Chinese company to build wind and solar power stations in Kentau

ASTANA – China’s Jiangsu Zhenfa Holdings Group Co. Ltd investment company will start construction in August on $154.5 million wind and solar power stations in the South Kazakhstan region. The new facilities are expected to generate 50 megawatts per hour of wind power and 30 megawatts per hour of solar energy. Kentau is a city located 150 kilometres north-west from the regional capital Shymkent.

Kazakhstan’s Ambassador to China Shakhrat Nuryshev and Vice President of Jiangsu Zhenfa Holdings Group Co. Ltd Hu Wei discussed the implementation of the renewable energy projects during a March 19 meeting.

“The construction of the projects will be completed within two years. The sides exchanged views on the inclusion of this project in the list of priority projects of cooperation within the Programme on Industrialisation and Investments implemented between Kazakhstan and China,” the press service of Kazakhstan’s embassy in China reported.

Nuryshev stressed that Kazakhstan attaches great importance to the development of alternative energy sources.

“In 2017, Astana hosted the EXPO 2017, the main theme of which was the future energy. Our country will continue developing the potential of clean energy,” the ambassador said.

The diplomat focused on the country’s preferential policies for foreign investors engaged in priority areas for cooperation in Kazakhstan, such as transport and logistics infrastructure, water supply, energy and others. Wei noted that Kazakhstan has great potential to implement renewable energy projects. Upcoming projects can become exemplary in renewable energy cooperation between the two countries, he said, according to the embassy.

The Jiangsu Zhenfa Holdings Group Co. Ltd company owns 40 power plants in China and provides 10 percent of the Chinese market with photovoltaic power stations. Recently, the corporation completed a four-gigawatt power plant. The investment company cooperates with the China Energy Conservation Association and the China Guangdong Nuclear Power Group. The company’s branches are located in Turkey, Pakistan, the U.S. and other countries.



SPIID programme increases manufacturing value

ASTANA – The 2015-2019 State Programme of Industrial and Innovative Development (SPIID) has contributed to increasing the manufacturing industry volume by 5.7 percent while raising industry exports by 10.5 percent last year compared to 2015, said Minister for Investment and Development Zhenis Kassymbek during the March 27 government meeting.

Photo credit: kapital.kz

The growth was the result of increases in metallurgy, oil refining, the chemical industry, pharmacy and food production, the minister told the meeting chaired by Prime Minister Bakytzhan Sagintayev. Manufacturing exports totalled $15.5 billion and investment volume increased 8.8 percent from 2015, reaching approximately $3 billion.

Kazakhstan’s manufacturing products are exported to 122 countries. The nation is among the top five suppliers and occupies an 8-percent share of the imports to Central Asia countries. Supplying products to neighbouring countries grew by 30 percent, or $1.5 billion.

In the last three years, SPIID has generated 378 projects worth $9.4 billion, resulting in 30,000 jobs. The ministry added 150 new projects valued up to $3.1 billion, creating 15,000 jobs by the end of the year. A Prommashkomplekt railway wheels production complex and Asia Steel Pipe Corporation factory manufacturing large diameter welded pipes are among the projects, according to Kassymbek.

He noted the ministry has initiated the industrial-innovative development concept for 2020-2024 and will finish the work by the end of the year. While in the drafting phase, Sagintayev suggested Kassymbek consider possible new technologies.

Despite the good results and manufacturing industry growth, its share of the economy has not exceeded 11 percent in recent years, he added.

Minister of National Economy Timur Suleimenov and Minister of Energy Kanat Bozumbayev summed up SPIID’s results for 2017. The former noted the quality of the programme planning, as SPIID indicators were not revised, achieving 78 percent of their goals.

The second stage of reconstructing and modernising the Shymkent oil refinery will end this year, increasing the refining depth to 87-90 percent, said Bozumbayev.

A polypropylene production plant with a capacity of 500,000 tonnes and six major projects will be implemented in the energy sector. The Pavlodar oil refinery was also modernised.

“The motor fuels production of ecological K4 and K5 classes and production of 100 percent high-octane gasoline was established. Pavlodar oil refinery processes West Siberian oil with 5.5 million tonnes per year and Kazakhstan’s oil is 4.7 million tonnes per year. The production of aviation fuel will be set at about 13,000 tonnes per month in the second half of 2018,” he added.

