People’s IPO started in Kazakhstan

May 03. Caspionet

People’s IPO started in KazakhstanAt his statement at the 19th session of the Assembly of People of Kazakhstan Nursultan Nazarbayev has announced that Kazakhstan started the implementation of the People’s IPO programme. For Kazakhstan it is the chance to receive new source of income and for local companies is the possibility to receive money for the modernization and capacity addition.

Nursultan Nazarbayev, President of Kazakhstan

«The People’s IPO programme is not just new mass privatization. It is the process of creating a segment of stronger owners, who are receiving a passive cash flow.»

The largest oil sector operator KazTransOil will become the first company, who will offer its shares for the IPO. Next year such companies as the Air Astana, the KazTransGas, the Samruk Energy, Kazmortransflot and KEGOC will enter the IPO. In 2015 people will be able to become shareholders of the KazAtomProm and KazMunaiGas.

Yelena Gubushkina, Regional Coordinator, People’s IPO National Programme

«Of course, it does not mean you receive income at once. You will receive dividends but there will be risks anyway. However, the practice has shown that prices are increasing. In this case the IPO involves large national company. You see, the KazMunaiGas and other large companies would not decrease prices.»

The Civil Alliance of Kazakhstan is responsible for the information campaign, which has started a week ago and will be finished at the end of June. Over 600 lecturers will be informing people, there will be public lectures and even presentation. Lecturers will even go to distant districts. Residents of the country could apply call centres or the web portal. Experts say that new project has more advantages than disadvantages. Residents of the city will receive the unique chance to become shareholders of the largest company and will receive income in dividends. Companies will have a chance to use money for modernization. Moreover, People’s IPO favors the development of the stock market, which in recent years was unable to keep up with the rapid development of the economy of the country.