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Wednesday, December 19th, 2018

Government considers implementation of Nurly Zhol State Program: 7,500 km of roads reconstructed

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by November 19, 2018 Business

According to the Ministry of National Economy, about 792 billion tenge is provided by all sources for the Nurly Zhol implementation in 2018.

First Vice Minister of National Economy Ruslan Dalenov reported that as of Nov. 1, 2018, 411 billion tenge, or 52% of the allocated funds were utilized. This is the sum of all sources. At the expense of the republican budget, development is high � 76%. The budget provides 439 billion tenge, of which 335 billion tenge, or 76%, was spent. Budget spending is according to the plan of financing.

On the development of transport infrastructure, 25 road projects are being implemented. In general, construction and reconstruction covered 4,600 km and for the year it is planned to put into operation 528 km. Today, overhaul of 805 km of railway tracks has been completed, reported Dalenov.

On the energy infrastructure, at the expense of borrowed and own funds of KEGOC, the second phase of the project Construction of 500 kV Shulbinsk HPP (Semey) � Aktogay � Taldykorgan � Alma is nearing completion. The project will be fully completed in 2018.

At the same time, as of Nov. 1, 2018, according to the financing plan, local executive bodies issued budget loans to natural monopolies for 35.2 billion tenge. Of the 290.6 km of networks planned for 2018-2019, 118.4 km have been built. On co-financing projects with international financial organizations, 12.1 billion tenge was provided, of which 3 billion tenge, or 25%, have been executed so far.

As Dalenov reported, at the expense of funds of international financial organizations, four projects are being implemented: improvement of irrigation and drainage systems, implementation of program projects for promoting sustainable development and growth, encouraging productive innovation, ensuring the implementation of projects to promote sustainable development and growth of Kazakhstan

Of 792 billion tenge, 60% is executed at the expense of the republican budget. Until the end of 2018 100% of funds will be used. Of this funds, 45 billion tenge accounted for the local budget, public-private partnership, private investment; 206 billion tenge for KTZh � construction of transport and logistics centers. These funds will be spent in 2019.

In turn, the Minister of Finance Alikhan Smailov reported that from the republican budget for 2018, 439 billion tenge was provided, of which 330 billion tenge were allocated to the central bodies, 109 billion tenge � to the regions, including targeted transfers of 73 billion tenge and budget loans of 36 billion tenge.

Following the results of 10 months, 335 billion tenge was spent at the republican level. Taking into account the budget specification, the central state bodies must execute 89 billion tenge by the end of 2018, the minister said.

According to him, the funds allocated for the formation of a modern transport infrastructure in Kazakhstan and for the modernization of housing and public utilities, the networks of tele-, water supply, and drainage were fully spent in the reporting period.

According to the Ministry of Finance, as of Nov. 1 the regions received 93 billion tenge of targeted transfers and loans. About 91 billion tenge, or 98% of the allocated funds, have been used. By the end of 2018, the regions will utilize 18 billion tenge.

Local executive bodies assumed obligations for 98 billion tenge. This is 90% of the annual plan. About 1.8 billion tenge was not executed, of which 0.2 billion tenge � budget fund savings. Non-assimilation amounted to 1.6 billion tenge, which was formed in terms of current expenditures on financing priority projects of the transport infrastructure and on expenditures on the development of transport infrastructure, Smailov said.

According to the minister, while specifying the republican budget as a whole, the State Program identified risks and optimized expenses for 37.5 billion tenge.

By the end of 2018, according to the information of the central state and local executive bodies, the State Program is expected to fully use the funds. Control over the State Program is carried out through the analysis of public procurement procedures and payment of taxes by suppliers. In the reporting period, 18 audits were carried out to verify the expenses of the state program with coverage of 37.4 billion tenge of budget funds, Smailov said.

A report on the work being done to improve the quality of highways was made by Chairman of KazAvtoZhol National Company JSC Yermek Kizatov. Since the implementation of the Nurly Zhol state program, 807 billion tenge has been allocated.

At the expense of the allocated funds, 1,004 km have been commissioned. In 2018 19 projects are under implementation (3,471 km), of which 13 projects are funded from the republican budget, 6 projects � at the expense of borrowed funds. By the end of 2018 it is planned to put into operation 426 km and to open traffic for another 453 km, said Kizatov.

The current situation and measures taken to improve the quality of local roads were reported by akims of the West Kazakhstan region � Altai Kulginov, East Kazakhstan � Daniyal Akhmetov, Mangistau � Yeraly Tugzhanov, Akmola � Malik Murzalin, Turkestan � Zhanseit Tuimebayev.

Following the consideration of the issue, the Prime Minister of Kazakhstan noted that a lot of work is being done to modernize the transport, logistics and energy infrastructure. To date, in the road construction, funds from the republican budget have been allocated, development is proceeding according to the financing plan. Additionally, construction of interregional roads have started. All the activities stipulated by the state program will be implemented in a timely manner.

Bakytzhan Sagintayev drew the attention of ministers and regional akims to the question of modernizing the infrastructure of housing and communal services. The Head of State made the instructions at the Security Council meeting Nov. 7, 2018. To date, network wear has been reduced from 60% to 57%. At the same time, the allocated funds for the modernization of housing and public utilities should be used as intended. The government is taking additional measures. All government agencies, in turn, need to keep this issue under control.

Source: The Prime Minister of Kazakhstan

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