Launch of the Single Pension Fund depends on negotiations between the Government with shareholders of major privately-owned pension funds: Central Bank Governor

Central Bank Governor Gregory Marchenko. © Yaroslav Radlovsky

The timeframe for launching the Single Pension Fund depends on when the negotiations between the Government with shareholders of major privately-owned pension funds will be over [on merging the funds into the Single Pension Fund to be run by the National Bank], the country’s Central Bank Governor Gregory Marchenko stated in an on-line conference arranged by Profinance.kz. Earlier Kazakhstan’s Vice PM Kairat Kelimbetov stated that the Government plans to consolidate 4 major pension funds [State-run Pension Fund owned by the National Bank, Ular-Umit owned by BTA, Grantum owned by KazKommertsbank, and Halyk Bank’s pension fund]. At that time Mr. Kelimbetov said that Halyk Bank’s pension fund could be purchased by the Government in exchange for shares in government-owned BTA; there was a suggestion to exchange Grantum owned by KazKommertsbank for Samruk-Kazyna Sovereign Wealth Fund’s share in the bank (18.3%). Halyk Bank’s management later stated that the deal to purchase BTA from the Government and the deal to purchase Halyk Bank’s pension fund should be two separate monetary deals, rather than barter. “We are waiting for the Government and Samruk-Kazyna Sovereign Wealth Fund and shareholders of the major pension funds to come to terms. There is no agreement reached so far”, Mr. Marchenko said. According to him, completion of the talks was expected in May-June so that the actual merger could start from July 1. The National Banks expects the talks to be over in August.

The timeframe for launching the Single Pension Fund depends on when the negotiations between the Government with shareholders of major privately-owned pension funds will be over [on merging the funds into the Single Pension Fund to be run by the National Bank], the country’s Central Bank Governor Gregory Marchenko stated in an on-line conference arranged by Profinance.kz. Earlier Kazakhstan’s Vice PM Kairat Kelimbetov stated that the Government plans to consolidate 4 major pension funds [State-run Pension Fund owned by the National Bank, Ular-Umit owned by BTA, Grantum owned by KazKommertsbank, and Halyk Bank’s pension fund]. At that time Mr. Kelimbetov said that Halyk Bank’s pension fund could be purchased by the Government in exchange for shares in government-owned BTA; there was a suggestion to exchange Grantum owned by KazKommertsbank for Samruk-Kazyna Sovereign Wealth Fund’s share in the bank (18.3%). Halyk Bank’s management later stated that the deal to purchase BTA from the Government and the deal to purchase Halyk Bank’s pension fund should be two separate monetary deals, rather than barter. “We are waiting for the Government and Samruk-Kazyna Sovereign Wealth Fund and shareholders of the major pension funds to come to terms. There is no agreement reached so far”, Mr. Marchenko said. According to him, completion of the talks was expected in May-June so that the actual merger could start from July 1. The National Banks expects the talks to be over in August.

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