Kazakhstan will see a GDP growth of 3.7% in 2018

Kazakhstan will see a GDP growth of 3.7% in 2018

The International Monetary Fund has prepared an analysis of Kazakhstan’s economic development for the next few years. The IMF forecasted that Kazakhstan will see a GDP growth of 3.7% in 2018. According to the analysis, the economic growth in the republic will be driven by higher oil production as well as increased activities in trade and manufacturing industry. Based on the report, Kazakhstan’s economic growth has accelerated in 2017. The acceleration was due to measures were taken by the Government, which includes budget support, flexible exchange rate, use of inflation targeting as well as strengthening the banking sector and the implementation of structural reforms. The economic growth is expected to be continued although there are some risks such as hydrocarbon prices that need to be taken into account. The continuation of the structural reforms is necessary for the significant improvement of the wellbeing of Kazakhstan’s population. The reforms must be aimed at improving the business climate, raising the effectiveness of public administration and governance.

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

 - The good thing is that Kazakhstan has announced and started implementing many plans in these areas – reforms of public administration, boosting infrastructure and so on. Some progress has been made but the priority now is to put the good plans that are on paper into practice so that Kazakhstan can reap the benefits of the good plans it has made.

JUHA KAHKONENDEPUTY DIRECTOR, IMF'S MIDDLE EAST AND CENTRAL ASIA DEPARTMENT:

 - The really critical thing is to make sure that the role of the state is not to compete with private companies in the productive sector but the state should provide public services