Samruk-Kazyna Fund: Kazakhstan should focus on investments in country

Oil&Gas Materials 30 August 2010 17:51 (UTC +04:00)

Kazakhstan, Astana, Aug. 30 / Trend S.Suleymanov /

Kazakhstan should focus on investments within the country rather than abroad in the next five years, National Welfare Fund Samruk-Kazyna Head Kairat Kelimbetov said.

The Kazakh Oil and Gas Ministry reported the national company KazMunaiGaz and company BG are considering forming a joint venture to work in the North Sea.

"I believe that in the next five years, we must realize, whether we should invest in projects abroad. I believe it does not worth it, because Kazakhstan's economy has not sufficiently funded," Kelimbetov said.

In his view, virtually the Kazakh companies' all attempts to go abroad with the expansion failed.

"I have been watching projects in oil and gas industry, including overseas, for 10 years and I have not heard of successful investments. We are not very well stocked in the petrochemical assets abroad," Kelimbetov said.

A difficult situation is occurred around the Romanian concern Rompetrol redeemed by Kazakhstan some years ago. There is also a big problem with the assets in Georgia 'Tbilgazi'.

"We, in fact, have lost all assets that were invested in BTA Bank in the CIS," Kelimbetov said.

The most critical and needed investment should be made in projects inside the country in the next five years.

"While we did not modernize our refineries, power systems, pipelines - these are the most popular investment. I believe that we need to invest in something that lies, literally, under our feet," Kelimbetov said.

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