Economic News in Brief

The Astana International Financial Centre (AIFC) and the Eurasian Economic Commission are strengthening their cooperation in order to create a common financial market, Kazakh-tv.kz reports. Member countries of the Eurasian Economic Union (EAEU) share the goal of harmonising legislation regulating financial markets by 2025. The financial centre can be a platform for the EAEU to test new approaches and new tools. “Our role is to attract world investors and new financial technologies to the centre, so that they can offer their products or investments to the population of the EAEU member countries. The AIFC can be a window and a guarantor for the investors,” AIFC Governor Kairat Kelimbetov said.

Economy NIB 2

Early this month, Kazakhstan’s second-tier banks began to receive and review documents on the country’s new 7-20-25 housing programme, National Bank Chair Daniyar Akishev reported, 24.kz said. The programme involves seven commercial financial institutions and two more second-tier banks intend to join before the end of this year. The bank notes high demand for the programme. Approximately 3,000 applications from citizens of Kazakhstan have been received so far. The maximum cost of housing approved by the programme is 25 million tenge (US$72,962) in Astana, Almaty, Aktau and Atyrau. In other regions, the threshold is limited to 15 million tenge (US$43,777).

Kazakhstan’s economic growth could reach 5.5 percent in the upcoming years, according to experts of the International Monetary Fund (IMF), Kazakh-tv.kz reports. According to the IMF, it will take two to four years for Kazakhstan to achieve such indicators, as the country implements structural reforms and other initiatives. The work of the Astana International Financial Centre (AIFC) will also influence Kazakhstan’s economy. The first transactions through the AIFC will take place this summer. According to IMF analysts, the financial centre’s strong legal framework will contribute to international investors’ trust in Kazakhstan.

Since the beginning of the year, Kazakhstan’s machinery output has increased more than 12 percent, according to 24.kz. Significant growth is observed in the production of cars. As the Ministry for Investments and Development reported, the work of the sector was positively affected by the restoration of demand in the market, exports, as well as a soft loan programme. Last year, every third car sold was produced at a domestic enterprise and more than 1,500 cars were exported. This year, the volume of production is expected to reach 1 trillion tenge (US$2.9 billion).

In five years, Kazakhstan will launch a new satellite, KazSat-2R, Kazakh-tv.kz reports. The new satellite will replace KazSat-2, as the latter’s warranty period of operation will expire by that time. The new model assembles the most advanced technologies. The satellite’s launch will increase signal power to 1,728 megahertz, twice the current level. It will cover more than 4,000 television and radio networks, cellular communications and satellites. “The Digital Kazakhstan programme has many goals. One of the most fundamental goals is 100 percent internet coverage of the entire country. E-government can be brought to remote areas of Kazakhstan. We need a more powerful satellite to achieve these goals,” Bauyrzhan Kudabayev, deputy president of the National Centre of Space Communication, said.