Presentation about
National Managing Holding
“Baiterek” JSC
Astana
Holding’s Strategy 2014-2023
Mission
to promote sustainable economic development of Kazakhstan through funding and support of
priority sectors of the economy for implementation of public policy and State programs, finding
solutions for socially-oriented tasks and reaching goals set by the “Strategy 2050”
Vision by 2023
the main financial agent of the Government of the Republic of Kazakhstan that supports
diversification, modernization and sustainable development of the economy and provides
solutions for socially-oriented tasks of the state
The main goals and objectives
1.
Provision of full range of financing instruments
2.
Support of small and medium enterprises
3.
Support of new, modern economic sectors and innovation development of the economy
4.
Support of export activities of national companies
5.
Support and promotion of affordable housing
2
About Holding
Strengths
•
International rating agency Fitch Ratings and S&P has assigned Baiterek
Holding long-term credit rating “BBB+”
•
Wide range of non-financial and financial instruments
•
Experience in investing to large and long-term projects in a wide range of
industries
•
Experience in supporting SMEs
•
•
•
Experience of successful cooperation with international financial institutions
Possibility to attract funding from government budget
Board of Directors includes key government officials and is chaired by the
Prime Minister of Kazakhstan
3
Board of directors
Chairman of the board,
Prime-Minister
Karim Massimov
First deputy primeminister
Bakhytzhan Sagintayev
Minister of finance
Bakhyt Sultanov
Minister of investment
and development
Asset Issekeshev
Minister of national
economy
Yerbolat Dossaev
Chairman
Kuandyk Bishimbayev
Independent director
Klaus Mangold
Independent director
Thomas Mirow
Independent director
Philip Yeo
Head of Department in
Executive office of the
President
Daulet Yergozhin
4
Baiterek Holding’s group of companies
Development Bank of Kazakhstan JSC
Investment
sector
Kazyna Capital Management JSC
Investment Fund of Kazakhstan JSC
Public Private Partnership Advisory Center LLP
National Agency of Technological Development JSC
Entrepreneurship
& Innovation
sectors
Export Credit Insurance Corporation JSC
Entrepreneurship Development Fund “Damu” JSC
House construction savings bank of Kazakhstan JSC
Housing
sector
Kazakhstan Mortgage Company MO JSC
2010-2014
State Program for
accelerated
industrial and
innovative
development of
the Republic of
Kazakhstan
Business Road
Map – 2020
Program
Affordable
Housing – 2020
Program
Mortgage Guarantee Fund of Kazakhstan JSC
Distressed assets fund JSC
5
Holding’s results on 30.06.2014
Holding’s
share
capital
Total number of
employees of
Holding group
Total assets
of Holding’s
subsidiaries
Total net profit
of Holding’s
subsidiaries
722
2427
2 116
12
bln. tenge*
people*
bln. tenge*
bln. tenge*
Holding's assets structure in 2013*
Development Bank of Kazakhstan JSC
0,2%
Kazyna Capital Management JSC
8%
Investment Fund of Kazakhstan JSC
Public Private Partnership Advisory Center LLP
18%
National Agency of Technological Development JSC
52.6%
3%
9%
1%
2%
0%
Export Credit Insurance Corporation JSC
Entrepreneurship Development Fund “Damu” JSC
Net profit
in 2013
Net profit
in 2014
7
12
bln.
tenge
bln.
tenge
Distressed assets fund JSC
4%
3%
House construction savings bank of Kazakhstan JSC
increase
increase
5
bln.tenge
Kazakhstan Mortgage Company MO JSC
Mortgage Guarantee Fund of Kazakhstan JSC
* Data from preliminary reports
6
Development Bank of Kazakhstan JSC (DBK)
Establishment
 Established in 2001 with Presidential Decree and Law “On the
Development Bank of Kazakhstan”
Mandate




