The diversification of Kazakhstan’s economy
The diversification of Kazakhstan’s economy will give additional impetus to the country’s development. The conclusion was made by the analysts of the Asian Development Bank (ADB) who presented the results of their country survey for Kazakhstan. According to the ADB experts, permanent and effective reforms will allow improving Kazakhstan’s GDP by 1.2 per cent annually. For that purpose, Kazakhstan will have to focus on economic diversification by the involving the private sector. The ADB experts see vast potential in the development of food industry, agriculture, as well as the production of chemicals and metal processing.
EDIMON GINTING, DIRECTOR, ECONOMIC ANALYSIS AND OPERATIONAL SUPPORT DIVISION, ADB:
- To support the development of manufacturing and agriculture you need better infrastructure, particularly, on transport and logistics. Those are the areas. I think, this together will contribute significantly to a diversification of the country.
The ADB experts believe that the private sector will help accelerate the diversification of Kazakhstan’s economy. In order to involve small and medium-sized businesses in this process, the Government needs to improve the business climate and support innovative development.
KIYOSHI TANIGUCHI, SENIOR ECONOMIST, ECONOMIC ANALYSIS AND OPERATIONAL SUPPORT DIVISION, ADB:
- We believe that R&D or the technological growth is most important for the diversification and the private sector can promote this and then we have an example from Korea. In the 80s Korea’s export policy is to promote export and then in 90s they shifted to technology, innovation and R&D. So, the economic development policy shifted from export-oriented or external-oriented to technology-oriented. Maybe this Kazakhstan may want to look into.