Samruk-Kazyna JSC is implementing a large-scale program for deep modernization throughout its history. The changes affected all areas of the Fund’s activities. The program, which was approved by the President of the Republic of Kazakhstan at the meeting of the Supreme Council for Reforms, aims to improve the efficiency of work, support domestic producers and suppliers, increase transparency of procurement. Note that all the proposed reforms are already in effect. The activities of the updated Fund have become as transparent as possible. 

The Board of Directors of the Fund approved the draft of a new Procurement Procedure of the Fund, which now contains a description of all procurement procedures without the presence of reference standards for other documents and is a document of direct action. The grounds for single-source procurement have been reduced, transparency of the process of categorical procurement management and prequalification with the involvement of the general public has been increased. The method of procurement within the framework of intra-holding cooperation is excluded. New measures have been introduced to support domestic producers and SMEs. 

The HR policy has been completely reformed. A new organizational structure has been approved, where managerial (from 10 to 5) and administrative (from 248 to 124) personnel have been halved. Accordingly, the number of structural divisions has been optimized by 33% (from 27 to 18). The procedures for hiring applicants for senior procurement positions in the Fund’s group of companies have been revised. Work is underway to update the personnel of procurement specialists in accordance with the new increased requirements. 55 managers of the Fund’s group of companies have already been dismissed from their posts.    
“Now every candidate for a leadership position in the organization and procurement is checked by Security and Compliance Services. The biography of each applicant is studied thoroughly. Psychological profiling for resistance to corruption risks and polygraph are used during the interview,” said Gibrat Auganov, the Managing Director for Public Relations and Change Management. 

As part of the ongoing reforms, the Fund closely cooperates with the Anti-Corruption Agency of the Republic of Kazakhstan, provides all possible assistance to eradicate any corruption manifestations in Samruk-Kazyna. 

As for the ongoing investigations against the former managers of Samruk-Kazyna JSC, Samruk Energy and Kazakhstan Temir Zholy, it is worth noting that the current officials of the Fund are not involved in any investigative activities. The new management of the Fund works closely with the Anti-Corruption Agency and is interested in the objective investigation. The Fund implements best practices on compliance and anti-corruption issues. A memorandum of cooperation has been signed with the Anti-Corruption Service and the Adaldyk Alany project office is functioning.  

The role of the Public Council has been increased in the updated Fund. Now every citizen of Kazakhstan can make their own proposal on the activities of Samruk-Kazyna JSC. The official website provides the opportunity to send their proposals on key areas of reform, which will be carefully considered at the next meeting of the Public Council. The results of the discussion are planned to publish for public review in April this year. 

The Fund notes the increased interest in the so-called “intermediary firms” in the society. Currently, the process of excluding mediation in the industries supervised by the Fund is underway. For example, 44 contracts with energy supply organizations will be terminated. It was decided to abandon bilateral agreements, wholesale electricity will be produced either on open or on exchange platforms.  

Regarding the provision of Kazakhstan domestic gas needs, it was decided to reduce exports and send 2 billion cubic meters of gas to the domestic market. Barriers to participants in the oil and petroleum products refining market, gas market development, coal and electricity supplies, access to infrastructure, railcar supply are eliminated. 

It is assumed that the implementation of the new strategy will attract for 3 years about USD8.2 billion of investments, create at least 10 thousand jobs and launch 24 new production facilities. 

The role of corporate social responsibility, as well as ensuring occupational safety and health, has been strengthened. 
Tax revenues to regional budgets are increasing, and programs are implemented to support the regions of presence. A set of measures is implemented to stabilize the situation in the western regions of the country. Special programs for the employment of the unemployed have been developed and are functioning. 

Measures have also been taken to increase the salary level of production personnel in a differentiated manner, with the emphasis on low-paid positions. These measures have made it possible to reduce the gaps in the salaries of senior staff and ordinary employees. 

The Samruk-Kazyna Fund fully fulfills its social responsibilities. Specifically for this purpose, a single charity operator was created - the Samruk-KazynaTrust Social Project Development Fund, whose help was felt by more than half a million Kazakhstanis last year alone. 

At the moment, the Fund conducts 30 major social projects. 700 children with disabilities and more than 3 thousand teenagers from low-income families are regularly supported. More than 6,700 volunteer raids to WWII veterans and home front workers have been organized.   Over 140 children with incurable diagnoses in Kazakhstan receive treatment abroad on an annual basis. 

Within the framework of the “Areket” project, more than 120 social entrepreneurs across Kazakhstan received grants, unemployed citizens were employed in the regions, women with disabilities and mothers of special children opened their projects. 

As the Managing Director Gibrat Auganov noted, the Fund is open to everyone and is aimed at implementing an exceptionally transparent policy in all areas of activity. 

Considering that journalists are representatives of a socially important profession, informing the population and forming public views on socially significant issues, we draw the attention of media representatives, bloggers to the inadmissibility of distorting information, making inaccuracies that negatively affect the public mood. 

We reaffirm our openness to dialogue and constructive cooperation in all aspects of the Fund’s activities. We call on members of the public and journalists to ask directly questions, clarify details, supplement information, for its part, the Fund guarantees that no appeal will be ignored. 

Only through joint efforts will we be able to fulfill the goals and objectives set by the Head of State within the framework of building a New Kazakhstan.