News

A-Cars, a taxi and car leasing company in Almaty, is adding 138 electric vehicles to its fleet for taxi services.

«The company aims to purchase 138 M1-category vehicles — passenger cars designed to transport passengers and luggage with no more than eight seats, including the driver’s seat. These vehicles must be manufactured no later than 2024, equipped with a solely electric powertrain (hybrid options excluded) and have fewer than 500 kilometers on the odometer. The required package is the EV 57.6 kWh (kilowatt-hour) Leading Champion Edition,» the company stated on Oct. 1.

The chosen body...

President Kassym-Jomart Tokayev has approved and signed a law that requires owners of scooters and mopeds to register them with the police officially.

«The president has signed a law of the Republic of Kazakhstan ‘On Amending the Code of Administrative Offenses’ to improve traffic rules for certain types of transportation and enhance road safety through digitalization,» reported Akorda.kz, the official website of the president.

Along with compulsory registration, the new law introduces the following requirements:

Daniyar Orazbayev and Yeldar Shakenov, analysts at Freedom Finance Global, have shared their insights on stocks with the most promising growth potential this fall. They have also identified key industries that investors should keep an eye on.

Investment opportunities in the Kazakhstani market

Orazbayev believes that shares of KazMunayGas, a leading national energy company, offer attractive investment opportunities. The company’s strong financial performance in the first six months of 2024, including significant cash flow generation, positions it well for potential dividend increases.

The analyst also advises investors to keep a close watch on Kazatomprom, a prominent nuclear company. The surge...

According to Nicolas Blancher, deputy director of the IMF’s Middle East and Central Asia department and chief of the IMF’s mission for Kazakhstan, the International Monetary Fund (IMF) is concerned over the growing money withdrawals from the National Fund by Kazakhstani monetary authorities, who are using these funds to cover the budget deficit.

«Another source of concern is the constantly growing use of the National Fund’s assets. There is nothing new to it, but we see this practice is widening… This causes several problems, like opaque fund use — some transactions are completely unexpected with no...

Kazakhstan is exploring ways to increase its natural gas exports to China, possibly through a new pipeline. The country is currently in talks with Beijing to bolster energy cooperation, according to Bloomberg, citing CEO of QazaqGaz Sanzhar Zharkeshov. This move underscores Kazakhstan’s growing importance as a key energy supplier in the region.

«Despite concerns about China’s economic growth, Kazakhstan remains optimistic about the continued demand for natural gas. The country is actively negotiating to increase its gas exports to China and is also exploring opportunities to expand sales to neighboring countries like Uzbekistan,» Zharkeshov said.

According to President Kassym-Jomart Tokayev, the fact that Kazakhstan is holding a referendum on the construction of a nuclear plant is vivid proof of the significant changes that have occurred in the country over the past five years and serves as a key criterion of the «Hearing State.» He also noted that he made his personal decision on the issue long ago.

«We must leverage our competitive advantages to avoid being left behind on the margins of global progress. If our fellow citizens say ‘yes,’ this project will be the largest in Kazakhstan’s history,» the president...

Kazakhstan, Iraq and Russia have officially announced that they have fully met their obligations under the oil production compensation plans presented in September. Representatives from the three countries made this statement during the 55th Joint Ministerial Monitoring Committee (JMMC) meeting, which reviewed crude oil production data and current market conditions.

All three countries have confirmed their commitment to maintaining these obligations until the end of the agreement. According to OPEC+, the final estimate of last month’s oil production will be available next week. The cartel has not issued any new recommendations regarding the current level of oil output.

The monitoring...

The Australian graphic design platform Canva was banned in Kazakhstan following a request from the country’s Ministry of Internal Affairs (MIA) that noticed some violations. However, all those alleged violations have been eliminated, and the service is currently available once again.   

While commenting on the situation with Canva, the Ministry of Culture and Information clarified that the restriction of access to the designing platform was initiated by the MIA.

«The violations have been eliminated following the investigation,» the agency said.

According to various users, both mobile and desktop versions of Canva are already accessible...

The Agency for Regulation and Development of the Financial Market (ARDFM) has proposed amendments to a 2012 National Bank resolution that sets credit rating requirements for foreign buyers and owners of Kazakhstani banks. These amendments, now open for public comment on the https://legalacts.egov.kz/ portal, demonstrate the regulator’s continued efforts to ease the conditions for international investors purchasing local banks. A similar regulatory relaxation was applied during the recent sale of Bereke Bank to Qatar-based Lesha Bank.

