Economic news in brief

Enterprises that are part of the Industrialisation Map in the Zhambyl region manufactured products worth 38.5 billion tenge (US$249 million) in 2013, Primeminister.kz announced. According to the information, 29 industrial projects are currently underway in the region; 19 of them are functioning at 60 percent capacity. This allowed the creation of more than 4,000 jobs. In total, 40 projects totalling 553 billion tenge (US$3.6 billion) were part of the Industrialisation Map in Zhambyl. 178 projects received state support in the form of subsidies with interest worth 22.9 billion (US$148 million) as part of the Business Road Map-2020 Programme. Besides, 40 projects received state support for the development of production infrastructure reaching 6.5 billion tenge (US$42 million). Moreover, the region is drawing in investments from Russia, the Czech Republic, Japan, France, Germany and Iran.

“The volume of private investments made in Astana has increased two times over the past 15 years,” Akim (Mayor) of Astana Imangali Tasmagambetov said at a CCS media briefing on Dec. 27, 2013. “In total, 4.8 trillion tenge (US$31 billion) has been invested in Astana’s economy since it became the capital city. About 2 trillion tenge (US$13 billion), or 40 percent of it was public funds. The share of private investments increased from 38 percent in the 1990s to 66 percent. This had a positive impact on industrial output, which increased from 110 billion tenge (US$711 million) in 2008 to 230 billion (US$1.5 billion) in 2013. Production in the SME sector increased almost twofold and reached 1 trillion 100 billion tenge (US$7.11 billion) this year,” Tasmagambetov informed. “These facts are backed up by the internationally recognized Moody’s. According to a recent Moody’s survey, the credit rating forecast for Astana was changed from stable to positive,” he added.

According to a Dec. 30, 2013 report of BNews.kz, industrial enterprises in the North Kazakhstan region manufactured goods worth 136 billion tenge (US$879 million) over the first 11 months of 2013. This is 104.9 percent against the levels from January – November 2012. “The processing industry and gas, electricity and steam supply and air conditioning account for the majority of the industrial output structure – 75.5 percent and 19.2 percent respectively,” acting head of the regional industrial-innovative development department Marat Iskakov said. The actual volume index in the processing industry was 105.8 percent from January – November 2013 against the corresponding period of the previous year. Production in the chemical industry increased by 23.8 percent, dairy products – by 39.4 percent, wood and cork products – by 21.1 percent, light industry –25 percent and production of meat products grew by 15.3 percent. A 6.2 percent increase in the engineering sector was conditioned by the production of metal-cutting equipment, electronic communications equipment and vehicle repair services. The engineering sector of the region has essential production and personnel potential. Its share in industrial output is 20.4 percent. Production in the engineering sector was 27.764 million tenge (US$179,000) from January – November 2013. This is 6.2 percent more compared to 2012. Four major enterprises, including Petropavlovsk Heavy Machine Building Plant, ZIKSTO, S. Kirov Plant and Munaimash operated by state-owned Kazakhstan Engineering make the biggest contributions to the production volume of the regional engineering sector. “However, production in the flour-milling industry decreased by 19.4 percent, beverage production dropped by 17.5 percent, paper and paper products declined by 28 percent and metal products – by 29.9 percent. The index of actual volume in the water supply, sewerage, control over collection and disposal of wastes was 98.5 percent of 2012 levels,” Iskakov said.

On Dec. 31, 2013, the grand opening of the new Entrepreneurs Service Centre under the regional branch of the Damu Fund was held in Astana. “This centre will provide great support to the entrepreneurs of Astana, the facility will be organised on a one-stop shop principle. Also, forums, seminars and all kinds of events regarding doing business in many sectors of the economy will be held there,” Deputy Akim (Mayor) of Astana Kanat Sultanbekov noted at the opening of the centre. This centre hosts a full package of consulting services and abides by a one-stop shop principle, focusing on development and holding master’s classes and seminars on the most relevant issues of doing business. The services of such centres target four areas: consulting on state support, free of charge consultations on certain business issues, free of charge education at seminars and training courses and consultations for partner organisations such as banks and other development related institutes. “Representatives of business will be able to not only receive information and consultative support in these centres, but also judicial assistance. Any entrepreneur may address a representative of the Chamber of Entrepreneurs of Astana regarding receiving any permits, registration of business entities and other legal issues,” Director of the Chamber Meirbek Mazhitov noted. The main goal set by the Damu Fund, which is opening these centres around the country, is to provide any current or any prospective business owner with information about starting businesses with the opportunity to receive all necessary consultations regarding different aspects of doing business. “As of now, more than nine thousand entrepreneurs have received approximately 22 thousand free consultations. It should be said that after the first visit to one of our centres, many of the entrepreneurs become regular clients,” Chairman of the Board of the Damu Fund Lyazzat Ibragimova noted.

 

Get The Astana Times stories sent directly to you! Sign up via the website or subscribe to our Twitter and Telegram!