Kazakhstan’s Economic Growth Accelerates in First Quarter

NUR-SULTAN – Kazakhstan’s economic growth accelerated to 4.4 percent in January-March, reported the Ministry of National Economy on April 12. The growth is observed in the real sector, exports and in the service sector.

Photo credit: PrimeMinister.kz.

This was announced during the government meeting chaired by Prime Minister Alikhan Smailov. 

“Growth in the real sector amounted to 5.9 percent. The activity in the services sector increased to 2.8 percent. Positive trends are observed in transport and warehousing, construction, trade, water supply, manufacturing industry, information and communications, mining and agriculture,” said Minister of National Economy Alibek Kuantyrov. 

Growth is seen in all regions – Almaty’s economic growth increased by 18 percent, the North Kazakhstan region by 14.4 percent and the Atyrau region by 14.3 percent. 

As a result, the GDP growth increased up to 4.4 percent in the first quarter of this year. “We see growth of main economic indicators in Akmola, Almaty, Zhambyl and East Kazakhstan regions and the capital. Other regions should intensify their work,” said Smailov. 

The Prime Minister noted that it has been possible to mitigate the socio-economic impacts of sanctions but the government should continue to apply efforts in this direction. 

The authorities are also focused on curbing inflation. The annual inflation rate has accelerated up to 12 percent in March. Inflation growth in Kazakhstan’s trading partners and the world food price growth also contributed to this trend.

“According to the Food and Agriculture Organization of the United Nations, the food price index averaged 159.3 points in March 2022, reaching the highest rate in 30 years. Prices rose to a greater extent for cereals, vegetable oils, sugar, meat and dairy products. This also affects our market,” said Smailov.

The government is currently implementing measures to control and reduce inflation for 2022-2024. “State bodies and local representative bodies should use the necessary approaches to curb inflation and monitor this issue,” said Smailov.

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