Under current regulations, foreign companies intending to acquire or those already owning Kazakhstani banks or insurers, as well as banks seeking to open branches...

South Korea wants to include Kazakhstan in its Employment Permit System (EPS) to let Kazakhstanis legally work in the country, according to the Ministry of Labor and Social Protection of Kazakhstan.  

«Following the negotiations, representatives of the Ministry of Employment and Labor of the Republic of Korea confirmed their intention to include Kazakhstan in the EPS. This will enable Kazakhstanis to work legally in South Korea under the signed employment contracts,» the agency said in a statement.

During his official trip to South Korea, Kazakhstan’s Vice Minister of Labor and Social Protection Askarbek Yertayev

As of July 1, 2024, Kazakhstan’s foreign debt totaled $166.5 billion, marking a $3 billion (1.85%) rise during the second quarter, according to the National Bank of Kazakhstan.

Of the total debt, $29.5 billion is public sector debt, while $136.9 billion is owed by the private sector. The public sector debt includes:

Private sector foreign debt includes $43.3 billion from banks and other industries, along with $93.6 billion in intercompany debt. Intercompany debt refers to the obligations of Kazakhstani companies...

The Organization for Security and Co-operation in Europe (OSCE) will not send an observation mission for Kazakhstan’s upcoming referendum on the construction of a nuclear power plant, according to Mukhtar Yerman, secretary of the Central Election Commission of Kazakhstan.

The OSCE’s Office for Democratic Institutions and Human Rights (ODIHR) refused to observe the referendum, citing scheduling conflicts due to numerous other election-related activities.

«On Sept. 17, we received a response from OSCE ODIHR stating they would not be able to deploy observers for the Oct. 6 referendum due to the high number of election-related events scheduled...

It’s not uncommon for investment projects in Kazakhstan to take several years to complete. During this period, construction costs can increase, leading authorities to adjust design specifications and estimates, which further drives up the overall cost of these projects. It’s no surprise that this issue caught the attention of members of the Senate, the upper house of Kazakhstan’s parliament, who asked Prime Minister Olzhas Bektenov to investigate the situation.

According to the head of the country’s cabinet, the cost of each of the 25 investment projects in Kazakhstan surged by an average of $7.4 million. However, four projects reported even...

The Astana Financial Services Authority (AFSA) of the Astana International Financial Centre (AIFC) has provided the Binance Kazakhstan crypto exchange with a full regulatory license. From now on, the company is eligible to control the platform for cryptocurrency trading and exchange, act as a broker-dealer and provide custodial services in terms of digital assets in the country, Binance Kazakhstan said in a statement. 

Kazakhstan is the first state in Central Asia to give a regulatory license to Binance. The crypto exchange described the whole licensing process as not an easy one, as it included a comprehensive examination, internal and external...

From January to August, Kazakhstan’s exports of crude oil and gas condensate to the U.S. amounted to 1.343 million tons ($843.3 million), a 2.2-fold increase in volume and a 2.4-fold increase in money compared to the same period last year, Kazakhstan’s State Revenue Committee reported.

The published data indicates that total oil exports from Kazakhstan from January to August reached 47.8 million ($29.6 billion), which is a 0.4% increase in volume and a 6.23% increase in value over January-August of 2023.

Italy kept its status of the largest importer of Kazakhstani oil, acquiring 20.3 million tons of crude oil and...

Kazakhstan is set to export animal production to Thailand. At least two Kazakhstani companies – Kazbeef Processing and Merke Et Combinaty – are in the process of obtaining the necessary licenses from Thai authorities, as reported by Kazakhstan’s Ministry of Agriculture following a meeting between Vice Minister of Agriculture Ermek Kenzhehanuly and Thai Minister of Agriculture Narumon Pinyosinwat.

There are also plans to export crop products and fish to Thailand. As Kenzhehanuly noted, Kazakhstan exports up to 7 million tons of wheat annually and Thailand is a particularly interesting market for expanding Kazakhstan’s grain supplies. In mid-August, Minister of Trade...

Almaty authorities want the city to become the main hub for esports and the gaming industry in Central Asia. To achieve this goal, they are implementing the Almaty Cyber Games (ACG) project, according to Almaty’s digitalization department.