Up to 100 projects were included in regional business maps, but not all of them follow the industrialisation priorities and need to be under the control of the National Economy and Investment and Development ministries, said Sagintayev.



TCO reaches record-high oil production in 2017, seeks to expand in 2018

ASTANA – Last year was a milestone for Tengizchevroil (TCO), the Chevron-led joint venture operating the Tengiz oil and gas field in Atyrau region, as the company achieved a record-high 28.7 million tonnes in oil production. TCO General Director Ted Etchison reported the 2017 results and plans for 2018 during a recent press conference in Almaty.

Ted Etchison. Photo credit: TCO press service

TCO was formed by the Kazakh government and Chevron Corporation in April 1993. Kazakhstan currently holds a 20-percent stake through the KazMunayGas national oil and gas company, Chevron owns 50 percent, ExxonMobil owns 25 percent and Russian-American company LukArco owns 5 percent.

The company produced 27.56 million tonnes of crude in 2016, said Etchison, boosting oil production by 4.1 percent the following year. The figure included 1.38 million tonnes of liquefied petroleum gas, 7.45 billion cubic metres of dry gas and 2.49 million tonnes of sulphur.

June 2017 marked another milestone in TCO history, as the company produced its three billionth barrel of crude oil.

To date, TCO has contributed $125 billion to the Kazakh economy, including salaries to local workers, purchasing $24 billion in local goods and services, payments to state bodies and dividends to local partners, as well as taxes and royalty to the national budget, said Etchison. Payments reached $8.5 billion in 2017.

“Oil prices drastically fell more than three years ago, which resulted in the decrease in payments to Kazakhstan starting in 2015. In 2017, however, the indicators were much better,” he added.

The current production volume is not the limit, he noted. In July 2016, TCO partners announced the launch of the Future Growth (FGP) and Wellhead Pressure Management (WPMP) projects, which are expected to increase crude oil production by 12 million tonnes per year or 260,000 barrels per day. The cost of the expansion is estimated at $36.8 billion.

WPMP will provide for the full load of the Tengiz plants’ processing capacity by decreasing flowing wellhead pressures and boosting pressure at the six existing processing lines. FGP will incorporate sour gas injection technology used during the company’s previous expansion project.

“In 1992 and 1993, the focus was on initial production, but by then we were already considering possible sour gas injection technology. The questions we faced within this experiment included sour gas injection back into the reservoir, which on one hand is good for the environment and on the other will help boost production. We launched this pilot project in the mid-2000s and built what we now call the second generation plant. The experiment turned out to be very successful from a technical point of view,” said Etchison.

Social responsibility remains vitally important for TCO, he added. The company has invested $3 billion since 2000 to decrease negative consequences on the environment and managed to achieve a 70-percent reduction in carbon dioxide emissions per tonne of crude oil.

The company will continue its social infrastructure projects, which to date total $1.4 billion in addition to the $25 million allocated annually to its Igilik voluntary social infrastructure project, said Etchison.



Venerable Kazakh confectionery aims to edge out imports with local sweets

ASTANA – Bayan Sulu, a Kazakh confectionery based in Kostanai, produces 31 percent of local sweets and is launching new products to replace imports and boost exports.

Since its establishment in 1974, Bayan Suly has prioritised stability and taken a systemic approach to business development. This principle allowed it to survive the harsh 1990s and earn a third of the domestic sweets market share, producing more than 300 types of sweets and approximately 50,000 tonnes of cookies, candies and waffles per year.

Now, the company aspires to replace imported sweets with its products.

Production of chocolate bars similar to the world-famous Mars, Snickers and Milky Way was launched in December, as was a line of glazed cookies resembling Twix. The cost of the project, capable of producing 5,600 tonnes per year, is 1.5 billion tenge (US$4.47 million), of which 1.2 billion tenge (US$3.73 million) came through a Sberbank loan. A government subsidy through the Business Road Map 2020 programme provides for 10 percent of the interest on the loan, leaving Bayan Sulu to pay 3 percent interest.

“We currently primarily aim to replace imported products with local goods; however, we also seek to boost exports. Fortunately, this is made possible with the state support of export-oriented manufacturing entities, in particular Kazakh Export and Kazakh Invest,” said Bayan Sulu President Timur Sadykov.

The confectionery buys input products such as flour, sugar and packaging, domestically. However, since cacao beans are imported, there is a dependent relationship between product prices and imported ingredients.

