How did AIFC benefit from Kazakhstan Global Investment Forum in London and NY?

ASTANA. KAZINFORM Deputy Prime Minister of Kazakhstan has recently reported to the Head of State on the outcomes of the Kazakhstan Global Investment Forum 2018 held in London and New York. Below is detailed information on what questions were discussed at the forum, who participated in it and what the Astana International Financial Centre benefited from the event.

Forum participants and agenda

More than 150 representatives of business structures gathered in London for the Forum. Among them were the representatives of various companies specializing in processing and chemical industries, metallurgy, alternative energy and logistics, digital technologies and financial sectors as well as the representatives of the London Stock Exchange, Mitsubishi UFJ Financial Group, JP Morgan Bank, Deutsche Bank, Morgan Stanley, Ernst & Young LLP and PricewaterhousCoopers corporations.

Vice PM Askar Zhumagaliyev headed the Kazakh delegation.

The activity of the AIFC, privatization process in Kazakhstan, attraction of investments in various sectors of economy, modernization of the Silk Way, development of transport and logistics and digitalization of economy were on the agenda of the Forum.

What issues did the Kazakh delegation raise at the Forum?

"Great Britain has always been one of the major investors for Kazakhstan. $13bn out of $300bn investments attracted by our country, were provided by Great Britain. We see the UK as our strategic partner and it is of our interest to attract the British investors who would bring not only capital, but also technologies and best business practices, necessary to succeed in diversifying our economy and integrating into the global value chains," said Zhumagaliyev.

In turn, Chief of the Astana International Financial Centre Kairat Kelimbetov noted that the regional financial hub provides great opportunities to the investors.

"The AIFC offers preferential tax regime for the investors. Meanwhile, English law will be applied in settlement of disputes between them. We are confident that this will let the AIFC turn into a regional financial hub. That is why we see the AIFC as a unique platform which will contribute to the development of our business," said he.

British Trade Envoy to Kazakhstan Baroness Emma Nicholson, President of the EBRD Suma Chakrabarti, Director of the EBRD in Kazakhstan Agris Preimanis took the floor at the Forum.

What agreements were reached at the Forum?

Samruk-Kazyna National sovereign Fund and the EBRD signed an agreement on guarantees for loan agreement between the ShalkiyaZinc LTD JSC and the EBRD.

Danaher Corp. expressed interest in participating in public-private partnership projects for the construction of medical facilities. Hinduja Group showed interest in localizing the production of commercial vehicles, combustibles and lubricants in Kazakhstan, and Rio Tinto indicated the possibility of cooperation in copper mining to create electric car batteries.

The UK   is one of Kazakhstan's 6 largest investors. In 2017, trade turnover between Kazakhstan and Great Britain rose by 1.58% and made $1.28bn. In Q1 2018, mutual commodity turnover made $252.6mn.

Photo credit: primeminister.kz