The International Finance Corporation (IFC) continues to help Kazakhstan attract private investment, diversify its economy and improve its infrastructure and financial systems, according to Lisa Kaestner, IFC director for Turkey, Kazakhstan and Uzbekistan.
«Kazakhstan remains attractive for foreign investment due to its strategic location and resource base,» she told Kursiv.media, noting, however, that the state still plays a significant role in key sectors of the economy, accounting for around 40% of GDP.
Boosting infrastructure and connectivity
One of IFC’s main goals in Kazakhstan is to improve regional trade and connectivity, particularly through the Trans-Caspian Transport Corridor (Middle Corridor), which is becoming an increasingly important route between Asia and Europe.
IFC and its partners have provided $300 million in financing to Kazakhstan Temir Zholy for the construction of the 130-kilometer Almaty Railway Bypass. The project is expected to reduce congestion around Almaty by more than 40% and cut delivery times by up to 24 hours.
Another major infrastructure project is the expansion of Almaty Airport, where IFC has invested $222 million to boost regional connectivity.
IFC also acted as lead advisor on the Big Almaty Ring Road (BAKAD) project, one of the largest public-private partnership initiatives in Kazakhstan.
Supporting the financial sector and SMEs
According to Kaestner, IFC is also actively working to expand access to finance, particularly for micro, small and medium-sized enterprises (MSMEs), which account for 39% of GDP and employ over 44% of Kazakhstan’s population.
Over the past five years, IFC has provided approximately $95 million to financial institutions, including KMF, Shinhan Finance, Arnur Credit and Asian Credit Fund. These funds are directed toward lending to rural businesses and women entrepreneurs.
«Account ownership is just the starting point. Real financial inclusion means people and businesses can actually use financial services to grow,» Kaestner said.
In addition to financing, IFC provides advisory support to improve corporate governance, risk management and product development. For example, it is supporting KMF’s transition to a digital-focused universal bank.