The department reported that Kazakhstan’s Ministry of Digital Development has recently signed a memorandum of understanding with Georgian sports broadcaster Setanta, whose TV channels air major international sporting events.

As of late August 2022, Setanta was owned by Temur Ugulava’s Adjara Group of Georgia, according to Ukrainian Forbes. Public information on Ugulava is limited, but the Ukrainian outlet referred to him as a...

Between January and August 2024, Kazakhstan exported 109,900 tons of coal to Italy, valued at $20.4 million. This marks a 317-fold increase in volume and a 309-fold increase in value year-on-year (YoY), according to Kazakhstan’s State Revenue Committee under the Ministry of Finance.

Despite the surge in exports to Italy, Kazakhstan’s total coal exports from January to August decreased to 5.7 million tons, valued at $228.9 million. This represents a 13.3% decline in volume and a 36.23% fall in value YoY. Poland remained the largest consumer of Kazakhstani coal, purchasing 1.4 million tons for $88.7 million, a drop of...

Timur Turlov, president of Kazakhstan’s Chess Federation (KazChess), has been named head of the newly established International School Chess Federation (ISCF), which will operate as an affiliate organization of the International Chess Federation (FIDE). The initiative to create the ISCF was presented at FIDE’s General Assembly in Budapest during the 45th FIDE Chess Olympiad, held from Sept. 10 to 22.

According to KazChess, Turlov’s proposal to create and lead the ISCF was endorsed by a vast majority of the FIDE General Assembly. In his address to delegates, Turlov explained that the ISCF’s mission would be to unite national school...

The first PMI report in cooperation with Freedom Holding Corp. was released on October 1, 2024. By supporting the release of Kazakhstan’s PMI® by S&P Global, Freedom Holding Corp. reaffirms its commitment to promoting alternative economic indicators in the local market, enhancing transparency and providing access to critical information about domestic economic activity.

PMI data is sourced directly from purchasing managers, who are the first to notice early-stage changes in the business environment, such as shifts in prices, demand and supply chains. The index is also known for its broad coverage of the national economy, surveying about 250 companies...

According to Kazakhstan’s National Bank statistics, the banks kept on expanding their loan portfolios for both households and businesses in August, while the average market rates continued to decline after July’s base rate reduction.

The cumulative loan portfolio for all categories reached roughly $65 billion by the end of August, a 2% increase ($1.3 billion) compared to July. This includes around $59.3 billion in loans issued in the national currency and around $5.6 billion in foreign currencies. The vast majority of the portfolio (85.5%) are long-term borrowings.

Loans issued to private entities, individual entrepreneurs included, accounted for...

On Sept. 30, Solidcore Resources, a Kazakhstani gold mining company formerly known as Polymetal, announced that it completed a 10-month share exchange program on the Moscow Exchange (MOEX). The company has exchanged 9.5% of the total number of its listed securities, or 66% of the restricted securities, Solidcore said in a statement. 

«The last Eligible Shares will be transferred from Nominated Brokers to the Company Securities Account on 30 September 2024, with the last (sixth) tranche of Exchange Shares to be issued on AIX shortly thereafter, but not later than Oct. 31, 2024.» the release...

Kazakhstan has seen a significant decline in international remittances. In August 2024, Kazakhstanis transferred $166 million through international money transfer systems (IMTS) across 190,000 transactions. According to the National Bank, this marks an 8.5% decrease month-on-month (MoM) and a 29.2% drop year-on-year (YoY).

Most of these transfers (96.7%) were sent abroad, with a smaller portion (3.3%) occurring within Kazakhstan. Popular systems for these transactions include Zolotaya Korona, Western Union and MoneyGram.

Remittances sent abroad from Kazakhstan fell by nearly 25%

Kazakhstanis sent $161 million abroad via 183,400 transactions. The most common destinations for these transfers were Uzbekistan ($62.5 million or...

At the end of the year, the National Bank and the Agency for Regulation and Development of Financial Market (ARDFM) are going to analyze the efficacy of previously taken measures aimed at slowing down consumer lending in Kazakhstan and might go even further in strengthening legal requirements for borrowers, according to Akylzhan Baimagambetov, deputy chair of the National Bank.

«Our colleagues from the ARDFM have introduced this year a set of measures aimed at cooling down consumer lending a little bit. We plan to analyze them before the year ends to see how effective they are...