News

SDU University near Almaty has conducted a groundbreaking ceremony to construct a new campus that will be built with the support of Freedom Holding Corp. The company will allocate more than $3.9 million for the project.

«High-quality education is one of the pillars of a progressive society. By joining this initiative, we are proving that we are ready to support and facilitate the comprehensive growth and development of the current and future generations of the people of Kazakhstan. In our holding, we fully understand how big the role of the business is in the social life...

President Kassym-Jomart Tokayev has signed a law designed to counter the transfer pricing and strengthen state control over related-party transactions. The document also introduces changes and amendments to several other legal acts, the president’s office said on Telegram.

Transfer pricing is a practice of transferring a company’s revenue to jurisdictions with many tax benefits through transactions with entities that are part of the same larger enterprise. These transactions are also called related-party transactions. Even though these transactions aren’t necessarily illegal, businesses usually use them to artificially boost the revenue of an offshore company and increase the costs of a parent...

According to Minister of Agriculture of Kazakhstan Aidarbek Saparov, Kazakhstan is going to cut the total area of wheat agriculture and switch to oil and forage crops.

This year, the country plans to sow various crops at 23.8 million hectares, which is 209,600 hectares less than in 2023. The area of wheat crops will decrease by 429,200 hectares to 13.3 million hectares compared to last year. The ministry intends to switch focus to the cultivation of other socially important and highly profitable crops.

According to data from regional authorities, the area under oil crops will be increased by 385,700 hectares...

KazMunayGas (KMG) has no plans for privatization of any of its three refinery plans in Atyrau, Pavlodar and Shymkent, according to Dmitry Makeev, deputy head of the company.

«We’ve noticed today that some media outlets and social networks have spread information about the alleged privatization of the Atyrau and Pavlodar refineries. Let us be clear, this information has nothing to do with reality. There were no negotiations of this kind. Both refineries are operating as usual,» the company said in a statement.

Several Kazakhstani media outlets reported that the government was going to sell KMG’s...

The government of Uzbekistan is going to sell at least three state-owned banks, according to Frank Media, citing the March survey by Fitch Ratings. Once the deal is completed, the share of private banks in Uzbekistan will increase from 32% (as of late 2023) to 60%.

The strategic decision to sell shares in six Uzbekistani state-owned banks – Ipoteka-Bank, Uzpromstroybank (O’zsanoatqurilishbank), Asaka, AK Alokabank, Kishlok Qurilish Bank, and Turon Bank – was made in May 2020. After that, the Hungarian OTP Bank became the major stakeholder in Ipoteka-Bank, the fifth biggest bank in Uzbekistan.

The survey by Fitch says that...

The Ministry of Tourism of Kazakhstan has allocated $107,560 for marketing on popular Chinese social platforms such as WeChat and Weibo to lure more tourists to the country. A subcontractor should create interesting content for the Chinese users by the end of this year.

According to open data on public procurements, the ministry has signed a contract with Kazakh Tourism, the national company in the tourism sphere, worth $107,560. This money will pay for services related to the development of a media plan and the creation of two posts per month for WeChat and Weibo in order to reach at...

Kazakhstani swordsmen have obtained a pass to the 2024 Olympic Games in Paris. It will be the first Olympics when Kazakhstani sportsmen will perform as a full team, according to the National Olympic Committee (NOC) of Kazakhstan.

In the battle for Olympic qualification, Kazakhstani athletes competed against their counterparts from South Korea, who were trying to get a spot in the World Cup in Tbilisi.

«In eightfinal, South Korea lost to Czechia and ended their participation in the World Cup in Tbilisi. Prior to the team tournament, our team had a lead of 26 points over...

According to a draft regulation by the Agency for Regulation and Development of the Financial Market (ARDFM), commercial banks must conduct biometric identification of customers before issuing them an online loan. The document will be available on legalacts.gov.kz for public consideration until April 8, 2024.

«Before signing an agreement of a banking loan, a bank should conduct online biometric identification of a client with the help of the Identification Data Exchange Center or biometric data obtained through a bank’s devices,» the draft document said.

A client should execute a set of actions to ensure that...