Instruments
Investment
priorities
Assisting the diversification of the economy of Kazakhstan
Development of the infrastructure and industries involved in raw material processing
Enhancing effectiveness of government investment activity
Facilitating foreign and domestic investments into Kazakhstan
 Medium and long-term financing for  Agent services for investment projects
investment projects
financed by the government or
 Leasing and trade finance
government-guaranteed debt
 Project and working capital financing
 Metallurgy
 Chemicals and petrochemicals
 Transportation and logistics
 Construction and other manufacturing
 Electrical energy generation and transmission industries
Loan portfolio to total assets ratio - 41% (at the beginning of the year - 34%)
Interbank lending program
In 2013 DBK approved and implemented Interbank lending program to support industrial-innovative development of
Kazakhstan by providing lending to commercial banks to finance projects in priority sectors of economy
Loans to
DBK
Allocate45
bln. tenge
Commercial
banks
SME
0.5 to 4.5
bln. tenge
Loan term up to 5 years
Interest rate ≤ 11.5%
(average market rate 13-15%)
Currently
38 bln. tenge
allocated to
commercial banks
under the program
7
Investment activity of DBK
2001-1HY 2014
246 projects
(including DBK leasing)
Launched $4,9 bln.
DBK participation – $2,6 bln.
Total work places
77 projects
Approved for financing $14,5 bln.
DBK participation – $7,8 bln.
23 thousands
2013 &1HY 2014
7 project & 3 export
operations
Launched (equipment delivered)
$696 mln.
Total work places
5 projects
Approved for financing $1,8 bln.
DBK participation – $912 mln.
~700
From the beginning of realization of SPAIID 2010-1HY 2014
Map of Industrialization & Productivity 2020 Program
30 projects & 12
leasing operations
Approved for financing $8,6 bln.
DBK participation – $4,7 bln.
Titan Fuel and Energy
Complex
Costs : $1,1 mln.
Euras Caspian Steel
Costs : $131 mln.
31 projects
(including DBK leasing)
Launched $2,9 bln.
~11 thousands
Total work places
Munaimash
Costs : $10 mln.
Borovoe Tourism City
Costs: $89 mln.
Agromashholding
Costs :$40 mln.
Uralsk Gas Turbine station
Costs: $69 mln.
Agromashholding
Costs: $25 mln.
Bias Tech
Costs:$21 mln.
Atyrau Oil Refinery Plant
Costs: $2 956 mln.
Kazakhstan Petrochemical Industries Inc.
Costs: $1 946 mln.
Kazakhstan rail car manufacturing Company
Costs : $56 mln.
ABK MAXAT
Costs:$20 mln.
Steel Zinc
Costs: $2,5 mln.
Caustic
Costs: $90 mln.
Kazakhcement
Costs : $130 mln.
Steel Zinc
Costs: $9 mln.
SaryarkaAvtoProm
Сумма проекта: $73,5 mln.
Accent Logistics
Costs: $27,4 mln.
Kazakhstan Electrolysis Plant
Costs : $1 080 mln.
Karaganda Energocenter
Costs: $235 mln.
Ust-Kamenogorsk Titanium
Magnesium Plant
Costs : $135 mln.
Asia Auto
Costs: $2,6 mln.
Maikuduk Poultry Factory
Costs: $13 mln.
Shygys Construction
Management
Costs : $3 mln.
Akshabulak gas turbine
power plant
Costs: $129 mln.
Moinak Hydroelectric Power
Station
Costs : $361 mln.
Kentau Transformer Plant
Costs: $5,6 mln.
Zapchast
Costs: $19,05 mln.
Chimbulak Development
Costs: $205.9 mln.
Aktau International Airport
Costs: $75 mln.
Ontustyk Kurylys Service
Costs: $6,6 mln.
Taraz Metallurgical Plant
Costs: $79 mln.
Commissioned
Implemented
Productivity 2020
8
Investment fund of Kazakhstan JSC (IFK)
Establishment
 established with the Decree of Government of the Republic of Kazakhstan
dated May 30, 2003 № 501 "On creation of Investment Fund of Kazakhstan
JSC”
Main activities
 encouraging private investment in the non-oil sector of the economy through cofinancing investment projects and participation in the management of these project
 rehabilitation of distressed projects


Invested more than 34 billion tenge in 36 projects since the establishment of the fund
Returned assets worth 10.2 billion tenge
Advantages of investing in the projects of IFK

Entering the common market of a United Economic Area (UEA - Kazakhstan, Russia, and Belarus), with a
population of around 170 million people

Attractive investment climate in Kazakhstan. The Republic ranks a leading place in the region according to
the ratings of investment attractiveness

In the ranking of a favorable business environment (Doing Business 2013), Kazakhstan ranks in 49th place

In the ranking of Forbes Best Countries for Business (2011), Kazakhstan ranks the 80th place

According to the report of PricewaterhouseCoopers “Paying Taxes 2013”, Kazakhstan ranks the 17th place in
the rating of a favorable tax climate

