Baiterek National Managing Holding Presented Financing Mechanisms for the National Project MECS

Astana hosted the conference “National Project on Modernization of the Energy and Utility Sectors: Opportunities for Kazakhstani Business.” The plenary session was attended by Deputy Prime Minister of the Republic of Kazakhstan Kanat Bozumbayev, Vice Minister of National Economy Asan Darbayev, Vice Minister of Energy Sungat Yesimkhanov, Vice Minister of Industry and Construction Olzhas Saparbekov, Chairman of the Committee for Construction and Housing and Utilities Bakhytzhan Zhunisbekov, General Director of the National Center for Innovation and Entrepreneurship Aslanbek Zhakupov, as well as representatives of business and international organizations.

Deputy Chairman of the Management Board of Baiterek National Managing Holding Zhandos Shaikhy delivered a report, noting that the Holding has been designated as the financial operator of the National Project for 2025–2029.

“Designating Baiterek as the financial operator of the National Project was a key decision for the effective mobilization and allocation of funds. Our task is to create reliable financing mechanisms that will allow for the modernization of energy and utility facilities, reduce infrastructure deterioration, and improve the quality of services for the population,” emphasized Zhandos Shaikhy.

In accordance with the rules approved by the Ministry of National Economy, the following financing instruments are available to natural monopoly entities:

• Direct lending from Development Bank of Kazakhstan JSC, second-tier banks, and international financial organizations;
• Bond loans from Kazakhstan Housing Company JSC, local executive authorities, or the private sector;
• Capitalization through local executive authorities or social-entrepreneurial corporations at the project implementation site;
• Budget loans;
• Leasing financing from Industrial Development Fund JSC in the case of equipment acquisition.

Since September of this year, Baiterek National Managing Holding has begun the practical implementation of the National Project. Kazakhstan Housing Company carried out its debut repurchase of government securities from local akimats in the amount of 22.5 billion tenge, which enabled the launch of 10 pilot projects in North Kazakhstan, West Kazakhstan, Pavlodar, and Karaganda regions.

The financed projects focus on the reconstruction of heating networks and water treatment facilities, aimed at ensuring uninterrupted and high-quality water supply, reducing network deterioration, and lowering the accident rate of heating networks.

In addition, applications from natural monopoly entities are being received through the internal portal bgov.kz. Currently, 27 projects are under review, including 7 projects at Development Bank of Kazakhstan with a total value exceeding 140 billion tenge. For instance, the investment project of Karagandy Zharyk LLP has entered the final stage of consideration – bank expertise.

At the same time, the Holding is also engaging with international financial institutions, with notable interest from the World Bank and the European Bank for Reconstruction and Development. Concluding his remarks, Zhandos Shaikhy stressed that the Holding will continue to fulfill its role as the financial operator to achieve the target indicators of the National Project.