According to the National Fund for Children program, 50% of the investment income of the National Fund of the Republic of Kazakhstan is distributed once a year among children who are citizens of the Republic of Kazakhstan, who were born in 2006 and later. In February 2024, based on the results of 2023, the first target requirements were accrued to all children in the UAPF, and citizens who reached 18 years of age in 2024 were credited with target savings (TS) on target savings accounts (TSA) and payments began to be made.
The procedure for using TS for the purpose of improving housing conditions and/or paying for education is defined by:
- the Resolution of the Government of the Republic of Kazakhstan dated January 18, 2024 No. 16,
- Order of the Minister of Industry and Construction of the Republic of Kazakhstan dated February 26, 2024 No. 76 On approval of the Rules for the use of payments of target savings from the unified accumulative pension fund for the purpose of improving housing conditions in accordance with the legislation of the Republic of Kazakhstan and
- Joint order of the Minister of Science and Higher Education of the Republic of Kazakhstan dated February 7, 2024 No. 51 and the Minister of Education of the Republic of Kazakhstan dated February 12, 2024 No. 29 On approval of the Rules for the use of payments of target savings from the unified accumulative pension fund for the purpose of paying for education in accordance with the legislation of the Republic of Kazakhstan.
The step-by-step algorithm of actions can be presented as follows:
· A child who has reached the age of 18 (recipient of the TS) or his legal representative can check the target savings independently in the personal account on the website enpf.kz, in the UAPF mobile application or on the egov.kz portal.
For your information, we inform you that for the 2023 reporting year, all TS recipients were credited with 100.52 US dollars.
· The TS recipient (or his/her legal representative) applies to the AO, where he/she opens a bank account in US dollars in the name of the TS recipient, submits an online application for TS payment through the AO Internet resource.
· The AO, within 2 business days after reviewing and approving the application for payment, sends an electronic notification to the UAPF about the registered application for payment.
· UAPF, within 5 business days from the date of receipt of the electronic notification from the AO, transfers to it the amount of the TS payment specified in the application for subsequent crediting to the bank account in US dollars of the TS recipient opened by the AO, or informs about the refusal indicating the reason.
· The TS recipient or his legal representative, within 45 business days from the date of receipt of the TS amount to the bank account, provides the AO with documents confirming the intended use of TS payments.
· Within 10 business days from the date the TS recipient provides the documents, the AO verifies them and transfers TS payments for their intended purpose.
· If the TS recipient (or his legal representative) fails to provide documents within 45 business days, the TS payment amount held by the AO is returned to the UAPF.
You can read the terms of the program, get instructions, and answers to your questions on the website kids.enpf.kz and on the БЖЗҚ ЕНПФ YouTube channel. We also note that a video instruction on the implementation of the National Fund for Children program, the algorithm of actions before and after the child reaches adulthood is posted on the БЖЗҚ ЕНПФ YouTube channel at the link: https://www.youtube.com/watch?v=HHQNAxfskX8.
Let us note that for 7 months of program implementation, as of August 1, 2024, UAPF JSC executed (transferred to authorized operators for crediting to the bank accounts of applicants) 16,891 applications for a total amount of about USD1.7 million, of which for the purpose of improvement housing conditions, 9,544 applications were executed in the amount of about USD956.7 thousand, for payment of education - 7,347 applications in the amount of about USD736.9 thousand. In this case, the recipient of target savings has the right to use the entire amount or part of it, the remainder of the unused amount remains in the target savings account (TSA).
The most popular sub-goals for using funds for home improvement were: replenishment of a contribution to housing construction savings for further accumulation (9,189 applications were completed for a total of approximately USD921.2 thousand), acquisition of housing in ownership through civil law transactions (final settlement) - 115 applications for a total of over USD11.5 thousand, making a down payment to obtain a mortgage housing loan for the acquisition of housing - 99 applications for a total of USD9.9 thousand.
The most popular sub-goals in the context of paying for education were: payment for educational services of educational organizations located in the territory of the Republic of Kazakhstan, in installments (for each academic period or academic year) or in full at one time (for the entire period of study) (5,884 applications were completed for an amount of more than USD 590.1 thousand), replenishment of an educational savings deposit under an agreement on an educational savings deposit (1,078 applications were completed for an amount of about USD108.2 thousand), payment for educational services of foreign educational organizations in installments (for each academic period or academic year) or in full at one time (for the entire period of study) (301 applications were completed for an amount of more than USD30.1 thousand).
Detailed information on payments of target savings for the purpose of improving housing conditions and (or) paying for education, broken down by authorized operators and regions, can be found on the website enpf.kz.
