IMF: Development of central Asian Region

The world economic growth in 2017 was recorded at 3.8 per cent, the highest compared to the last six years. The increasing worldwide economic activity is positive sign for Central Asian Republics. The region is experiencing growth in performance due to improved economic conditions of its main trading partners, rising commodity prices as well as a number of economic reforms. Experts of the International Monetary Fund (IMF) had presented an annual report on economies of Caucasus and Central Asian countries.

According to the IMF experts, the GDP growth in Kazakhstan was recorded at four per cent, which is a good indicator for the country. In addition to the growing demand for oil and metals, Kazakhstan has successfully spurred the demand of domestic market. Due to the State programs, the real estate market has revived and the financial loan to agricultural producers has increased.

According to IMF forecast, the economic growth will be gradual in the next few years. Therefore, economists cautioned on the serious role of the National Bank as it is able to regulate the inflation level and respond to external challenges.

ZHANAT KURMANOV, DEPUTY CHAIR, NATIONAL BANK OF KAZAKHSTAN:

- The Central Bank has certain instruments, including tools for interventions in the domestic market.

Another important factor that the IMF pays attention to is the work of regulator with the financial sector and issues of monetary policy.

JUHA KAHKONEN, DEPUTY DIRECTOR, IMF’S MIDDLE EAST AND CENTRAL ASIA DEPARTMENT:

 - Banks have been recapitalized now. The challenge is to make sure that from now on banks do a better job to have productive projects and to collect loans. We do have jointly with the National Bank an event for central bank.

The IMF said countries in the region should use the opportunities created by the global surge in economy and the various integration initiatives introduced to help diversify their economies as well as to strengthen long-term growth.