The lower house of the Kazakh Parliament (Mazhilis) ratified an agreement on the creation of the Turkic Investment Fund on September 20, 2023. The agreement was signed in Ankara in March 2023 by the five member states of the Organization of Turkic States (OTS): Azerbaijan, Kazakhstan, Kyrgyzstan, Türkiye, and Uzbekistan, Turanews.kz reports.
The Turkic Investment Fund is the first joint financial institution for economic integration of the Turkic world. Its goal is to promote the economic development of UTC member states by expanding intraregional trade and supporting economic activity.
The fund’s authorized capital is divided into paid shares with a total par value of $350 million, as well as attracted shares with a par value of $150 million. Each state accounts for $70 million of paid shares.
The Turkic Investment Fund will perform the following functions through investment activities:
- Financing projects of small and medium-sized enterprises
- Supporting the creation and modernization of physical and digital infrastructure
- Supporting development projects in areas of mutual interest, including industrial production, transport, agriculture, tourism, and the green economy
The adoption of the law will allow Kazakhstan to become a full-fledged country-creator of the Turkic international financial organization, to receive financing for projects in priority sectors of the economy, especially in the development of SMEs, and also to strengthen trade and economic cooperation within and outside the OTG region.
