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Finance Ministry wants AI to identify unnecessary projects and corruption risks in Kazakhstan’s budget

The Ministry of Finance is set to use new technologies during budget planning / Collage by Kursiv.media, photo editor: Denis Andreev

Kazakhstan’s Ministry of Finance plans to introduce a special information system based on artificial intelligence (AI) to optimize the state budget and identify unnecessary budget items. According to Vice Finance Minister Yerzhan Birzhanov, the system is expected to identify ineffective projects and risks associated with corruption.

«A new information system will be implemented — IT solutions with AI elements — which will reveal where we have excessive expenses or inflated cost estimates. For instance, we will be able to determine how many people reside in a specific area to justify the construction of a facility there. All this data will be interconnected,» Birzhanov explained.

He also reported that following the spring floods, President Kassym-Jomart Tokayev instructed the government to reduce spending on image-related events, which is enabling the government to save $1.1 billion ($375 million in 2024, with another $750 million expected to be saved next year).

«We have been optimizing not just events but also taking a deeper look into expenditures. Our goal is to eventually balance spending with income. That said, we need to cut costs somewhere and review the budget. This should be an ongoing effort, not a one-time event. These approaches are being considered as part of the development of a new Budget Code,» the vice minister added.

He also highlighted that the state planning system will be developed based on analytical data from various public agencies, which is critical for controlling ineffective expenditures.

Kazakhstan’s authorities also aim to introduce AI solutions into the eGov system and launch the National AI Center, although there is currently no formal concept for the center.