The National Fund Monitoring Commission has identified shortcomings and violations in the implementation of projects worth trillions of tenge. The audit revealed issues with transparency, planning and control, which affects the effectiveness of government investments.
WHICH PROJECTS WERE AUDITED
According to the Supreme Audit Chamber of the Republic of Kazakhstan (SAC RK), the commission meeting was chaired by Alikhan Smailov with the participation of representatives from state bodies and the quasi-public sector.
The audit covered more than 3,000 projects worth 3.4 trillion tenge, financed through targeted transfers, as well as bond loans totalling 3.8 trillion tenge.
Overall, the implementation of the projects had a positive effect, however, opportunities to improve economic returns were identified.
WHAT VIOLATIONS WERE IDENTIFIED
The Commission pointed out the absence of a single state body responsible for implementing the objectives of the National Fund. Functions are distributed between the Ministry of National Economy, the Ministry of Finance and the National Bank, which complicates control and analysis.
An insufficient level of reporting transparency was noted. A number of projects were included for financing without full preparation, which led to delays. More than 500 projects worth 394 billion tenge were excluded or replaced during implementation.
INEFFECTIVE USE OF FUNDS
Cases of financing local-level projects were identified, as well as the allocation of funds for already completed projects or in excess of needs.
Facts of inappropriate redistribution of funds and inflated procurement costs in certain regions were recorded.
Shortcomings in the bond financing system were also noted, including weak control over the intended use of loans and the financing of projects with low returns.
WHAT MEASURES WERE PROPOSED
Following the results of fund utilisation for 2023–2024, a number of criminal cases have been registered; the details are not specified in the materials.
The Commission recommended ensuring the traceability of funds, excluding the financing of unprepared projects, and returning 64 billion tenge used for purposes not stated.