Minister Denies ENPF Funds Go Directly to KTZ

Transport Minister Nurlan Sauranbayev addressed what he called a “myth” surrounding the use of Unified National Pension Fund (ENPF) money in Kazakhstan Temir Joly’s (KTZ) budget, Orda.kz reports.

He denied that KTZ itself draws on pension assets.

This duck has been going around for, I don't know how many years. About KTZ eating up ENPF money. ENPF money is not attracted to KTZ. But this duck has legs growing from somewhere. There is such a private project, in Oskemen. Here on this route, a private company through PPP, when they attracted money, they attracted money from both ENPF and the investment fund of Kazakhstan. But this is a private company that took money for its project. There is no ENPF money directly in KTZ money at all. We do not take it directly,
Nurlan Sauranbayev stated at a government press conference.

Formally, ENPF does not transfer funds to KTZ. However, the financing structure works through JSC Baiterek, a state holding that consolidates Kazakhstan’s development institutions. ENPF purchases Baiterek bonds, and the holding then channels those resources into transport projects, including the purchase of rail wagons for KTZ.

Thus, while the minister is correct that KTZ does not directly access pension funds, in practice, pensioners still end up as involuntary investors in the railway sector.

Original Author: Zhadra Zhulmukhametova