- Kazakhstan maintains steady economic growth despite challenges in sectors like trade.
- The government focuses on infrastructure development with investments exceeding $86 billion by 2029.
- Initiatives include boosting manufacturing and supporting the agro-industrial complex to enhance production capabilities.
Despite facing setbacks in sectors such as trade due to spring floods, Kazakhstan continues to achieve steady economic growth. Deputy Prime Minister Nurlan Baibazarov emphasized the resilience of various industries, noting growth rates surpassing previous periods in key sectors.
The government‘s robust infrastructure plan, with investments totaling over 40 trillion tenge, underscores its commitment to long-term economic development through modernization and expansion efforts.
Kazakhstan’s Economic Liberalization: Path to Privatization and Market Dynamics
The focus on manufacturing and industrial projects remains pivotal, with ongoing investments in metallurgy, oil and gas chemistry, and mechanical engineering. These initiatives aim not only to bolster production capacities but also to attract domestic and international investments. Additionally, support measures for the agro-industrial complex, such as preferential credit conditions and leasing programs for agricultural machinery, are geared towards enhancing agricultural output and sustainability.
President Kassym-Jomart Tokayev’s recent decree on economic liberalization marks a significant shift in Kazakhstan’s economic policy. Aimed at reducing the state’s economic footprint, the decree targets a gradual privatization of state assets by 2028. This initiative is expected to reduce the state’s current share in the economy, which exceeds 40%, and stimulate private sector growth through increased competition and market dynamics.
Central to the economic liberalization agenda is the establishment of the National Office for Privatization, tasked with conducting comprehensive audits of state assets and overseeing the privatization process. This strategic approach aims to streamline operations and enhance transparency, thereby attracting both domestic and international investors. Furthermore, the decree addresses market distortions by eliminating regulatory barriers and cross-subsidization practices, paving the way for a more equitable business environment conducive to sustainable economic growth.
In conclusion, Kazakhstan’s economic liberalization efforts under President Tokayev’s decree are poised to transform its economic landscape. By reducing state intervention, promoting competition, and enhancing market dynamics, Kazakhstan aims to strengthen its position as a regional economic powerhouse and attract significant foreign investment.
“The main direction of this decree is to decrease the state’s share in the economy, which currently exceeds 40%. The decree aims to achieve this reduction through the privatization of state assets by the end of 2028, to be carried out in stages.” – Nurlan Baibazarov, Deputy Prime Minister and Minister of National Economy of Kazakhstan
