Kazakhstan’s Ministry of Finance expects to generate about 50 billion tenge (about $100 million) in additional budget revenue by legalizing and licensing the hookah industry, Finance Minister Madi Takiyev said on the sidelines of a recent parliamentary session.
His comments came as the government signaled support for easing plans for a comprehensive ban on the industry in favor of a regulated framework.
Government favors regulation over prohibition
According to Takiyev, the ministry’s position is based on practical considerations. He argued that existing restrictions on hookah smoking in public venues have proven ineffective and that tighter regulation would be more beneficial than outright prohibition.
Under the proposed approach, businesses would be allowed to continue operating but would be subject to licensing requirements and government oversight.
Licensing seen as source of budget revenue
«We believe they should be licensed because they are already operating,» Takiyev said. «It is better to collect licensing fees and direct that revenue to the state budget.»
According to ministry estimates, the measure could generate roughly 50 billion tenge in additional revenue if the legislation is approved.
Debate continues
The proposal reflects a broader debate over how to regulate the hookah industry in Kazakhstan. Supporters argue that licensing would bring existing businesses into the formal economy and improve oversight, while critics maintain that stricter restrictions are needed because of public health concerns associated with tobacco use.
