Kazakhstan to double National Fund’s assets in 2015
Saturday 27 August 2011
ASTANA (Interfax-Kazakhstan) – Assets of the National Fund (NFRK) in 2015 will increase to US $72.5 billion, said the Ministry of Economic Development and Trade.
- Reserves and assets of the National Fund of the Republic of Kazakhstan (Source: National Bank of Kazakhstan)
“Assets of the National Fund should rise to 72.5 billion dollars by 2015 and account for 30.4% of GDP,” said Minister of Economic Development Kairat Kelimbetov at a government meeting on Saturday. “The government is expected to withdraw 1.200 trillion tenge from the National Fund in 2012-2014 within the allowed limit. Limiting the withdrawal will boost the accumulation of oil revenues in the fund,” he said.
According to the Economy Ministry, the funds projected for withdrawal from National Fund in ratio to the total budget revenues will go down from 21.8% in 2012 to 18.7% in 2014.
Restricting the use of oil revenues from the National Fund on the background of increasing non-oil revenues will narrow non-oil deficit to 4.7% of GDP in 2014 and 3% of GDP in 2020, Kelimbetov said.
As reported, the assets of the National Fund at the end of July 2011 stood at $38.722 billion, a 25% increase from January.
The National Fund of the Republic of Kazakhstan was created in 2000 as a stabilization fund that ensures the economy of the Republic of Kazakhstan will be stable against the price swings of oil, gas, and metals. The assets of the National Fund assets are monitored by the National Bank of the Republic of Kazakhstan. According to the data of the National Bank of Kazakhstan the Fund’s assets were put mostly into money market instruments, particularly into the state securities of the USA.