GOVERNMENT: GDP continues to grow in Kazakhstan as well as state support of entrepreneurship


GOVERNMENT: GDP continues to grow in Kazakhstan as well as state support of entrepreneurshipStability is preserved in Kazakhstan in terms of social and economic development. The Government actively stimulates small and medium-sized business, supports exporters and attracts investors to the geological exploration sphere.

The preliminary results of social and economic development of Kazakhstan demonstrated in January-March 2015 were discussed at the government sitting this week.

As Minister of National Economy of Kazakhstan Yerbolat Dossayev informed, the GDP growth made 2.2 percent in the first quarter, the volume of goods production made 100.8%, index of physical volume of services totaled 103%. The inflation rate has made 1.1% since the beginning of the year against 3.3% in the same span of 2014. The prices for food grew 1.6%, services – 2.2%. The prices for non-food products reduced by 0.6%. The volume of construction in the country made 101.9%.

The international reserves of the country made 98.8 billion US dollars as of the end of March, the international reserves also reduced by 0.4% against the month of March of 2014 because of the reduction of the assets of the National Fund in the foreign currency by 5.2% used for financing of “Nurly Zhol” program and target transfers and support of the economy. The gold and currency reserves of the National Bank made 29.1 billion US dollars and increased by 9.8% compared to the last year.

According to Y. Dossayev, the budget revenue as of April 1, 2015, made 1 trillion 423.4 billion tenge and is 94.3% of the estimated amount. As of April 1, 2015, the expenditures made 1 trillion 554.1 billion tenge and it is 97.6% of the estimated amount. The deficit of the national budget made 130.7 billion tenge and was financed at the expense of the internal sources.

Minister of Industry and Development Asset Issekeshev, in turn, informed that the volume of industrial production grew by 0.6% in the first quarter of the year, including 1.1% in the mining industry, and 0.5% in the processing industry. The state support measures were taken in regard to 25 enterprises working in metallurgical industry, 20 companies of the engineering sector, 8 chemical industry companies and 10 construction firms.

According to Minister of Energy Vladimir Shkolnik, the oil and condensate production made 20.3 million tons in the first quarter of 2015, or 100.9% compared to the same period of the last year. 3.1 million tons of oil has already been processed, which is 9.5% reduction compared to the previous year.

Chairman of the Board of “Baiterek” National Holding Kuandyk Bishimbayev told about easy-term loans for Kazakhstani manufacturers and exporters from the Development Bank of Kazakhstan. In accordance with the decision of “Baiterek” National Holding, KZT 85 billion was allocated for support of Kazakhstani exporters and manufacturers, and 70 billion of the amount is going to be allocated in 2015 and another 15 billion in 2016.

On the instruction of the Head of State Deputy Prime Minister Berdybek Saparbayev visited Kyzylorda region within the working trip. He familiarized with the work of industrial and social facilities, met with the personnel and held a number of meetings focused on the issues of social development of the region.

As B. Saparbayev noted, the Government takes the measures on increasing employment rate in Kazakhstan. A “map” of disputes is formed every month in order to prevent social tension and resolution of social and labour conflicts. Besides, it helps to monitor the state of the labour relations in the country. Moreover, the regional complex plans on increasing the employment rate have been approved.

In addition, the Deputy Prime Minister drew attention to the importance of fulfillment of the instructions given by the Head of State regarding the use of all the resources and opportunities for increasing the level of prosperity of Kazakhstani citizens.

Deputy Minister of National Economy Kairbek Uskenbayev informed that one third of able to work population is employed in small and medium-sized business. Thereat, the share of small and medium-sized business in the country’s GDP makes about 18%, which is extremely low. In order to increase the share of the small and medium-sized business in the GDP of the country, it is planned to make an emphasis on increasing the number of actively working entities of entrepreneurship and increasing their competitiveness.

In this regard, the amount of a micro credit extended within the Business Road Map-2020 has been increased up to 10 million tenge and the rate of remuneration for those credits is not higher than 12%. Previously, the amount of micro credits was not higher than 3 million tenge.

At the CCS media briefing, chairman of the committee for geology and subsoil use of the Ministry of Investment and Development Bazarbai Nurabayev told that it was planned to allocated 120 billion tenge for geological exploration works in 2015.