The Eurasian Development Bank (EDB) is going to invest $1 billion by the end of the year. This statement followed a meeting between Prime Minister of Kazakhstan Olzhas Bektenov and Nikolai Podguzov, head of the EDB, who discussed the implementation of infrastructural projects and perspectives of bilateral cooperation in the sphere of investment.

This year the two sides are going to focus on such sectors as transport, industry, energy, environment, agricultural complex, construction and modernization of social infrastructure.

As Bektenov underscored, Kazakhstan needs to attract money to those sectors that were highlighted by President Kassym-Jomart Tokayev: roads, housing construction, modernization...

According to Minister of Health of Kazakhstan Akmaral Alnazarova, the agency she has been heading failed to get any tangible results in the sphere of digitalization despite $33 million in investments the ministry has spent over the past five years. Now, the official wants to do everything possible to improve the ministry’s digital infrastructure and complete the current projects in this area by the end of 2024.

«Digitalization issues in the sphere of healthcare must be restarted. Everything must be transparent. Over the past five years, we have spent more than $33 million on this purpose...

According to the National Bank, the external and internal assets of Kazakhstani banks have grown by $1.3 billion and $81.5 billion, respectively. At the same time, the rate of net internal assets for the entire banking system deteriorated to minus $13.2 billion, while external assets grew by 4.1%.

The banking system of Kazakhstan

Net external assets of the banking system, which are the difference between claims and liabilities toward nonresidents in freely convertible currency (FCC) and assets of the National Fund, reached $97 billion as of February 2024. The rate grew by 4.1% from $93 billion year-on-year. The National...

The turnover between Kazakhstan and Xinjiang has risen to $20.3 billion, which accounts for 64% of the entire turnover with China, a significant increase of over 40% in the first half of 2023, according to the Ministry of Trade and Integration, citing Erkin Tuniyaz, head of Xinjiang.

«To boost trade between our countries, with Xinjiang in particular, the president ordered us to establish a chamber of commerce in Ürümqi. QazTrade, an authorized agency under the ministry is going to supervise this chamber. The chamber is expected to be a connecting link between our companies and businesses...

Asian exchanges reported a 4% increase in oil prices compared to last week as analysts predict a decline in oil supply as attacks on the Russian energy infrastructure continue, according to Reuters.

As of March 18, the cost of Brent Crude futures for oil supply in May increased by $0.32 (0.4%) to $85.66 per barrel. The cost of April’s contract for West Texas Intermediate (WTI) increased by $0.40 (0.5%) to $81.44, while the cost of May’s contract for WTI rose $0.37 (0.5%) to $80.95 per barrel.

«Drone attacks against Russian refineries last week added a...

According to preliminary results of “Vote Abroad” exit polls, the current President of Russia Vladimir Putin has won 8% of the votes in Almaty. This is the worst result in Central Asia and one of the lowest in the world.

Along with the 8% of voters who supported Putin’s candidacy, Russian citizens in Almaty also voted for Vladislav Davankov (69%), who won many votes from those Russians who wanted to vote for anyone but Putin, while 14% of voters claimed that they had damaged their voting bulletins; 7% of the people refused to talk to researchers and comment on any...

CEO Freedom Holding Corp. Timur Turlov told Kursiv.media that his lawyers will challenge a legal decision by the court of arbitration in the Nizhny Novgorod region that has seized a set of assets belonging to the entrepreneur. The court has seized several properties and $21 million in cash belonging to Turlov and some of his co-defendants. It’s unclear how much money of the seized funds belongs directly to Turlov. The businessman underscored that the court’s decision wouldn’t cause any consequences for his core business because it has no business or property relations with Russia.

«This situation...

Kazakhstan is going to adopt the Artificial Intelligence Development Program for 2024-2029. The draft ruling has been published on the legalact.egov.kz for public consideration until April 4.

According to the concept, the share of public services provided with the help of AI will rise from 0% this year to 20% by 2029. The government also plans to gradually boost the amount of money allocated for promoting AI from $4.4 million this year to $8.8 million by 2029.

Kazakhstani businesses are expected to obtain access to state data through Smart Data Ukimet by July 2024. In December this year, authorities will...

