OREANDA-NEWS. On July 11, 2007 members of the International Business Council took part in the “Kyrgyzstan-Kazakhstan” business forum. The participants discussed a number of promising economic projects, reported the press-centre of IBC.
 
The Kazakh delegation headed by Prime Minister Karim Masimov included Chairman of the Kyrgyz-Kazakh Intergovernmental Commission, Minister of Energy and Mineral Resources Baktykozha Izmukhambetov, Minister of Industry and Commerce Galym Orozbakov, Minister of Agriculture Akhmetzhan Esimov, Chairman of the National Bank of the RK Anvar Saidenov, Minister of Transport and Communications Serik Akhmetov, and other officials.    
 
The meeting’s major result: Prime Ministers Almazbek Atambayev and Karim Masimov signed an agreement on creating the “Kazyna” Kyrgyz-Kazakh Investment Fund.   
 
Of the fund’s $120 mln, $100 mln will be provided by Kazakhstan, another $20 mln by Kyrgyzstan. The money to be put in the development of the Kyrgyz economy and concrete attempts to solve domestic problems, as well as in deepening of cooperation between the two nations. Kazakhstan will increase the size of investments in pace with Kyrgyzstan’s economic progress and emergence of particular projects, said the Kazakh Prime Minister.
 
Kazakhstan accumulated considerable financial resources to be invested in Kyrgyzstan, but potential projects should have a solid economic component. If Kyrgyzstan can guarantee acceptable conditions, Kazakh capital is sure to flow in here, said Masimov. To foster home economy, though, the Kyrgyz state should make it possible for local companies to raise their own potential, in parallel with foreign investment.
 
For Kyrgyzstan's economic advancement, it is vital to form a class of national investors, said Masimov. “In Kazakhstan, this took us too much time. Like Kyrgyzstan, we first counted only on foreign investments. But today we have our own class of investors capable of running large-scale projects,” he explained.    
 
The “Kyrgyzstan-Kazakhstan” business forum  turned out fruitful and beneficial to both sides, believes Kyrgyz Minister of Economic Development and Trade Sabyrbek Moldokulov. At present, over 400 joint Kyrgyz-Kazakh enterprises are operating in Kyrgyzstan. The government expects this number to fly up after the forum.
 
“Today, investment climate in Kyrgyzstan is rather friendly,” said Deputy Minister of Economic Development and Trade Sanjar Mukanbetov. “There are many industries here that might be interesting to Kazakh investors. Energy, agricultural processing, and mining are some of them.”    
It is necessary to strengthen structural economic ties, to thus sustain mutually advantageous partnership aimed at attracting investments to the country.   
 
The forum held a presentation of the project for the construction of ferroalloy works in Kyrgyzstan and signed a respective memorandum.
 
Besides, Kyrgyzstan presented projects in the field of industry, agriculture, finance and tourism. 
 
Financial sector: The projects presented are dealing with privatization of the AiylBank JSC and privatization/restructuring of the Kyrgyzpochtasy state enterprise, as well as with microcrediting operations.
 
Industrial sector: eight presentations covered projects for renovation of the Uchkurgan hydropower plant on the Naryn river, laying of the Tashkent-Bishkek-Almaty pipeline, and construction of the Almaty-Cholpon-Ata road.
 
Agribusiness: It has been recommended to establish by September 1, 2007, an intergovernmental business council on agribusiness promotion and to fix its composition.