Sultanov explains non-use of KZT146bn of budgetary funds by governmental structures in 2016
"Nearly KZT146bn of the expenditures including KZT 110 billion for alleged reasons was not utilised. For instance, over KZT20bn was charged for debt servicing since we forecast annual average exchange rate to be 360 [KZT per a US dollar]. Actually, it was lower, and the inflation rate turned out to be lower than we expected.
KZT77bn is the amount of the reserve that was not used. There was no need for use. As a result, KZT370bn of the National Fund was not utilised. This lets us maintain the level of the National Fund", he responded to journalists' questions after his speech at the Kazakh Majilis.
The minister noted that in total KZT36bn was not disbursed for alleged reasons. And it was the Ministry of Defence that failed to spend the largest amount of KZT29bn. The money was left because of an agreement breakdown as the Russian suppliers jacked up the price for a plane. Therefore, the ministry was forced to withdraw from the purchase.
"As for other ministries, all of them adduce the common alleged reasons such as contract non-fulfilment and untimely tender decisions. This resulted in untimely fulfilment of suppliers' obligations", Sultanov explained.
He stressed that those who failed to fully utilize the targeted funds must be brought to responsibility. For instance, 53 civil servants were brought to disciplinary responsibility in 2016.