Currently, about 35 to 45 percent of total production volume is exported to Kyrgyzstan, Uzbekistan, Azerbaijan, Afghanistan, Mongolia, China and Russia, importing almost 90 percent of all Bayan Sulu exports, according to Forbes.kz.

“Most factories employ the same machinery and the same ingredients, thus the only opportunity to lower costs is to change the recipe; in other words, to substitute expensive ingredients with cheaper ones. However, we refuse to do that, and have to compete with unscrupulous producers who use flavours instead of milk and vegetable fats instead of chocolate,” said Sadykov.

Despite the presence of major local confectioneries like Rakhat, Bayan Sulu and Ulker, half of Kazakhstan’s sweets are imported from Russia, Ukraine and Turkey.

“We view local producers as partners rather than rivals, since they also play an important role in the domestic food industry. Therefore, our only common rival is import,” noted Sadykov.

Bayan Sulu acquired equipment for waffle products with the help of DBK-Leasing, a subsidiary of the Development Bank of Kazakhstan, in an attempt to increase its product range. Five production lines with the capacity of 700 kilogrammes per hour cost the factory 1.85 million euros, out of which DBK-Leasing provided 1.275 million euros for nine years.



Polpharma Group to invest $37 million to digitise, automate Shymkent pharmaceutical plant

ASTANA – Poland’s Polpharma Group will invest an additional $37 million to digitise and further automate production at its Shymkent Chimpharm plant in South Kazakhstan.

Photo credit: Kazakh Invest

“The construction and modernisation of all major production facilities and auxiliary logistic sites have been completed at the Shymkent-based Chimpharm plant. The investment programme will now focus on new projects in the field of digitisation and automation of production and support processes, as well as projects in the field of management and quality control systems,” said plant head Rustam Baigarin.

The main objectives of the investment programme are IT infrastructure development, production digitisation, improving quality control and quality assurance and developing new medicines.

Plans include constructing a new laboratory to upgrade the infrastructure and research and development equipment as well as modernising logistics facilities. A new section of non-sterile solutions will be launched in March.

The long-term contract system with domestic producers, with a single distributor supplying medicine for health care needs, has operated in the country since 2009.

“The company signed five agreements for guaranteed supplies in medical institutions nationwide. Long-term contracts allow investors to get contracted sales volume that stimulates the creation of new, modern and competitive pharmaceuticals. Investors also receive preferences through investment contracts with the Kazakh Ministry of Investment and Development. Soft loans issued by the Development Bank of Kazakhstan are provided for domestic producers. Various tools and mechanisms were developed to support domestic producers and investors. These opportunities are useful for our company to obtain the greatest possible efficiency,” he added.

The country is currently working to introduce the key elements of Industry 4.0. Digital production technologies will improve the activities of local enterprises and optimise production processes.

Photo credit: Kazakh Invest

Photo credit: Kazakh Invest

“We are pleased that the Polpharma Group is expanding its production in the pharmaceutical market by introducing innovative technologies. This is the fourth stage of modernisation. Thanks to additional reinvestment, new jobs will be created in the South Kazakhstan region,” said Kazakh Invest South Kazakhstan regional director Dauletkozha Mamyrov.

The plant modernisation is being performed in accordance with Good Manufacturing Practice international standards.

Financing will also be provided to automate and digitise the main and auxiliary production processes, including Cloud HR (an innovative IT solution in personnel management), smart warehouse management system at production sites, an automated accounting system for maintenance and repair costs, material and human resources management planning and automating production quality assurance.

The company employs more than 1,200 people and the staff took part in equipment manufacturing training at Polpharma Group enterprises abroad. The company has registered 115 medications covering 12 pharmacological groups and produces injections and infusions, tablets, capsules, sachet powders, aseptic powdered antibiotics, non-sterile solutions and syrups.

Polpharma Group, one of the top 20 leading manufacturers of generic medications globally, has six production plants, six research centres and employs more than 7,300 people. Sales volume is more than $1 billion per year. The company’s portfolio includes in excess of 600 products and more than 230 medications are being developed.



Kazakh government addresses measures to promote competition

ASTANA – The Kazakh government is continuing efforts to reduce activities for state and quasi-public companies in order to protect and promote competition in the country. Last year, 108 laws and 972 bylaws were audited to identify rules that hinder competition. As a result, 144 norms preventing competition were identified, said Minister of National Economy Timur Suleimenov at a Jan. 30 government meeting.

