Sovereign Wealth Fund Samruk Kazyna SamrukKazyna Objectives and

Sovereign Wealth Fund “Samruk. Kazyna” Samruk-Kazyna Ұлттық Әл-ауқат Қоры

Objectives and principles Fund “Samruk-Kazyna” was founded on October 13, 2008 to improve competitiveness and sustainability of the national economy and to anticipate possible negative impact of changes in world markets on economic growth in the country. Productive and Investment Activity • Realization of investment projects at national and international level • Support and upgrading of existing assets • Assistance in developing regions and the implementation of social projects • Support for domestic producers, domestic goods and services Стабилизация Stabilizing the economy and financial system • The implementation of stabilization and preventive measures for the sustainable development of the economy Improving Corporate Governance System • Maximizing the value of Companies and increasing their competitiveness • Introduction of best corporate governance practice Samruk-Kazyna Ұлттық Әл-ауқат Қоры

Fund “Samruk-Kazyna” is a state strategic fund • Industrial companies – Mission of the Fund is to contribute to sustainable development and diversification of the economy of the state by means of steady growth of the value of portfolio companies and support of the private sector through the development institutions. Samruk-Kazyna Ұлттық Әл-ауқат Қоры – Improving the welfare of the country through maximization of the value of state assets – Best return on capital with account of objectives – Organizational effectiveness of a private company in dealing with public strategic objectives • Development institutions – – • 19 industrial companies, including minority interests 9 state development institutions 7 SEC Financial institutions – – 4 commercial banks 4 other financial institutions 3

Horizons of Fund’s development • Short-term perspective: crisis • Mid-term perspective: surmounting the crisis • Industrial Companies Allocation of non-core assets Significant improvement in operating performance Preparations for the implementation of nonstrategic companies Introduction of non-profit functions accountability and compensation mechanisms – – Mandate restructuring and execution efficiency enhancement in the context of the crisis – Liquidity recapture to credit the real sector of the economy and population – – – • Development institutions • Financial institutions • Basic function of the Fund is …. Samruk-Kazyna Ұлттық Әл-ауқат Қоры • … realization of measures on overcoming the crisis and stabilization of the economy • 2015/16 -2020 • 2011 -2015/16 • 2009 -2011 – • Long-term perspective: sustainable development Full or partial realization of large industrial companies (excluding those which are required to retain state control) Setting clear objectives for non-profit tasks, a full waiver of non-core projects and nonpriority non-profit tasks – – Active involvement of the private sector in meeting the challenges of diversification and modernization of the economy (with the possible disposal of assets) – Investment of funds from sale of assets in further diversification and modernization of the economy – Sale to effective private owners – N/A – • … value maximizing and sale to effective private asset owners – • Fixed Asset Management (national security, modernization of national infrastructure, etc. ) Creating strategic advantages for the country by means of the new investments and existing assets management … construction of a national welfare through promotion of diversification and modernization of he Economy 4

Overall performance Samruk-Kazyna As of January 1, 2009, consolidated charter capital of the Fund “Samruk-Kazyna” made up 3. 487. 875. 909. 518 tenge, or 29. 06 billion U. S. Dollars. Fund “Samruk-Kazyna” has concentrated up to 40% of country’s GDP. 42 companies of Level 1 113 companies of Level 2 186 Companies of Level 3 63 Companies of Level 4 Samruk-Kazyna Ұлттық Әл-ауқат Қоры The total number of employed in the holding is more than 260 thousand people, including 205 people in the managing company.

Corporate Governance: outcomes All subsidiaries have developed and adopted Action plans aimed at improvement of corporate governance system The Board of Directors has endorsed Corporate Governance Code in December last year Institute of Independent directors turned into an important instrument of corporate governance. Independent Directors are included into compositions of the Board of Directors of all subsidiaries. Three Committees: Audit Committee, Nomination Committee and Remuneration Committee have been created and are operating under the Board of Directors of the Fund Subsidiaries also create and put into operation audit, nomination and remuneration committees of the Board of Directors. Samruk-Kazyna Ұлттық Әл-ауқат Қоры

Corporate Governance Results Tasks • Companies with corporate governance score (CGS) : • Subsidiary company JSC Kaz. Munai. Gas, E&P KMG – rating 6 • Air Astana JSC – rating 5+ • KEGOC JSC – rating 5 • Kazmortransflot JSC - rating 4+ Samruk-Kazyna Ұлттық Әл-ауқат Қоры Fund and the largest portfolio companies will have CGS at no less than 5 -6 level by 2010 and its consistent increase thereafter

Thank you for your attention! Samruk-Kazyna Ұлттық Әл-ауқат Қоры