Privatization going according to schedule in Kazakhstan

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ASTANA (TCA) — At a meeting on July 17, the Government of Kazakhstan reviewed the progress of privatization in the country, the official website of the Prime Minister of Kazakhstan reported.

Minister of Finance Bakhyt Sultanov reported that following the first half year results of 2018, 502 out of 887 objects of the Comprehensive Privatization Plan were put up for sale, of them, 421 for 216 billion tenge were sold. At the stage of reorganization and liquidation are 266 facilities, and the implementation of the Privatization Plan, taking into account the reorganized and liquidated objects, is 77.4%.

In addition, of the 63 top objects of the Comprehensive Plan, 15 have been sold for 110.5 billion tenge. This year it is planned to sell 39 top objects, eight of which were put up in the first half of the year, including 2 sold ones. The remaining facilities are at the stage of pre-sale preparation and negotiations with potential buyers.

“In general, the privatization process is in line with sales schedules. Until the end of this year, 87 more objects will be put in the list,” Sultanov added.

Deputy Chairman of JSC Sovereign Wealth Fund Samruk-Kazyna Alik Aidarbaev informed that as part of the Comprehensive Plan, as of July 1, 2018, the Fund sold 80 assets worth 139.78 billion tenge, 64 assets were liquidated or reorganized.

“In 2018, Transtelecom JSC, Aktau Oil Equipment Plant LLP, Kazakh Academy of Transport and Communications (Almaty), as well as its eight subsidiaries, including colleges in different regions of the country, KazMunaiGas-Service (Georgia), Borjomi Likani International, Kaskor-Transservice, and Semurg Invest Temir Zholy were sold. Pre-sales preparation and evaluation of such large assets as airports in Aktobe, Atyrau and Pavlodar are being conducted. For Kazmortransflot and Kazakh-British Technical University, methods of sale have been coordinated and auctions are expected to be held soon,” Aidarbayev said.

In addition, special attention is paid to the possible IPO of the largest national companies. Three out of six candidate companies are already preparing for possible IPO deals, such as Kazakhtelecom, Kazatomprom and Air Astana.

Sergey Kwan

TCA