REFERENCE: Astana city - budget and its performance

/IRBIS, information of the KASE Listing commission, Dec 20, 01/ - The following information is published due to the admittance of third issue inscribed coupon bonds of local executive body of Astana city to the Kazakhstan Stock Exchange (KASE). BUDGET REVENUES Main sources of budgetary revenues for Astana are tax collections and official transfers from the republican budget. Tax collections reached 90.7% in 1998, in 1999 - 73.2%, in 2000 - 88.3% of total revenues. Official transfers in 1998 equaled 5.2%, in 1999 - 25.4%, in 2000 - 9.4%, for 9 months of 2001 - 21.4% of total revenues of the budget. Budget performance data of Astana in 1998-2000 (m KZT, unless otherwise specified) ------------------------------------------------------------------------------- Plan Budget performance ----- -------------------------------------------------- 9 months % of % of % of % of Budget articles 2001 2001 plan 2000 plan 1999 plan 1998 plan ---------------------- ----- -------- ----- ----- ----- ----- ----- ---- ------ I. REVENUES 28305 21697 93.6 23489 100.2 20086 100.0 9558 100.0 Revenues: 22508 17051 96.7 21083 100.2 14984 102.0 9064 95.0 Tax revenues 21898 16546 96.4 20736 100.1 14710 102.5 8671 94.1 Nontax revenues 379 317 87.6 334 112.3 265 94.0 360 111.3 Capital transactions 231 188 192.1 12 95.8 8 524.7 32 - Official transfers received 5397 4646 86.1 2200 100.0 5103 93.6 494 3221.2 Repayment of loans and debt 400 - - 207 93.8 - - - - ---------------------- ----- -------- ----- ----- ----- ----- ----- ---- ------ II. EXPENSES AND FINANCING 28884 21855 91 23570 99.7 19929 98.1 9588 99.5 Expenses: 28418 20389 90.5 23470 99.7 19679 98.0 9588 99.5 State public services 283 181 82.1 305 99.7 381 99.9 164 99.4 Defense 354 245 90.4 316 99.8 205 99.8 48 99.5 Public order and safety 1629 1069 86.4 1122 100.0 583 100.0 452 99.9 Education 2079 1487 89.5 1738 99.7 3543 99.9 739 100.0 Health 1705 1196 90.8 1558 99.4 1074 97.6 364 100.0 Social insurance and protection 964 673 89 668 99.6 616 96.9 1106 99.8 Housing 8303 6110 86.3 4216 99.1 1034 74.7 829 98.2 Culture, sports and information 973 671 90.5 898 100.0 3033 99.8 332 100.0 Agriculture, water, forestry, fishing and environment protection 62 32 72 48 100.0 38 99.6 5 100.0 Industry, construction and mineral resources 14 14 100 1 100.0 - - 5 96.2 Transportation and communication 992 918 100 576 100.0 224 100.0 - - Others 11020 7771 94.9 11936 100.0 8948 100.0 5065 91.0 Debt servicing 39 22 26.1 89 98.1 - - - - Official transfers (withdrawals) - - - - - - 479 - Financing 1466 1466 100 100 100.0 250 100.0 - - ---------------------- ----- -------- ----- ----- ----- ----- ----- ---- ------ III. Budget deficit (-) / surplus (+) -1580 -158 -81 157 -30 ---------------------- ----- -------- ----- ----- ----- ----- ----- ---- ------ IV. Budget deficit financing 1580 834 191 128 - Revenues 1916 916 - 150 - Repayments -447 -191 -202 -22 - ---------------------- ----- -------- ----- ----- ----- ----- ----- ---- ------ V. Cash flows -111 567 -283 285 -30 At the beginning of the year 111 109 393 108 77 At the end of the year - - 111 393 48 ------------------------------------------------------------------------------- Most of the tax revenues are made of value added tax. In 2000 the budget revenues from value added tax equaled KZT11,602m, or 56.0% of all tax revenues. From 1998 through 2000 value added tax revenues increased by KZT6,543m or 129.3%. Income tax from legal entities accounted for 18.3% of all taxes in 2000. However, in 2001 no revenues are expected from income taxes from legal entities, since all money will be transferred to republican budget. According to the city project for 2002 tax revenues are planned in the amount of KZT26.0bn or 82% of all revenues (KZT 31.7bn), received official transfer payments (grants) - about KZT 5.5bn or 17.4%. BUDGET EXPENSES AND FINANCING Most of the general expenses of the city budget are created by other expenses (in 1998 - 52.8%, in 1999 - 44.9%, in 2000 - 50.6%). Most of the other expenses come from the development expenses of Astana SEZ (in 1998 - KZT5,034m, or 99.4%, in 1999 - KZT8,870m, or 99.1%, in 2000 - KZT11,338m, or 95.0%). In budget 2001 the most of the general expenses are incurred by other expenses too (36.8%) and housing (27.8%). Most of the other expenses come from the expenses of Astana development program administration - KZT9,905m, or 90.1%, of which KZT9,873m, or 99.7% are development expenses of Astana. Most of the housing expenses come from the housing, KZT2,252m, or 27.1%, and water supply KZT4,167m, or 50.2%. In water supply expenses there is an article allocating funds to the "Construction of the third branch of Vyacheslav water reservoir for Astana" project amounting to KZT3,443m. Financing for the year 2001 accounts for 5.1% of total expenses and financing. Planned part of Astana budget for 2002 - KZT30.8bn from which (significant expenses): KZT11.3bn or 36.7% - other expenses, KZT4.1bn or 13.3% - housing, KZT2.4bn or 7.8% - education, KZT1.7bn or 5.5% - medical care. KZT247.5m are considered for debt servicing. Anticipated surplus of the budget is KZT973.9m. ACCOUNTS PAYABLE AND RECEIVABLE According to issuer data as of October 01,2001, accounts payable and receivable of city budget are absent.