The deputies of the Mazhilis have ratified two legislative bills related to the activities of the European Bank for Reconstruction and Development (EBRD). Both documents are now set for consideration by the Senate, as reported by the correspondent of the business information center Kapital.kz.
The first bill pertains to the ratification of amendments to Article 1 of the Agreement on the Establishment of the EBRD. These changes will expand the geographical scope of the bank's operations to include countries in Sub-Saharan Africa and Iraq.
As Minister of Finance Madi Takiyev noted during the plenary session in the Mazhilis, the aim of the amendments is to support the transition of countries to a market economy and to foster private initiative in these regions.
“The adoption of these amendments enhances international cooperation and improves economic interaction between the bank's member countries and recipient countries. It will not affect the bank's ability to support its current countries of operation and will not lead to a downgrade of its AAA credit rating,” he stated.
The Finance Minister also emphasized that the adoption of the amendments will strengthen Kazakhstan's cooperation with the EBRD and other countries mentioned in the amendments.
“Africa is a rapidly growing region. Including it in the EBRD's scope of activities will open new investment opportunities both in these countries and back in Kazakhstan,” Madi Takiyev noted.
The second bill concerns the ratification of amendments to paragraph 1 of Article 12 of the Agreement, which removes the statutory capital limit on the bank's ordinary operations. This change, adopted by the EBRD Board of Governors in May 2023, will allow the bank's board of directors to establish the required capital adequacy norms, thus increasing flexibility and responsiveness in decision-making.
“The removal of the statutory limit will enable the bank to utilize its capital more effectively, aligning with the stated goals of the EBRD and the economic development priorities of Kazakhstan,” concluded Madi Takiyev.