Politics • 06 May, 2019

Public-private partnership is an important way for attracting investment — Askar Mamin

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At the meeting of the Government, Prime Minister Askar Mamin gave a number of specific instructions for the further development of public-private partnership after hearing reports from ministries and regional akims. It is reported by the press service of PM.

“Public-private partnership is one of the main instruments for attracting investment and a factor in the intensive development of the economy,” said Mamin, stressing that this mechanism is actively used in many developed countries.

He noted the positive dynamics of project implementation in the country and instructed to draw attention to a number of issues, the solution of which will allow to fully realize the existing potential of PPP and will give new impetus to attract foreign and domestic investment in the economy and ensure its quality growth.

"The development of PPP is one of the priorities of the Government," said Askar Mamin.

Today in Kazakhstan about 1,300 contracts for 3 trillion tenge have been concluded and are at the preparation stage. The most capacious projects are implemented in such sectors as transport and infrastructure, energy and utility services, education, healthcare.

The priority is quality. Regional akimats, as noted by the prime minister, should give priority to projects that will be implemented at minimal cost from the budget.

In order to intensify the implementation of large infrastructure projects, including transport and energy, in the housing and utilities sector, Mamin commissioned, taking into account international best practices, to work out additional mechanisms to stimulate the development of PPPs and the necessary amendments to legislation.

“The projects are actively developing in healthcare. The potential in this direction is great,” noted Mamin. The application of this mechanism will be continued taking into account the new approaches of the Ministry of Healthcare, including the model of planning and implementing large-scale PPP infrastructure projects on the principle of “Special significance.”

In terms of education, the PPP tool is actively used to provide places in kindergartens — the Balapan program is being implemented. About 40% of places in kindergartens are provided by the private sector, it is more than 307 thousand children. Akimats of the regions are entrusted with ensuring compliance with the per capita financing standard for kindergartens.

“It is necessary to more widely disseminate the experience of PPP in the construction of schools,” the prime minister emphasized. “All mechanisms and tools have been developed.”

Currently, the development of PPP projects in the vocational education system is underway. From the business side, there is a great interest in the development and management of joint projects.

“For the development of the economy, public-private partnership is an important source of attracting private investment in various infrastructure and social projects,” said Askar Mamin and instructed the Ministry of National Economy to strengthen work. Kazakhstan PPP Center needs to organize its work in accordance with the new format and become a center for the formation and support of PPP projects on the principle of “one window” for investors.

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