Kazakhstan’s Dubai dream: Alatau city offers special incentives for investors
Kazakhstan’s new city of Alatau in the Almaty region is set to play a major role in the country’s future, according to the Minister of Digital Development Zhaslan Madiyev. Speaking at a plenary session of the Astana International Forum (AIF), Madiyev laid out a bold vision for what he described as Kazakhstan’s flagship urban project.
He said the city could develop along several paths: either through state budget funding, as was the case with Astana and Turkestan, or through private and foreign investment. For Alatau, he stressed, the second model is the goal.
«There are certain features that attract investors to a city,» Madiyev said. «First, it needs a special economic zone and a distinct legal framework. The business language should be English.»
To make the city globally competitive, Madiyev also proposed embracing cryptocurrency as a legitimate form of payment, even in bidding processes. He called for allowing foreign nationals, not just residents, to purchase real estate in the city.
The government’s ambition is to position Alatau as a hub for tourism, education and international trade.
«We want young people to choose Alatau instead of moving to Dubai or Turkey,» he said. «With the right regulations and development, that can happen.»
Deputy Prime Minister Kanat Bozumbayev added that 36 investment projects are planned for Alatau, 14 of which are already in progress. The total value exceeds $2 billion, with an estimated 20,000 jobs to be created.
A full administrative system has already been established in the city, including an akimat (local administration), a prosecutor’s office and other government departments. The master plan for the city was approved in May 2024. This summer, officials will finalize design documentation and a detailed development plan for the first facilities.
Authorities also plan to grant Alatau special status, which would include a visa-free regime for foreign visitors and unrestricted real estate ownership for all foreigners, regardless of residency status.
Bozumbayev said Alatau is already drawing interest from investors. To further promote the project, the government is planning an international roadshow later this year.
Despite the optimism, there are financial concerns. In December 2024, Kursiv.media reported that lawmakers were worried about the project’s viability, citing a $32 million budget shortfall that had already forced delays in other initiatives. Alatau’s infrastructure development is currently funded by the Almaty region’s budget.
Alatau spans 88,000 hectares, making it larger than Almaty, and includes 12 former villages as well as part of the city of Qonaev. About 52,200 people currently live within the planned city limits.
Officials plan to transform Alatau into an export-oriented trade and logistics hub, featuring casinos, amusement parks with state-of-the-art attractions, a race track and resort areas.