Timur Suleimenov. Photo credit: primeminister.kz

The most serious measures to reduce business costs were aimed at business deregulation; reducing a number of paid public services, as well as enterprise services (monopolies and quasi-public enterprises) or reducing their costs; revising individual tax rates and mandatory payments to the budget (fees); abolishing excessive requirements imposed on business entities when exercising state control and supervision or when they receive permits; optimising information tools and regulating issuance of technical conditions to connect to natural monopolies’ engineering communications, reported primeminister.kz.Amendments made to the relevant legislative acts were reflected in the draft law “On Amendments and Additions to Certain Legislative Acts of the Republic of Kazakhstan on Improving Business Regulation,” which is being considered by the Mazhilis (lower chamber of Parliament).

The Comprehensive Plan for Privatisation for 2016-2020, which originally included 734 facilities subject to privatisation, was approved to consolidate the principles of the Yellow Pages Rule and create effective protection for businesses from the actions of state agencies that restrict competition. As a result, 367 facilities worth 164 billion tenge (US$508.4 million) were sold by the state from 902 facilities in 2016-2017 as envisioned by the plan.

In November, the ministry sent proposals to the government on excluding 65 types of activities following commodity markets analysis. Of those, 17 are state enterprise activities in national ownership and the remainder are quasi-governmental activities or national managing holdings. The measures taken to reduce the state’s participation in entrepreneurial activities will be continued by implementing the state-of-the-nation address, “New opportunities under the Fourth Industrial Revolution,” published Jan. 10.

“At present, the ministry has established a working group to determine the list of state institutions and subjects of the quasi-public sector for transfer to the competitive environment or liquidation, as well as their consolidation. Information on the work results of the group will be submitted to the government in three stages: in April, May and June,” said Suleimenov.

In competition protection, 212 investigations were completed in 2017, of which 187 were finished by identifying violations in competition protection. Fines totalling 2.01 billion tenge (US$6.23 million) were imposed, of which 594 million tenge (US$1.84 million) were recovered. At present, 81 investigations of competition protection law violations are being conducted, particularly on the retail and primary and secondary wholesale coal and retail fuel sales markets.

In 2016, the Kazakh antimonopoly authority was admitted as a participant in the Organisation for Economic Co-operation and Development (OECD) competition committee. This year, a visit by OECD experts is planned to analyse the practical application of changes in antimonopoly legislation introduced in 2015-2016. In 2019, a large-scale OECD review is scheduled on competition law and policy.

Deputy Prime Minister Yerbolat Dossayev will supervise executing the President’s instructions to develop competition.



Kazakh Agriculture Ministry to digitise state agricultural services, conduct technology renewal

ASTANA – The Kazakh Ministry of Agriculture is seeking to incorporate advanced agricultural technologies in the search for digital solutions to boost the nation’s economy as it seeks to join the world’s 30 most developed countries. Digitising state regulation and technological renewal are the two key tasks, according to First Vice Minister of Agriculture Arman Yevniyev.

Arman Yevniyev

Digitising the nation’s agricultural complex is aimed at increasing productivity and efficiency through technology, as well as involving businesses in developing IT in the field. The ministry set up the digitisation office for that purpose, he said during a regular government meeting on Jan. 30.

The ministry currently provides 101 services, 62 of which are only partially automated. Plans are underway to switch 89 services to an automated format in the next two years.

Yevniyev noted the essential component in digitising agriculture is for companies and farmers to introduce new technologies. He emphasised the importance of using precision tools.

“Precision farming is a global trend today. Almost all regions have farmers that bring precision agriculture components forward,” he said.

Precision farming achieves greater productivity with fewer resources, as the use of satellite and computer technologies, including high precision positioning systems, sensors and autopilot steering systems, gives farmers the tools to construct a detailed picture of their fields and field variability.

More than 70 percent of agriculture equipment possesses at least one aspect of precision farming. The relevant measures are expected to decrease losses in the field by 25 percent, added Yevniyev.

The ministry is also planning to introduce a smart farms system that allows monitoring and controlling livestock, ensures automated management of greenhouses and keeps online records and an expense analysis.

“Smart farms entail minimal human contribution when it is more about robot systems managing all cycles of activities on the farm,” he noted.

Farmers will also learn how to obtain meteorological data from international practices, he added.

The ministry plans to launch pilot projects in the Akmola and Karaganda regions and will continue to develop the electronic grain receipts system.

