also positively influence the further development of the national economy. In this regard, the Government, together with the leadership of the Fund, should carry out active work to implement these programs, – concluded Nursultan Nazarbayev.
Meeting on the results of the National Bank
During the meeting, the report of the National Bank for the year 2017 was heard, and prospects for the development of the country’s financial sector were presented.
The President of Kazakhstan, noting the improvement of macroeconomic indicators and the finding of inflation in the given corridor, focused on the state support of the banking system and the need for strengthening the supervision of the activities of financial institutions by the regulator.
– The state provided unprecedented support to the banking system, allocating more than 3 trillion tenge. At the same time, the volume of loans issued by banks did not increase and amounted to 12.7 trillion tenge by the end of 2017. The share of non-performing loans was 10%. This year, the National Bank’s program for the recovery of banks that have very poor performance will be closed. These banks have negative indicators due to the fact that the shareholders managed not effectively, they increased their debts and can not provide depositors with the fulfillment of their obligations. What is the way out of this situation? To preserve these banks, shareholders must invest their own financial resources in order to return the money that they previously withdrew from there, the Head of State said.
Nursultan Nazarbayev separately focused on measures to restart the financial sector, outlined in this year’s Message to the people of Kazakhstan and the “Five Social Initiatives”.
– Today there is a problem of long-term crediting of the economy. It is necessary to revive the stock market, as well as timely and efficiently respond to situations arising in the banking system. In view of the adoption of amendments to the law on currency regulation, which is currently being discussed in the Parliament, it is necessary to begin work on the program “7-20-25” as early as this year. I ask the deputies of both chambers to expedite consideration of this issue until the end of the current session. This is important for the implementation of the “Five Social Initiatives” voiced by me, addressed to every citizen, “said the President of Kazakhstan.
In turn, Daniyar Akishev noted that in 2017 the activity of the National Bank was focused on ensuring the stability of market prices and normalizing the work of the banking sector.
– The situation in the financial market is stable. Macroeconomic indicators and indicators of the development of the financial sector are consistently improving. We expect that in 2018 inflation will develop in the corridor of 5-7%. As of the end of February 2018, the rate on loans in tenge for legal entities decreased to 12.9%, – said the chairman of the National Bank.
In addition, D. Akishev commented on the situation with the exchange rate of the tenge and the impact on it of external and internal factors.
– Last week, events occurred related to the expansion of US economic sanctions against certain Russian companies and individuals. Accordingly, there have been some changes on the Russian stock and foreign exchange market, which, naturally, also influenced the currency market of Kazakhstan, which in a freely floating exchange rate is a normal phenomenon. At the same time, the market reaction itself was not directly proportional, as the ruble rate fell by more than 10%, while the tenge in nominal terms declined by only 3%, – said the chairman of the National Bank.
Following the results of the meeting, the Head of State, noting the improvement of the work of the National Bank, gave a number of specific instructions.
Having greeted the Minister of Foreign Affairs of Korea, the Head of State emphasized the trustworthiness of bilateral relations.
– Astana and Seoul have very trustful and friendly relations; economic cooperation is actively growing. Many issues of economic and humanitarian cooperation are being resolved. We support your active work in Central Asia, the President of Kazakhstan said.
In her turn, the Minister of Foreign Affairs of the Republic of Korea expressed her gratitude for the meeting and shared her impressions of the visit to Kazakhstan’s capital.
– For me, this is the first visit to Kazakhstan and Astana. It is significant that my visit takes place in the year of celebrating the 20th anniversary of your capital city. I am very impressed by how far Astana has developed during this period, Kang Kyung-wha said.
During the meeting, the head of the foreign policy department conveyed to President Nursultan Nazarbayev the greetings of Mr. Moon Jae-In, President of the Republic of Korea.
– President Moon Jae-In, based on the foundation that was formed over 25 years between our countries, intends to continue developing and deepening the existing cooperation, Kang Kyung-wha said.
16 April 2018
Meeting with Minister of National Economy Timur Suleimenov
During the meeting, the Head of State was provided with information on the results of the analysis of the economic development indicators for the year 2017 and a report on the current activities of the ministry.
Nursultan Nazarbayev emphasized the importance of strategic planning and forecasting in the process of preparation and implementation of state programs.
– All measures should be implemented for the benefit of Kazakhstan’s economic development. It is necessary to study the implementation of state programs, including the implementation of the “Five Social Initiatives”. The Ministry of National Economy should determine further steps for all government agencies, both at the central and regional levels, “said the President of Kazakhstan.
In turn, Timur Suleimenov reported to the President on the results of economic development for the first quarter of this year and the impact of global processes on the economy of the country as a whole.
At the end of the meeting, the President of Kazakhstan gave a number of specific instructions, including the further development of Kazakhstan’s export and transit potential, as well as the implementation of state and sectoral programs.