The FBRK editorial team continues its series of articles dedicated to the analysis of the largest state procurements of 2024 in the regions of Kazakhstan.
Abai Region ended the year with large-scale spending in four key areas: housing policy, sports development, utility services and social support for the population. Let us examine each of them in more detail.
SEMEY HOUSING PROGRAMME: 5.6 BILLION TENGE
The Department of Housing Relations and Housing Inspection of the city of Semey carried out a major housing programme. Over the year, the municipality purchased 469 apartments in new buildings in the Karagaily residential area from Asia Firm LLP.
The scale of the operation is impressive: from compact one-bedroom apartments with an area of 40-42 sq. m to spacious three-bedroom apartments of up to 67 sq. m. All properties were located in modern nine-storey brick buildings constructed in 2023-2024.
The most expensive transaction was the first deal worth 1.39 billion tenge for 104 apartments. The average cost of housing varied from 6.6 to 20.8 million tenge per unit, depending on the area and layout.
Financing came from mixed sources: the republican and local budgets accounted for around 1.5 billion tenge, with the remaining amount covered by loans from the regional budget. Short delivery times — from 15 to 30 days — indicate that the housing was ready for handover at the time the contracts were signed.
For a regional centre with a population of around 330,000 people, the purchase of nearly 500 apartments represented a significant boost to the municipal housing stock.
FOOTBALL INVESTMENT: 2.34 BILLION TENGE
The Department of Physical Culture and Sports of the Abai Region invested substantial funds in the development of football through three contracts with the Public Foundation 'Football Club Yelimay'.
The main contract worth 1.57 billion tenge provided for the organisation and preparation of the main and reserve teams for participation in republican competitions. A second contract for 433 million tenge was aimed at the development of youth and junior football. A third contract valued at 341.6 million tenge included detailed requirements for infrastructure: at least five coaches with UEFA licences, medical staff and a stadium with a capacity of at least 2,000 spectators.
Notably, during the execution of two contracts, their total cost decreased by 74.4 million tenge, which may indicate cost optimisation.
The investment paid off: Yelimay successfully returned to the Kazakhstan Premier League after a ten-year hiatus, finished in sixth place in the championship and received recognition from the Qazaqstan Football League in the 'Best Management' category. The club is actively developing its infrastructure, building an indoor football arena, a training pitch and a modern stadium for 12,500 spectators.
SANITARY CLEANING OF SEMEY: 1.38 BILLION TENGE
In March, the Department of Passenger Transport and Highways of Semey concluded an annual contract with Semey Tazalyk LLP for comprehensive sanitary cleaning of the regional centre.
The contractor serviced the entire city, divided into four lots, including central streets and the outskirts of the settlements of Voskhod, Vodny, Vostochny, Zholaman, and Kholodny Klyuch. According to the documentation, the technical equipment met modern standards: 56 types of specialised vehicles, equipped with GPS trackers to monitor the execution of work.
The winter programme stipulated that snow clearing should begin within 15-20 minutes of the start of a snowfall, with complete removal of snow masses within 72 hours. The summer programme included damp sweeping of roads, nightly washing of roadways and daily emptying of litter bins.
Under the 'Increasing the income of the region's population until 2030' programme, the contractor was required to create jobs for the unemployed through the state portal 'Electronic Labour Exchange'. To ensure fulfilment of obligations, a guarantee deposit of 41.4 million tenge was made.
SOCIAL HOUSING IN SHULBINSK: 1.03 BILLION TENGE
In December, the Department of Housing and Communal Services of the Zhanasemey District concluded a contract with Temir Argymak LLP for the purchase of over one hundred apartments for socially vulnerable segments of the population in the village of Shulbinsk.
Financing came from two sources: 827 million tenge via regional budget loans and 208 million tenge through transfers. The contractor completed delivery within 25 calendar days.
However, the quality of the documentation raises serious questions. In the technical specifications, the year of construction of the apartments is listed as 1950, which is physically impossible for new buildings. Many fields were filled in pro forma, and the country of origin varies between Kazakhstan and Australia.
Despite the full disbursement of funds, information is absent from open sources regarding whether the apartments were actually handed over to families in need. There is no data on the number of housing recipients, selection criteria or programme outcomes.
CONCLUSIONS
Analysis of the largest state procurements in the Abai Region reveals a mixed picture. On the one hand, regional authorities demonstrate clear priorities in the social sphere, directing almost 70% of the funds from the four largest contracts towards solving citizens' housing problems. On the other hand, systemic shortcomings in the organisation of tenders raise serious questions.
The project with FC Yelimay was particularly successful, where an investment of 2.34 billion tenge yielded tangible results. The team returned to the Premier League, received recognition for best management and is actively developing its football infrastructure.
The quality of documentation remains unsatisfactory. A billion-tenge contract contained glaring errors in the technical specifications. Even more concerning is the complete lack of public accountability regarding the social impact of these programmes — citizens do not know how many families actually received housing under the programme for socially vulnerable segments of the population.
Regional authorities likely need to strengthen efforts to attract competitors to tenders, improve the quality of documentation control and ensure transparent reporting on the outcomes of social programmes. Without this, trust in the effectiveness of budget spending will remain in question.
For context, we previously wrote about the largest state procurements in the Aktobe Region. You can read in detail about the most expensive contracts of the capital via this link.
The FBRK editorial team will continue to monitor state procurements in the regions and will present an analysis of other areas of the country.
To be continued...