DESTINATION kazakhstan
Diversification of Kazakhstan’s
economy and its competitive ability
In order to diversify the country’s economy, in 2010 the State Industrial
and Innovative Development Program, consisting of two stages was
adopted.
Timur Suleimenov,
Minister of National
Economy of the Republic
of Kazakhstan
Тимур Сулейменов,
Министр национальной
экономики Республики
Казахстан
Since actively implementing this new
industrial policy, we have been able to solve
issues to stop the de-industrialization of
the country within these first five years;
including these basic conditions for forming
industrial development – lifting infrastructure
restrictions to implement industrial potential,
an integrated system of development
institutions; and large backbone enterprises.
To accelerate the development of the
manufacturing industry and avoid the
dependence on raw materials, an increase
in the non-oil export and attraction to the
FDI in the medium term is necessary, which
resulted in the State Industrial and Innovative
Development Program for 2015-2019
(hereinafter – the Program) development,
focusing on priority sectors of manufacturing
industry and creation of new jobs.
At the same time, under the new economic
reality, the Program was updated according
to global industry and technology trends
(factors related to capital outflow from
developing markets, falling commodity
prices, and country competition in location
and production development).
Program have been changed. To achieve
the goals and indicators, the forecasted
investment needs to the fixed capital of
manufacturing industry would be about 5
trillion KZT (estimated).
In addition, effective measures to diversify
the sales markets of Kazakhstan’s
products, export structures, increase
the price competitiveness and loc alize
domestic production are introduced.
For example, the main area for diversifying
the sales markets of Kazakhstan products,
in view of market volumes and distance
between the trade factors, will be
the EAEU and Central Asia countries,
Afghanistan, Iran, the Caucasus and the
western regions of China.
An important measure for saturating the
domestic market with necessary funds
will also be the new policy for attracting
foreign investments, focused both on
increasing the targeting and efficiency of
work with foreign companies, primarily
with TNC, while creating an attractive
investment climate that meets the OECD
standards. Thus, within the frames of the
Program it is planned to involve 10 TNC
and anchor investors.
In this regard, the indicators of competitiveness
for manufacturing industry include the following:
the value of exports, labor productivity and
In general, this Program is an integral part
private investment volume, with the exception
of the overall system of state planning
of support for low-yield projects.
and economic development, along with
the sectors of agriculture, subsoil use,
To achieve these indicators, the criteria for
info-communication, space, transport and
support measures provided to enterprises/
other infrastructures, services including
project of manufacturing industry under the education.
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