Corporate business

Implementation of the planned volume of 115.4%, in absolute terms — 89,000 ports.

The introduction of the digital customer journey has increased the number of registered users of the ISMET.KZ platform by 2 times, and allowed the threshold of 63 thousand users to pass, while sales over the year through digital channels rose from 1.2% to 13.2%.

As part of the digital transformation, Kazakhtelecom JSC has launched a pilot project "Digital Partner in Village" in Turkmenistan region. The idea of the project is to engage private entrepreneurs to provide Internet services to rural communities, and the partner has the opportunity to earn money together with the operator. All interactions with the project partner are performed via a digital channel.

At the end of 2021, the "Level of loyalty of NPS B2B" fell to 15%. The main reasons for the decrease are the client's dissatisfaction with the quality of services. There was an active increase in online interactions during the period of the disaster. Sales were transferred online, employees were transferred to remote work, and the transfer of schoolchildren and students to remote learning format created an unprecedented burden on the network.

Incoming and outgoing traffic in the B2X segment increased by 1.5-2 times. Businesses with relatively low speed in the pre-December period today require optical technologies and high speed. For this reason, in 2022 the corporate segment is facing global challenges to transfer the business to improved technical characteristics. In addition, the goals for 2022 are aimed at reducing expenses on paper, logistics, reducing the labor costs of sales and service personnel by transferring service transactions online and digitalizing the process of connecting using fiber-optic communications.

Kazakhtelecom JSC was determined by Resolution of the Government of the Republic of Kazakhstan No. 1393 dated 29 December 2014 to ensure the transfer of information via public telecommunications networks by the fiscal data operator.

The Operator of Fiscal Data (OFD) project ensures the prompt transfer of information on cash settlements using CSM made during trading operations and/or the provision of services to the state revenue authorities.

According to the Order of the First Deputy Prime Minister of the Republic of Kazakhstan — the Minister of Finance of the Republic of Kazakhstan dated April 19, 2019 No. 363 “On Amendments to the Order of the Minister of Finance of the Republic of Kazakhstan dated February 16, 2018 No. regime to the state revenue authorities for public telecommunications networks” two more fiscal data operators were identified — Transtelecom JSC, Kar-Tel LLP and KazTransCom JSC.

Since 2015, Kazakhtelecom JSC has been providing services of accepting, processing, storing and transferring fiscal data in unchanged form to the tax authorities via wired and wireless VPN channels (SIM cards of Altel JSC, Kcell JSC, Kar-Tel LLP).

Despite the appearance of new players in the market of fiscal data operators, such as TTK, KazTransCom and Kar-Tel LLP, the Company retains its leading position in the market of OFD in Kazakhstan through the optimization and digitalization of business processes and provision of services to end users.

The number of active cash registers connections fell by 14,000 in 2021. The reason for the decrease was a change in the situation on the OFD market and strong price competition.

In January 2020, the final stage of the phased introduction of the Nationwide Classification of Economic Activities (NCEA) was completed in accordance with Order of the Minister of Finance of the Republic of Kazakhstan No. 1029 dated 27 November 2018 "On the Approval of the NCEA when taxpayers use cash registers with the Function of Fixation and/or Transfer of Data in Cash Settlements in the Republic of Kazakhstan". This means that all entrepreneurs, regardless of the type of activity and tax regime, have become obligated to switch to the next-generation online cash desks that transfer information on trading operations through the State Treasury Committee (STC) of the Ministry of Finance of the Republic of Kazakhstan.

After January 2020, the growth of active cash registers connections was only possible due to the growth of new registered legal entities in the Republic of Kazakhstan and the exit of entrepreneurs from the shadow economy. For the entire duration of the project, the maximum coverage of the client base was set during the implementation of the plan of the STC of the Minister of Finance of the Republic of Kazakhstan, respectively, in 2020.

A new service "Scoring with Banks" was launched in 2021 as part of the development of the OFD project. This is a system for assessing the creditworthiness (credit risks) of an entity, based on numerical statistical methods according to the data of the OFD. The project was implemented as part of a joint service agreement with partners also providing technical support. In 2021, income from the project amounted to about KZT 27 million . The Company aims to retain and retain its client base in a competitive market.

In 2021, Kazakhtelecom's JSC income from its local operating segment amounted to KZT 43,116 million, against a target of KZT 38,686 million. The plan was achieved by 111.45%, and increased by 5.43% compared to 2020.

Revenue from providing Internet channels to operators amounted to KZT 5.1 bln, while the total throughput capacity of Internet channels for communications operators of the Republic of Kazakhstan was 871,789 Mbit/s, an increase of 23.3% since the start of the year.

