China–Kazakhstan Production Capacity Cooperation Fund
Native name | 中国-哈萨克斯坦产能合作基金 |
|---|---|
| Company type | Private equity fund |
| Industry | Investment management |
| Founded | December 2016 |
| Headquarters | Beijing, China |
| Total assets | US$2 billion |
| Parent | Silk Road Fund |
The China-Kazakhstan Production Capacity Cooperation Fund (Chinese: 中国-哈萨克斯坦产能合作基金) is a US$2 billion investment fund established by the Silk Road Fund in December 2016 to support production capacity cooperation and related investments between China and Kazakhstan.[1] It was the first special fund created since the Silk Road Fund's establishment in 2014.[2]
History
The fund was established following an agreement between the Silk Road Fund and Kazakhstan's national investment promotion agency, signed in Beijing in December 2015 in the presence of Chinese Premier Li Keqiang and Kazakh Prime Minister Karim Massimov.[2] Under the agreement, the Silk Road Fund committed US$2 billion to establish the fund, with KAZNEX INVEST responsible for implementing relevant preferential policies and assisting with projects.[2]
In June 2017, the governments of China and Kazakhstan signed an Agreement on Tax Exemption of Individual Types of Income for Direct Investment, granting certain types of income from the fund's direct investments in Kazakhstan tax-exempt status.[1]
Investments
In June 2018, the fund made its first investment by acquiring a portion of common shares in the Astana International Exchange (AIX).[3] The investment was part of a broader strategic partnership with the Astana International Financial Centre. The fund remains a substantial shareholder of AIX alongside the Astana International Financial Centre, the Shanghai Stock Exchange, and Nasdaq.[4] The cooperation was intended to help align China's Belt and Road Initiative with Kazakhstan's Nurly Zhol ("Bright Path") economic policy, strengthen bilateral ties, and advance Kazakhstan's financial reforms and capital market development.[3]
Related initiatives
The fund operates within the broader China-Kazakhstan production capacity and investment cooperation mechanism. Under this framework, the China Development Bank established a separate US$15 billion special loan facility to support projects on the China-Kazakhstan production capacity cooperation list.[1] As of March 2019, CDB had issued loans exceeding US$1.1 billion to four major projects under this mechanism.[1]
See also
References
- ^ a b c d "China-Kazakhstan production capacity co-op: a new sample of practice under BRI". Xinhua Silk Road. 2019. Retrieved March 4, 2026.
- ^ a b c "China Silk Road Fund collaborates with KAZNEX INVEST". China Daily. December 14, 2015. Retrieved March 4, 2026.
- ^ a b "Silk Road Fund Signs a MOU on Strategic Partnership with Astana International Financial Centre". Belt and Road Portal. June 2018. Retrieved March 4, 2026.
- ^ "AIX Shareholders". Astana International Exchange. Retrieved March 4, 2026.