Ministry of economy and budget planning of the Republic of

Public private partnership in Kazakhstan as a tool for building efficient transport and trade routes

S. Nugerbekov President of JSC “ERI”

Geneva, December, 3-5 Silk way routes

ECONOMIC RESEARCH INSTITUTE

JSC “Economic Research Institute” 2 “Transport and communication complex development should provide advantage gaining of geostrategic location of the country, that is a transit point between Europe and Asia”

N. Nazarbayev President of the Republic of Kazakhstan

JSC “Economic Research institute” 3 RealReal andand declareddeclared financingfinancing ofof roadroad industryindustry inin KazakhstanKazakhstan

JSC “Economic Research Institute” 4 ReasonsReasons forfor introductionintroduction PPPPPP inin transporttransport infrastructureinfrastructure developmentdevelopment inin KazakhstanKazakhstan

z Allows to solve short-term investments issues (infrastructure investment – a burden for budget) z Allocates risks in transport infrastructure investment as well as state and private expenses z Guarantees long-term responsibility for qualitative service z Provides implementation of new technologies and facilities at the expense of entrepreneurs

JSC “Economic Research Institute” 5 RegulatoryRegulatory legallegal actsacts ofof PPPPPP inin KazakhstanKazakhstan

1. Kazakhstan Republic Law, from December 23, 1991 № 1021-XII “About concessions in Kazakhstan” 2. Kazakhstan Republic Law from April 8, 1993 № 2090-XII “The law of concessions in Kazakhstan is to become inoperative” 3. Kazakhstan Republic Law from January 27, 1996 № 2828 “About mineral resources and its use” 4. Civil Code of the Republic of (Essential part) from July 1, 1999 № 409-I 5. Kazakhstan Republic Law from January 8, 2003 № 373-II “About investment” 6. Kazakhstan Republic Law from April 12, 2005 № 36-III “About state and social order” 7. Kazakhstan Republic Law, from July 7, 2006 № 167-III “About concessions” 8. Kazakhstan Republic Law “On the Introduction of Amendments and Additions to the Law about concessions” 9. Edict of President of the Republic of Kazakhstan from March 5, 2007 № 294 “List of objects, unliable to concession”.

JSC “Economic Research institute” 6 MostMost commoncommon formsforms ofof PPPPPP inin KazakhstanKazakhstan z Concession z Social and Business corporation

JSC “Economic Research Institute” 7 1717 concessionconcession projectsprojects withwith 2020 bln.bln. $$ USAUSA budgetbudget z 10 projects of construction and reconstruction of road traffic routes z 6 projects of construction and electrification of rail roads z 1 project in commercial aviation (airport reconstruction in Kostanai)

JSC “Economic Research Institute” 8 10 projects of construction and reconstruction of road traffic routes z – Khorgos highway (reconstruction); z Tashkent- highway (Zhambyl oblast border); z Almaty-Kapshagai highway; z Astana- highway, Beyneu highway; z highway, Uralsk-Kamenka border on Russian Federation (Ozinki); z BAKAD highway (construction); z Astana- Shuchinsk highway (implementation of intellectual transport system); z Karaganda-Balkhash-Kapshagai (reconstruction and construction); z Beyneu-Shalkar highway(construction);

JSC “Economic Research Institute” 9 ConcessionConcession projectsprojects ofof roadroad industryindustry

Astana-Shuchinsk Almaty-Kapshagai 224 km, 115 bln. tenge, 104 km, 70 bln. tenge, 6 lines 6 lines

ASTANA

Almaty-Khorgos Astana-Karaganda BAKAD 301 km, 169 bln. tenge, 4 lines 238 km, 120 bln. tenge, 65 km, 75 bln.tenge 4-6 lines 4-6 lines в составе коридора part of the corridor «West Europe – West China»

Length of concessionary roads will reach ≈ 1,2% JSC “Economic Research Institute” 10 66 projectsprojects ofof constructionconstruction andand electrificationelectrification ofof railrail roadsroads z “Shar - Ust-Kamenogorsk” (construction); z “Korgas-Zhetygen” (construction); z “Eraliyevo-Kuryk”(construction); z “Mangyshlak-Bautino”(construction); z “Beyneu-Shalkar”(construction); z “Saksaulnaya-Zhezkazagan” (construction); z “Makat-” (electrification); z “Almaty-Aktogai”(electrification); z “Dostyk-Aktogai” (electrification); z “Aktogai-Mointy”; 1 project in commercial aviation (airport reconstruction in Kostanai) JSC “Economic research Institute” 11 OtherOther fieldsfields forfor PPPPPP inin KazakhstanKazakhstan z Education system z Public health service z Administration and management system

JSC “Economic Research Institute” 12 ThankThank youyou forfor youryour attentionattention!!

JSC “Economic Research Institute“ Ministry of Economy and Budget Planning of the Republic of Kazakhstan 8 Thirty Fifth Street, Entry # 7, office # 752 Astana, Republic of Kazakhstan, 010000 tel. + 7- (7172) 74 29 97 fax. +7 - (7172) 74 35 58, +7 – (7172) 74 35 54, mob.+7 701 999 4990 e-mail: [email protected]@economy.kz

JSC “Economic Research Institute” 13