The increase in the throughput capacity of Internet channels was caused by active work on attracting outside operators and the sale of additional volumes by Kcell JSC and Mobile Telecom-Service LLP. The growth in the consumption of Internet services by cellular operators is a consequence of the continued growth in the consumption of mobile Internet traffic by end users of mobile operators.

Income from leasing communications channels, including data transmission channels, amounted to KZT 24.5 billion. The throughput capacity of the lines purchased by the communications operators of the Republic of Kazakhstan under the lease of transport channels was 5,186 Mbit/s; for IP VPN services it was 1,364,520 Mbit/s; the growth since the start of the year was 61.1%. The increase in the capacity for the lease of channels is explained by the conclusion of a supplemental agreement with Mobile Telecom-Service LLP on an increase in volumes.

Revenue from voice traffic was KZT 6.99 billion. The volume of transit international traffic at the end of the year was 44,106 thousand minutes.

In November 2020, a Memorandum of Mutual Cooperation was signed between the Ministry of Internal Affairs of the Republic of Kazakhstan and Kazakhtelecom JSC to improve the level of public security through the introduction and development of video surveillance systems.

In order to ensure the transfer of video traffic from access video surveillance cameras to video monitoring platforms at the Central Office of the Regional Police Departments of the Ministry of Internal Affairs of the Republic of Kazakhstan, in 2021 the Company successfully implemented the project "Transport for Video Surveillance of the Ministry of Internal Affairs of the Republic of Kazakhstan", under which:

Income under this project in 2021 amounted to KZT 529 million.

In 2021, according to the project "Provision of broadband Internet access to rural population centers of the Republic of Kazakhstan using FOCL technology", OS base stations were connected to 164 population centers with a total capacity of 13,261 Mbit/s.

The following projects were implemented in the international operating segment in 2021:

Project "Provision of broadband access to rural settlements of the Republic of Kazakhstan using the technology of fiber-optic communications lines"

In 2021, Kazakhtelecom JSC established 553 public access points for eQoldau (PPA) in the country's villages as part of the FOCL PPP project. With the help of a digital assistant, residents of settlements can now receive public services and services electronically, perform financial operations, order and purchase goods and services in marketplaces, and much more.

The PPA project aims to:

PPA is an information terminal with an intuitive interface and reliable communication with the central servers of state bodies to obtain various certificates and documents. Externally similar to a multipass, full-fledged computers are equipped with a touchscreen display, screen keyboards, printer and sound device.

In 2021, a project to construct a FOCL RS was successfully completed, under which Kazakhtelecom JSC connected 837 FOCL and built 14,380 km of FOCL to connect schools and government institutions in rural areas of Kazakhstan to the broadband Internet.

In 2021, a number of marketing events were planned and implemented in digital and product areas, as well as research and brand positioning.

Digitally, the SERPIN 2021 roadmap provided systematic support for digital channels to increase the share of online customer service. In addition, digital campaigns were held to increase the level of knowledge of clients in support of products, new businesses, share offers, the ISMET.KZ digital platform for entrepreneurs and the Kazakhtelecom Business brand in the corporate segment.

A system marketing policy was implemented for the product line in 2021 in three segments: B2O, B2G, B2B (CCC/SME).

In the B2B and B2O segments:

In the B2G segment, further strengthening of partnerships in the implementation of socially important state projects on digital transformation (Smart Cities), introduction of the latest technologies and development of innovations (IoT infrastructure), video surveillance systems with monitoring and analytics, both inside and outside the country. The Company took part in a number of events with representatives of government agencies to discuss opportunities for mutually beneficial cooperation and exchange of experience in these areas.

The B2B segment continued its maximum marketing activity. In 2021, in the year of combating the consequences of the coronavirus in Kazakhstan and the world, a marketing activity plan was developed, as part of which various marketing campaigns were held to support small and medium-sized businesses. The campaigns were launched with the provision of a special tariff line for individual entrepreneurs (the "Business Proposal" campaign), and the inclusion of the OFD (the "Connect to the OFD and Win" campaign). An additional bonus for clients was the opportunity to win a prize on the purchase of equipment and educational courses to satisfy business needs.

As part of the Almaty Business 2021 training and acceleration program and the Almaty Business-2025 regional entrepreneurship development program, an event was held jointly with the Family Business Association in Kazakhstan (AFBK), where the Company presented a case study on SME assistance in business development and strengthening through a digital platform and services.

Regular surveys and surveys show the importance of the brand when selecting a telecommunications service provider. In order to further strengthen the brand position in the corporate segment through products, special projects, the ISMET.KZ digital platform, and to increase knowledge of the Kazakhtelecom Business brand, online and offline marketing promotion was carried out in 2021, aimed at system communication between clients and the brand.