Revenue from main activities of Samruk-Kazyna Fund increased by 27% — Yernar Zhanadil

In the first half of 2018, the Sovereign Wealth Fund Samruk-Kazyna increased its operating income by 27% compared to the same period last year. This was announced at a press conference in the Government by the Co-Managing Director for Economics and Finance Yernar Zhanadil.

According to him, the operating profit plan was fulfilled by 78% and reached 428 billion tenge, which is 43.1% higher than the same indicators of 2017.

"Oil refining increased by 13%, electricity production — by 28%, railway freight turnover — by 9%. The positive dynamics of prices for hydrocarbons made a significant impact on this process," Zhanadil said.

The results of the work on strengthening the financial stability of the Fund and its leading portfolio companies were also noted: in the first half of 2018, the Fund reduced external debt by $900 million, JSC NC KazMunayGas repaid international bonds worth $1.6 billion, Samruk-Energo JSC provided early repayment of loans for almost 39 billion tenge.

In addition, according to the speaker, frozen deposits from Kazkommertsbank for 117 billion tenge were early withdrawn, and a framework agreement on the early withdrawal of frozen deposits in another second-tier bank in the amount of 220 billion tenge was signed.

"The released funds will be loaned at rates below the market to the portfolio companies of Samruk-Kazyna, in particular, NC Kazakhstan Temir Zholy JSC — 75 billion tenge, Kazakhtelecom JSC — 75 billion tenge and NAC Kazatomprom JSC — $200 million. In the medium term, this measure will bring about 50 billion tenge to the Fund," Zhanadil stressed.

Recall, in April 2018, at the meeting of the management board of Samruk-Kazyna Fund, Chairman of the Board Akhmetzhan Yessimov presented a new strategy for the development of the Fund for the next 10 years to the President of the country.