During his address to the National Kurultai in Atyrau, President Kassym-Jomart Tokayev of Kazakhstan revealed a plan to boost the national economy. As he highlighted, the country needs new projects capable of bringing multiplicative effects. He’s instructed the cabinet to implement four large-scale infrastructural initiatives this year.

«First of all, we have to overhaul 55 existing heating plants and upgrade about 6,500 kilometers of utility systems. This would improve the quality and reliability of utility services for people and businesses,» Tokayev said.

According to some previous media reports, Kazakhstan’s government plans to allocate more than...

Last year, Kazatomprom earned $3.1 billion as its revenue grew twice as fast (43%) as the price of uranium (about 20%). In 2023, the company showed «incredible financial resilience,» Kazatomprom said in a statement.

The company reported operating income of $1.5 million (+49% year-on-year), while its net income reached $1.2 million (+23% year-on-year) thanks to an increase in operating income. Adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) for Kazatomprom was $1.8 million (+31%). The cost of raw materials grew by 39%, reaching $807,940 in 2023, while costs related to selling products were $62,149.

«In...

The Future Growth Project at the Tengiz oil field is going to cost its shareholders $48.5 billion, which is a more than $3 billion increase over the previous budget of $45.2 billion, Bloomberg reported, citing undisclosed sources.

The expansion project is implemented by Tengizchevroil, a company controlled by Chevron (50%), Exxon Mobil Corp. (25%) and KazMunayGas.

In a statement on revenues in the third quarter of 2023, Chevron reported that the Tengiz expansion project budget, previously set at $45.2 billion, has been increased by 4% as this work has taken more time than expected. People familiar with the issue told...

Oraz Jandosov, director of the RAKURS Center for Economic Analysis and a former finance minister, who took part in the creation of the National Fund, has unleashed critiques on the organization’s work.

«The concept of the National Fund, which was founded in 2001, has been constantly destroyed since then by the government itself. I mean, unless we fix the entire structure of the National Fund, we won’t lower inflation,» he said during the CFO Summit.

Over the past two years, the government has changed the concept of regulating money withdrawal from the National Fund. Now...

According to Gurbanguly Berdimuhamedow, the national leader of the Turkmen people, chairman of the People’s Council of Turkmenistan, member of the Council of Elders of the Organization of Turkic States (OTS) and ex-president of Turkmenistan, his country is ready to start exporting gas to Kazakhstan.

«We have good opportunities for exporting Turkmenistani natural gas and electricity to Kazakhstan, Azerbaijan and Turkey. We are ready to continue to give a hand to our fraternal countries to secure their energy security,» he said while delivering a speech at the 15th Meeting of the Council of Elders of the...

The Agency for Regulation and Development of the Financial Market (ARDFM) has published its demographic analysis of banking sector customers.

According to the Bureau of National Statistics, there were 13 million people over the age of 18 in Kazakhstan as of 2023. The ARDFM has analyzed 53% of these people with an overall debt of $15.3 billion in consumer loans and $3.5 billion in mortgages (excluding loans from Otbasy Bank).

According to this data, people born between 1982 to 2000, often referred to as Millennials, constitute the biggest group of banking loan customers, although their credit history is better than...

The European Parliament has passed a resolution suggesting that the EU should consider the possibility of giving EU candidate status to Armenia. The initiative, which emerged against the backdrop of Prime Minister of Armenia Nikol Pashinyan‘s claim to withdraw his country from the CSTO, has been supported by the vast majority of EU deputies (504) with 32 abstaining and four voting against the move.

«If Armenia is interested in becoming a candidate for accession to the European Union and continues to pursue reforms that strengthen its democracy, it will become a basis for the transformation of...

Deputy Minister of National Economy of Kazakhstan Timur Zhaksylykov has revealed data on mutual investment between Central Asian states. According to the official, Kazakhstan and Uzbekistan are the major investors in the region, while Kyrgyzstan is the key recipient of these investments. This country accounts for 63% of all internal investments in the region. This data was revealed during the В5+1: Business Partnership and Regional Prosperity summit (B5+1 is Central Asia and the U.S.).

«When we talk about big projects in the region, we shouldn’t forget about the Bozymchak copper and gold open pit mine in...