The first issue of infrastructure bonds is registered In Kazakhstan for the amount KZT30 bn.

/INTERFAX, Almaty, July 29, 05/ - State agency of financial supervision (AFS) of Kazakhstan registered the first in the republic issue of infrastructure bonds for total amount KZT30 bn. (current 135.71/$1). First Kazakhstan infrastructure bonds are issued under construction of "rather important government object" - new railroad "Shar station - Ust- Kamenogorsk", informed Interfax-Kazakhstan on Friday representative of state Investment fund of Kazakhstan (IFK). The issuer of new bonds was performed by specially created for realization of this project company-concessionaire - Doszhan Temir Zholy, whose main shareholder is IFK. "Emission prospect of new type of securities was registered last Thursday", - agency's interlocutor noted. Circulation term of infrastructure bonds with nominal KZT1 th. per each security is 23 years, starting of flotation is planned from August 9, IFK representative noted. IFK hopes, that main buyer of these securities will be accumulative pension funds and commercial banks. As IFK press service informed Interfax-Kazkahstan agency, new railroad will connect big railway junction of Rudnyi Altai with transit main road Turksib near Shar station and thus will connect Eastern Kazakhstan with the other regions of the country through republican railroad net, continuing road Aksu- Konechnaya. At present, as fund's press service explained, railroad connection of Eastern Kazakhstan with the other regions of the republic is fulfilled though Lokot station passing territory of Russia. For enterprises-consignors of the republic this takes additional transport expenses, custom procedures, decrease of capital turnover. New railroad will take freight traffic activity, now executed by the route Zaschita (Ust-Kamenogorsk) - Lokot (Russia) - Semipalatinsk with extension 328 km. in southern and 92 km. in western direction. At the same time press service explained that construction project and new railroad line exploitation will be realized on the basis of concession mechanism on principles of government-private partnership. This is the first such project on CIS territory. The company- concessionaire takes liabilities on construction of railroad line, and in future will exploit it with a view to redeem bond loan to bonds holders. General contractor of new railroad construction is Zheldorstroi JSC. Normative term of railroad construction- 42 months. [2005-07-29]