The Asian Development Bank’s (ADB) September 2024 edition of the Asian Development Outlook projects Kazakhstan’s gross domestic product (GDP) growth at 3.6% for this year, slightly down from the previous forecast of 3.8% made in April. This adjustment is due to a weaker expansion in services in the first half of the year coupled with lower oil outputs, massive floods and a slowdown in investment. However, Kazakhstan’s economic growth is expected to accelerate to 5.1% in 2025.
«While the economic growth prospects for Kazakhstan look positive in the medium term, its fiscal challenges need to be addressed to ensure sustainable and inclusive economic growth,» said Utsav Kumar, ADB country director for Kazakhstan.
The ADB also noted that in the first six months of 2024, tax revenue collection declined, primarily due to lower year-on-year receipts from oil duties and value-added tax. However, this decline in tax collection was offset by transfers from the National Fund, which contributed to the strengthening of the national currency.
In the first seven months of 2024, average inflation slowed to 8.9% and is projected to decrease to 6.1% in 2025. This decline reflects a tight monetary policy and a stable exchange rate, supported by substantial foreign reserves and earnings from commodity exports.
Established in 1966, ADB is owned by 68 member countries. Since its founding, ADB has allocated approximately $7 billion to the government and private sector in the form of loans, grants and technical assistance. Kazakhstan became a member of ADB in 1994. Utsav Kumar assumed the role of country director in late April 2024, succeeding Nariman Mannapbekov, a national of Kazakhstan.
