Galim Khussainov
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Economy and public policy · 1 min read

The Air Astana IPO: The Most Market-Oriented of Kazakhstan's State-Owned Companies

Translated from Russian with the help of AI. Original: Russian version

Air Astana's long-awaited IPO this year is a rare case of a state-linked company run on market principles. The author argues that it will show the state earns far more as a portfolio investor than as a hands-on manager.

This year Air Astana, the IPO that everyone in Kazakhstan has been waiting for so long, is going public. Compared with other state-sector IPOs, Air Astana is the most market-oriented company of them all: it has an independent management board, a properly constituted board of directors, no social obligations and a clear focus on profit. Many people criticize Air Astana, whereas I pray that its team stays in place for a long time, because this is an extremely difficult business with very high risks. The IPO will give the company more independence, and it is a real test case that will show that the state as a portfolio investor stands to earn far more money than when the state manages a company itself.

First published on the @galimschannel Telegram channel

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