The editorial team of FBRK continues its report on the total remuneration amounts of members of the executive bodies of Kazakhstan's national companies.
Today we will focus on the largest investment holding company - JSC "NWF "Samruk-Kazyna", whose sole shareholder is the Government of Kazakhstan.
Based on the results of 2023, the fund's revenue amounted to 15.4 trillion tenge, showing a 4% increase compared to 2022.
The revenue growth in 2023 was influenced by positive performance of the group of companies, in particular, NAC "Kazatomprom", JSC "Kazakhstan Temir Zholy", JSC "NC "QazaqGaz", and JSC "NC "KazMunayGas".
Furthermore, in 2023 the fund directed 78% of dividends from portfolio companies to the government, thereby exceeding the annual payment norm to the state, which stands at 50%.
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For reference: Portfolio company – a company in which the holding company owns shares.
Dividends – a portion of profit that a company shares with investors who own shares in that company.
In 2020, JSC "NWF "Samruk-Kazyna" was headed by Akhmetzhan Yessimov, who, prior to being appointed chairman of the holding's management board in 2017, held a number of high-ranking government posts.
It is worth noting that Mr. Yessimov's successful professional career is often attributed, among other things, to his political connection with Nursultan Nazarbayev.
In 2020, 5 members of the executive body of Samruk-Kazyna, including Akhmetzhan Yessimov, received a total of over 266 million tenge.
In 2021, the position of chairman of the management board passed to Almassadam Satkaliyev, who currently holds the post of Minister of Energy.
At that time, 8 members of the management board were awarded bonuses totalling over 275 million tenge. In 2022, 7 people, including the chairman of the management board, received a total of around 406.5 million tenge.
In 2023, the executive body of Samruk-Kazyna was headed by Nurlan Zhakupov, who previously – from 2020 to 2023 – managed "Kazakhstan Investment Development Fund (KIDF) Management Company Ltd."
Last year, 9 members of the management board received total remuneration amounting to around 574 million tenge.
Recall that the FBRK editorial team previously wrote about the bonus amounts for top managers of national companies that are part of the investment holding company JSC "NWF "Samruk-Kazyna", namely, JSC "NC "KazMunayGas", JSC "NAC "Kazatomprom", JSC "NC "QazaqGaz", JSC "Kazakhtelecom", JSC "KEGOC", JSC "Samruk-Energy", JSC "Kazpost", JSC "Kazakhstan Temir Zholy", JSC "Samruk-Kazyna Construction" and JSC "Air Astana".
We compared the total bonuses of the executive bodies of the above-mentioned companies in 2023 and compiled a top 10 of impressive remunerations.
Let us move on, however, from these significant bonuses to the activities of the investment holding company.
The National Welfare Fund "Samruk-Kazyna" is a key player in Kazakhstan's economy, managing the country's strategic assets.
The holding company attracts both domestic and foreign investment, stimulating economic development. This role is partly entrusted to a subsidiary company – LLP "Samruk-Kazyna Invest", whose assets amount to $70 billion.
JSC "NWF "Samruk-Kazyna" participates in the privatisation process, transferring some state assets into private hands, thereby helping to develop a competitive environment.
At the same time, the fund is often subjected to criticism for several reasons related to the significant role of "Samruk-Kazyna" in Kazakhstan's economy.
President Tokayev has repeatedly criticised the fund for bureaucracy, low efficiency and corruption risks, demanding greater transparency, accountability, and improved asset management.
And yet some questions remain open. For example, many are concerned about the extent to which the fund actually contributes to economic diversification, given that Samruk-Kazyna operates actively in several strategic sectors: the oil and gas sector, energy, transport, and communications.
Furthermore, the holding company is considered one of the structures that was long under the control of the political elite associated with the first president of Kazakhstan, which, despite all the personnel changes, does not enhance the nation's trust in the national welfare fund.
And given the concentration of assets, there is always a concern that the fund's resources could be used for personal or political interests.
Recall that last year, the head of state in his address to the people of Kazakhstan noted the need to continue the modernisation of the economic sector, where JSC "NWF "Samruk-Kazyna", without any doubt, is assigned a key role.