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A comprehensive audit of state resource utilization in the Kostanay region has revealed substantial shortcomings in the management practices of regional authorities، raising serious concerns about financial oversight and development effectiveness.

Economic Discrepancies Despite Growth

While the region has seen an increase in overall product output، auditors from the Supreme Audit Chamber highlighted that socio-economic development remains unstable. Persistent systemic gaps in management and planning were identified within executive bodies.

Despite local budget revenues increasing by 75 percent between 2020 and 2024، the share of own revenues grew only modestly from 29% to 36.1%. Alarmingly، the region took out a loan of 30 billion tenge even while having 19 billion tenge in unallocated funds، indicating a significant misalignment in expenditure planning and debt management.

Stalled Investments and Infrastructure Woes

The inflow of foreign direct investment remains sluggish. Six out of eight planned investment projects، collectively valued at 188 billion tenge and scheduled for completion by 2025، have not yet been commissioned.

Furthermore، the implementation of the regional development program has seen a consistent removal of investment projects، ranging from 12 to 164 annually. Systematic violations in project and estimate documentation were also found during the construction of several facilities، hindering their operational readiness or requiring costly post-construction modifications.

Ineffective Business Support and Road Quality Issues

State support totaling 11 billion tenge provided to 352 business entities proved largely ineffective. Nearly half of these businesses، 179 in total، ceased operations، while another 168 failed to meet their commitments for job creation. The audit also noted instances of covert subsidies to financially stable businesses، undermining fair competition and reducing the efficiency of national management holdings.

The quality of road construction in the region is also under fire. An inspection of 12 sites revealed defects such as subsidence and damage to asphalt-concrete surfaces، including on previously completed sections.

Agricultural Sector Struggles

Despite remaining the region's primary sector، the agro-industrial complex is experiencing unstable development. Since 2022، the overall output of agricultural products has declined، livestock numbers have decreased، and the number of defunct agricultural enterprises has risen.

Procurement Irregularities and Overpriced Medical Equipment

Significant violations، amounting to 12 billion tenge، were identified in public procurement processes. These included allowing non-compliant bidders، unjustified use of special procurement procedures، and single-source procurements under the guise of emergencies.

The cost of medical equipment for newly constructed medical ambulatories was inflated by approximately 200 million tenge. Some items were purchased at prices 18 to 46 times lower than their project estimates، with pricing based on the price lists of a company declared bankrupt.

Audit Findings

In total، the audit uncovered financial violations amounting to 51 billion tenge، with an additional 50 billion tenge related to inefficient planning and use of budget funds. Materials from 52 identified facts have been forwarded for administrative action.

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