“Nineteen million tonnes of grain worth more than 627 billion tenge (US$1.95 billion) were sold through this system in 2017; therefore, the system will be working and developing further,” said Yevniyev.

The system currently includes online grain balance monitoring, statistics on grain prices, grain insurance and rating grain receiving facilities. It leaves no room to forge grain receipts and reduces expenses by 700 million tenge (US$2.17 million) annually, according to the ministry.

As part of this year’s system development, the agriculture sector will receive blockchain technology and the opportunity to order grain carriers online, said Yevniyev.

Work has begun to launch online trading by 2020, which will allow foreign buyers to purchase grain. This year, the ministry will develop a detailed logistics map of the agricultural complex including existing terminals, storages and distribution centres as well as those to be constructed.

“Digitisation will enhance competitiveness and labour productivity and ensure food safety and the flow of investments in the industry. In general, the economic effect will reach around 40 billion tenge (US$124.4 million) by 2025,” he added.



Development Bank of Kazakhstan funds wind energy farm to open in 2019

ASTANA – The Development Bank of Kazakhstan (DBK) is financing CATEC Green Energy’s construction of a wind power plant near the capital. The initial section, with a capacity of 50 megawatts, will be completed by mid-2019.

Photo credit: Kazinform

“The wind farm construction will contribute to the fulfilment of Kazakhstan’s international commitments to reduce greenhouse gas emissions. The project is also in congruence with the national strategy of transition to a green economy,” said CATEC Green Energy deputy director for technical matters Yedil Saryev.

The plant will be in Kostomar village, approximately 40 kilometres from the city. The project costs 46.1 billion tenge (US$143 million), with 30.5 billion tenge (US$94.8 million) issued by DBK as a 10.5-year loan and 3.6 billion tenge (US $11.2 million) provided by its subsidiary, DBK-Leasing, to purchase equipment. The company will use 12 billion tenge (US$37 million) of its own funds.

Once the first part is finished, the plant will be equipped with the necessary infrastructure and 15 Vestas wind generators. Approximately 300 jobs will be created during construction and 20 permanent positions will be offered to service the station.

After the second part is commissioned, the total capacity will reach 100 megawatts. The renewable energy will meet the demands of 10,000 families and simultaneously reduce reliance on fossil fuels.

“Environmental considerations are an integral part of the project. The launch of the wind power plant will allow reducing greenhouse gas emissions by 230,000 tonnes per annum, which exceeds the emissions of 113,000 cars per year. New developments and technologies for wind energy conversion adapted to the region’s climatic conditions will be applied,” said DBK’s client service senior banker Aizhan Bitebayeva.

CATEC Green Energy was established in 2014 to execute investment projects related to renewable energy sources. The company is also constructing a wind farm in Mangistau region and has contributed to the solar plant in Kapchagai and wind farms in Ereimentau and Shelek.




Experts forecast recovery of Kazakh car market

ASTANA – The Association of Kazakhstan Automobile Business recently predicted that the Kazakh car market would grow 15-20 percent this year. The recovery of the market after the fall in sales during 2014-2016 was one of the most important events in the country’s economy in 2017.

Photo credit: kapital.kz.

Vice-president of the association Anar Makasheva is a strong supporter of automobile production localisation and she reported that in 2017 its level increased.

“Our goal is to achieve 50 percent of production localisation by the end of 2019. Kazakhstan producers are doing their best to increase the share and by the end of 2017 it has reached 36 percent. The state will continue to support automakers through the implementation of the state programme for the sale of cars at 4 percent per annum,” she said, Kapital reports.

Since March 2017, the domestic car market has demonstrated positive dynamics. Last year, official dealers sold 49,051 units of cars, commercial vehicles and buses. Demand for new cars increased 6.1 percent.

The last year has been successful not only for importers, but also for manufacturers of domestic cars. According to the association, in the last year, six Kazakh automobile plants produced 19,086 pieces of equipment (cars, trucks and buses) worth $435.2 million. This triples the results of 2016.

Every third car sold in the country, including commercial vehicles, is produced in Kazakhstan. According to the Committee of Statistics of the Ministry of Energy, the share of automotive industry in machine building industry doubled in monetary terms, tax payments of six automobile enterprises in 2017 amounted to about $21.8 million. According to the forecasts of the association, in 2018 the growth of the car market will continue and will be 15-20 percent.