Advices and assistance from highly qualified staff of professional managers of the Fund, experts in their field
Please see attachment for full pipeline of the projects of the Investment Fund of Kazakhstan.
Detailed information on any of the projects will be provided upon request
9
Kazyna Capital Management JSC (KCM)
Establishment
 a fund of private equity funds established in May 2007 by the initiative of the
President of the Republic of Kazakhstan to attract institutional investors, as well as to
promote effective private equity in Kazakhstan
Islamic
Infrastructure
Fund
226,5
млн. $
Baiterek Venture Fund
Key parameters
Target fund size
Term
►
►
►
Up to $ 50 million - at the first closing
$ 100 million - a target capitalization
►
Up to $500 million (may be increased up to $1 billion in the
long-term)
10 years (5 years – investment period; 5 years – exit
period)
►
10 - 15 years (10 years – investment period; 5 years – exit
period)
►
Kazakhstan and Customs Union countries
►
KCM at the first closing
Other international institutional investors
Investment
geography
►
Kazakhstan
Investors
►
Kazyna Capital Management
►
Target sectors
►
►
Kazakhstan Infrastructure Fund
Priority sectors of the State Program on
Accelerated Industrial-Innovative Development
(SPAIID) and projects at an early stage of
development
Projects requiring capital restructuring
Projects requiring rehabilitation measures
►
►
►
►
►
Power industry
Health care
Transport infrastructure
Public utility
10
Entrepreneurship Development Fund “Damu” JSC
Establishment
Main activities
 established in accordance with the Decree of Government of the Republic of
Kazakhstan dated April 26, 1997 № 665 in order to encourage the formation
and growth of small businesses in Kazakhstan and increase efficiency of state
funds allocated to support small businesses
 providing funds for lending to commercial banks
 loan guarantee and interest rate subsidies under the program
“Business Road Map – 2020”
 skill-building and entrepreneurs support facilities by the program
“Business Road Map – 2020” and own programs
Fund-for-lending
Interest rate subsidies
Loan
guarantee
Skill-building
2013 & 1Q
2014
113 650
2 609
237 803
1 723
176
24 200
Accumulated
results
793 807
14 902
735 600
3524
284
56 927
bln. tenge
bln. tenge
lenders
lenders
Service centers for entrepreneurs
In 17
regional centers,
Astana, Almaty
mln. tenge
mln. tenge
entrepreneurs
entrepreneurs
entrepreneurs
entrepreneurs
entrepreneurs
entrepreneurs
Mobile entrepreneurship
support centers
Entrepreneurship support centers
in monocities
In 14
areas
In 27
monocities
11
National Agency for Technological Development JSC (NATD)
Establishment
Main activities
 Established in 2003 as National Innovation Fund JSC
 In 2012 reorganized into the National Agency for Technological Development JSC
under the Ministry of Industry and New Technologies of Kazakhstan
 Provision of innovation grants
 Provision of technological business
incubation
 Investment support innovation projects
 Investments in innovative companies and
venture funds
 Development of innovation infrastructure
 Development of technology transfer
 Analytical and expert support of
innovation activities
 Promotion of innovation activities
 International cooperation
8 technological parks in 6 regions of
 4 International centers for technology
Kazakhstan
transfer (CTT)
 Kazakh-French CTT
 4 engineering design offices
 Kazakh-Korean CTT
 21 offices and 2 centers of commercialization
 Kazakh-American CTT
 SEZ “Park of Innovation Technologies”
 Kazakh-Norwegian CTT

Infrastructure
Innovation support tools
Innovation grants
more than
2013
186
applications
processed
more than
2010-2013
1000
applications
processed
44
projects
approved
210
projects
approved
total amount
822.9
mln.tenge
total amount
9 648
mln. tenge
Technological business incubation
more than
164
applications
processed
more than
600
applications
processed
20
projects
approved
116
projects
approved
total amount
307
mln.tenge
total amount
971
mln. tenge
12
Public Private Partnership Advisory Center (PPP АС)
Established on March 19, 2014 in accordance with the
recommendation given in the framework of the third meeting of the
Coordinating Council for Public-Private Partnership under the
Government of the Republic of Kazakhstan, September 13, 2013
•
Establishment
Share-holders
Mission
Main activities
•
•
National Managing Holding “Baiterek” JSC (share – 75%)
Kazakhstan PPP Center JSC– under the Ministry of Economy and
Budget Planning (share – 25%)
•
to support infrastructure development in the Republic of
Kazakhstan by providing the advisory services during the
implementation of infrastructure projects
•
•
•
Advisory support of infrastructure projects (including PPP)
Preparation of feasibility studies of PPP projects
Consulting the state bodies and potential investors on project
structuring
13
Thank you for your attention!
National Managing Holding “Baiterek” JSC
Registered address:
House 10, Orynbor street
Current address:
House 8, Block B, D.Kunayev street
Astana, 010000
Republic of Kazakhstan
Telephone: + 7 7172 91 91 00
Fax: + 7 7172 91 91 15
Email: [email protected]
Web: www.baiterek.gov.kz