Alibek Kuantyrov, the minister of the national economy has recommended people of Kazakhstan cut their costs for a while.
He forecasts that the people have to be patient for about two or three months.
“We have to cut our costs wherever it is appropriate. We have such an experience. Unfortunately, an economy is cyclical and we have to cope with such situations time after time. However, the inflation is not as high as in 2015-2016. I think the situation is going to stabilize soon. We just need to wait,” the minister said while responding to the question of why some Kazakhstanis can’t buy new shoes due to higher costs of food.
According to Kuantyrov, the bigger household expenses, especially food, are what the whole world has to deal with.
“Unfortunately, this is a global problem (that more than 50% of people in Kazakhstan spend more than 50% of their revenues on food). If you take a look at the international statistics – the U.S., Russia, Central Asia – supply chain disruption because of the COVID-19 pandemic has hit almost every country,” the official noted.
“Also, you know what is happening now. This caused quite big consequences for logistics and market prices. As soon as the market adjusts itself to the situation, the price volatility will disappear. Everything is going to be okay, I think,” Kuntyrov said.
In addition, the minister advises those who live in rural areas to take a close look at livestock breeding.
“Livestock breeding is one of the oldest types of human economic activities,” he said. However, the minister admitted that people from rural areas want to make more money and that is the reason for their migration to big cities.
In the earlier statement, Kuantyrov also reported slowing growth in salaries in Kazakhstan. According to the Bureau of National Statistics, as of January 2022 people in the country earned $681.59 per month on average. The minister said that in terms of people’s revenues the share of salaries tends to lower while the share of social transfers is growing in Kazakhstan.