Kazakhstan is ending the year with a 4% GDP

Kazakhstan is ending the year with a 4% GDP

Kazakhstan is ending the year with a 4% GDP. Experts say that the economic forecast for 2018 was justified. In previous years, the extraction sector provided the largest inflow of funds to Kazakhstan’s budget. The experts say that the growth of the economy in 2018 was due to an increase in oil production at Kashagan. Most importantly, there is a positive trend in the non-primary sector.

SERGEY DOMNIN, EXPERT, INSTITUTE OF WORLD ECONOMICS AND POLITICS:

- Oil was the economic driver in the previous years and it remains so. It is natural and predictable. In the rest of the non-primary sectors, there is a moderate movement in different areas. The positive dynamics is comparable to the one in the extractive sector. There is nearly 4% growth which is quite high, between 4% and 5%.

Kazakhstan’s economic dynamics and foreign financial institutions were positively evaluated. At the end of the year, the Asian Development Bank updated its forecast for Central Asia and Kazakhstan. According to the ADB, the growth of production including in processed products is observed.

GIOVANNI CAPANNELLI, ASIAN DEVELOPMENT BANK COUNTRY DIRECTOR:

- We also notice more dynamism in the manufacturing sector. That is a good sign. That tells us that this policy of economic diversification may start taking some effect in Kazakhstan as well as in the region. Obviously in the region Uzbekistan start playing more important role than in the past.

Another important achievement in 2018 is the opening of Astana International Financial Center. A little later in the same year, the Astana International Exchange was opened. President of Kazakhstan Nursultan Nazarbayev personally have officiated the trading activities. In the first two days, brokers made 780 transactions. (In total), over four months of work in the world ranking of financial centers, the AIFC has reached the 61st line. It is expected that in two years the AIFC will be in the top 50. In a short period, the financial center has managed to find reliable partners as well as receive support and recognition from global financial institutions. The AIFC will become the hub of not only the country, but also the entire region, and subsequently the Eurasian continent.