The implementation of the programme will continue in 2018. The state has already allocated about $31.2 million for the purpose. In addition, the programme has proved itself in the commercial equipment segment.

“The right for leasing at 3 percent per annum is granted to Development Bank of Kazakhstan Leasing. The terms of the programme are quite attractive: about 30 percent of the initial payment, a small package of documents required for clearance. For small and medium-sized businesses this is the most comfortable way of purchasing commercial equipment,” Makasheva said.

According to the results of 2017, 1,480 Kazakhstan cars worth to $18.1 million were exported to near and far abroad countries. The export of Kazakh automotive products has quadrupled in comparison with 2016 in 2017.

Executive Director of Astana Motors Anton Afonin said the figures show that Kazakhstan began to supply large amounts of equipment abroad.

Thus, 1,205 Lada 4×4 vehicles were exported to China, and 66 JAC S3 crossovers were exported to Tajikistan and Russia. The leader in the export of trucks is Hyundai Trans Auto, which delivered trucks to Russia, Belarus and Kyrgyzstan for the amount of almost $6.2 million.

“For our company, Russia remains the main export market. The potential of Russian market is huge. At the end of the last year, the full-cycle JAC line was launched at SaryArka Autoprom plant in Kostanai and I hope that the company will be able to export cars to Russia and the volumes of Kazakhstan’s automobile exports will be measured by tens of thousands of cars,” Afonin said.

“But if you plan to enter Russian market, you have to understand that you can’t offer models which are already localised there. Therefore, it is necessary to present models that are either not represented in the market or are not produced by Russian enterprises. As for cars, this is the JAC line, and for commercial vehicles – some models produced by Hyundai Trans Auto,” he explained.

One of the trends that will remain in 2018 is the conversion of the Kazakhstan’s motor pool to alternative fuels and the development of the infrastructure for servicing electric vehicles.



Kazakh National Bank lays out strict rules for collections agencies’ behaviour

ASTANA – The National Bank of Kazakhstan has announced what will be considered legal methods of interaction between collection agencies and debtors.

On Jan. 9, representatives of the National Bank met with employees of collection agencies and public associations, the press service of the regulator reported. Representatives of the National Bank announced legally permitted ways representatives of collections agencies can interact with debtors: telephone calls; personal meetings; written notices sent to individual debtors at their places of residence (legal address); written notices sent to debtors that are legal entities at their location (actual address); text, voice and other messages by cellular communication; and messages sent via the internet.

Photo credit: depositphoto.com

The National Bank also laid out the times debtors may be contacted by collection agencies, limiting the interactions to weekdays between 8:00 a.m. and 9:00 p.m. No more than three telephone conversations are allowed in a day between those hours, with no more than three meetings allowed between those hours in a week, and only one meeting permissible in a single day.

It was also noted that the debtor should choose the time of any interaction. Any personal contact on holidays and weekends is prohibited.

The head of the department for the protection of the rights of consumers of financial services and external communications of the National Bank, Alexander Terentyev, outlined actions by collector agencies that are considered unfair and therefore banned.

They include any method of interaction not listed above. Specific actions that are banned include spreading information discrediting the honour, dignity and business reputation of the debtor and his representatives or disclosing information that may cause property damage to them; taking actions that infringe on the rights and freedoms of the debtor and his representatives, endangering their life and health or the state of their property; exerting pressure by threatening to use violence or destroying or damaging the property of the debtor or his representative or third parties; producing insulting, fraudulent or forged documents or blackmail, forcing the debtor to fulfil bank obligations; misrepresenting the size or nature of the debtor’s obligations; accepting cash or property to pay off the debt; demanding that other debts be repaid with property; or disclosing secrets about the debtors’ payments protected by the laws of Kazakhstan.

Since collection activities are specific and socially sensitive, Terentyev called on the heads of collection agencies to pay special attention to hiring individuals with an impeccable business reputation, as well as conducting regular explanatory work for employees who interact with debtors.

He noted that according to Kazakhstan’s laws on collective activity, employees who are registered in medical institutions relating to their psycho-, drug, tuberculosis conditions, or who are or have been prosecuted for offenses against the debtor or those connected with him are not allowed to interact with the debtor or his representative.

Officials of the National Bank also warned representatives of collection agencies about the consequences of violating these laws, and that any sign of violation would be passed over to law enforcement agencies for investigation as criminal offenses.