President Kassym-Jomart Tokayev approved the establishment of the supranational Turkic Investment Fund, QazMonitor reports.
The fund was created at the Organization of Turkic States (OTS) summit in Samarkand last year, where Azerbaijan, Kazakhstan, the Kyrgyz Republic, Turkiye, and Uzbekistan became its founders.
It’s expected that the authorized capital of the fund will amount to $500 million divided into 10,000 shares with a face value of $50,000 each. Once the agreement comes into force, the founding countries must sign up for shares in the fund's authorized capital in equal proportions.
Failure to make installment payments will be considered a default to the fund.
The Turkic Investment Fund will have a president, a board of governors, a board of directors, a general director, and employees. The president will be appointed by the board of governors on a rotating system for a term of four years without renewal or reappointment
The initial plan is for the fund to operate for 20 years since the date of the inaugural meeting. The board of governors can decide to terminate or extend the fund at any time. In addition, the board of governors is authorized to periodically review the capital adequacy and may decide to make additional contributions.
The fund will have the status of an international financial organization and will be located in Istanbul.