Kazakhstan Business Forum in London to mull cooperation with investors

ASTANA. October 19. KAZINFORM

Kazakhstan Business Forum in London to mull cooperation with investorsKazakhstan Business Forum 2011, organized by the Kazakh-British Chamber of Commerce in cooperation with the Ministry of Economic Development and Trade of Kazakhstan with the support of Government, will be held in London on Oct. 20-21, Economic Development Ministry’s press office said Wednesday.

“One of the main aspects of the Forum will be to review the innovative business projects under the State program of forced industrial-innovative development for 2010-2014, as well as the “Productivity 2020″ State program, of which leitmotif is the tasks of providing science intensive and innovative ways to develop the economy of Kazakhstan. Investors will discuss prospects for the country’s transition from raw export orientation to industrial-innovative development,” said the statement.

According to Trend, also, the Forum participants will discuss the strategic plan for economic development of Kazakhstan and the conduct of the national IPO and will be able to offer their original projects on cooperation in various industrial and manufacturing sectors of the country’s economy.

Kazakhstan Business Forum is held in London for the second time and is aimed at discussing the tendencies and prospects for economic development of Kazakhstan.

Ministry of Economic Development and Trade of Kazakhstan supports the initiative to conduct the Business Forum as an international platform for dialogue to establish and develop business relations between business communities of both countries.

http://engnews.gazeta.kz/art.asp?aid=350790

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Kazakhstan shows off wares to sceptical world

Oct 20. Reuters

Kazakh officials meet in London today for the annual Kazakhstan Business Forum, and may find it a harder sell than in the past.

Although oil prices have been strong and the central bank has kept the tenge stable, investors are worried that the country may be heading for more trouble with its banking sector.

The debt of Kazakh bank BTA, the largest of four Kazakh banks to default in 2009, was restructured last year and the bank is majority-owned by sovereign wealth fund Samruk-Kazyna.

But there have been nerves over coupon payments and although these payments have all been met, those worries are reflected in the price of BTA’s July 2018 dollar Eurobond, launched only last year and trading at a mere 48 cents on the dollar.

“The non-performing loan level has declined significantly from 40 percent at the peak of the crisis but remains very high at 27 percent, as at Sept 1,” BNP Paribas analysts write in a client note.

The country is also looking to raise more cash in the middle of next year through its “People’s IPO” — floating shares in state companies like Air Astana, the national grid company and oil transportation firm KazTransOil.

But the state of world markets may make that timetable hard to meet.

Kazakhstan’s FX reserves are falling as it struggles to hold its currency intact and some analysts see the possibility of a rate hike, bucking the trend for most larger economies to cut rates.

However, frontier markets brokerage Exotix remains upbeat on the banking sector at least, saying BTA may come out with a new strategy in the next few weeks.

“Another debt restructuring is not on the agenda as Samruk-Kazyna is likely to continue its support of the bank.”

http://blogs.reuters.com/globalinvesting/2011/10/20/kazakhstan-shows-off-wares-to-sceptical-world/

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