News

Kyrgyzstan has ratified the International Labor Organization Violence and Harassment Convention, the first country that has done so in the CIS region, the 24.kg website reported, citing Jyldyz Polotova, deputy minister of labor of Kyrgyzstan.

According to the International Trade Union Confederation, about 40% to 50% of workers report violence or harassment at work throughout the world. The Kyrgyz Association of Women Judges says that its survey has shown that one in four women has suffered from violence and harassment at work or during their studies at university.

«This can be a source of problems such...

Kazakhstan’s government is going to simplify the procedure of extra-judicial bankruptcy for those with unpaid debts and loans by eliminating the legal requirement for a document proving debt settlement.

MPs have approved amendments to the draft law aimed at reducing risks related to lending and protecting borrowers’ rights.

The law on bankruptcy in Kazakhstan entered into force on March 1, 2023. Since then, 9,500 Kazakhstanis have successfully gone through the procedure of extra-judicial bankruptcy, while 74,500 other bankruptcy applications have been rejected.”

«One of the key reasons for bankruptcy rejections was the absence of a document...

Chairperson of the Agency of the Republic of Kazakhstan for Regulation and Development of the Financial Market (ARDFM) Madina Abylkassymova has presented a strategy the agency is going to apply to the banking sector in 2024. This regulatory approach has been prepared in conjunction with the National Bank and different commercial banks, the agency said in a statement on its website.

In 2024, the ARDFM is going to continue tuning up its regulatory process to make the banking sector more transparent and reliable. To achieve this goal, the agency will follow the SREP methodology (Supervisory Review and Evaluation Process) along...

Timur Turlov, founder and CEO of Freedom Holding Corp. believes that the tax regime in Armenia is quite attractive for investors. He made this statement while delivering his speech at an investment and financial conference in Yerevan, according to the Armenian news agency ARKA.

«Sometimes tax regime can be an obstacle when, for example, there is a tax for securities but no tax for banking deposits. Thank God, in Armenia this rather helps,» Turlov said.

As Turlov noted, the Armenian government collects taxes from profit from securities, while gains generated by deposits are free of...

Kazakhstan’s government is ready to rebuild Almaty after a potential earthquake at the expense of special public reserves, Minister of National Economy Nurlan Baybazarov said. He also highlighted that the government will do everything necessary to help the city if something bad happens.

«The government is keeping an eye on the situation in Almaty. We’ve discussed this issue today. The minister for emergency situations reported on the current situation. Of course, the government has some reserves that are replenished every year. These resources will be allocated for dealing with the consequences of any potential disaster. We...

According to Bauyrzhan Kudaibergenov, deputy minister of the national economy of Kazakhstan, 41 foreign companies with a combined market cap of $1.5 billion have already relocated to Kazakhstan and do business as usual within the country.

«Currently, the government is working on the relocation of foreign companies and big enterprises. We have around 400 companies from 30 countries on the list. We already have tangible results from 41 companies with a combined market cap of $1.5 billion. As you know, these are InDriver, TikTok and Fortescue, among others. Furthermore, we are currently negotiating with 37 more...

In February, Kazakhstan’s business activity index (BAI) grew by 0.4 points over the January rate, reaching 50 points. This data shows that the situation in the national economy is neutral, according to the National Bank. The index has been growing since the start of the year.

The BAI is an indicator of economic condition in the real sector.

The National Bank of Kazakhstan calculates the BAI by interviewing representatives from various companies to assess changes in the business environment. The changes are positive when the rate is higher than 50 and negative when it drops below 50.

In the service...

Kazakhstan is weighing the possibility of the introduction of biometric verification for SIM card buyers and prohibiting registration on websites from foreign phone numbers. According to Chair of the Information Security Committee Ruslan Abdikalikov, this can help to protect citizens from cybercrimes and terrorists.  

During a discussion of the risk of cybercrimes in the Mazhilis, Zharkynbek Amantai, an MP, proposed limiting the number of SIM cards to one per person and selling them in mobile operators’ offices exclusively.

«Currently, anyone can purchase as many SIM cards as he wants in many places. In some countries, you...

Kazakhstan has extended its voluntary reduction of oil production by 82,000 barrels per day into the second quarter of this year, according to the Ministry of Energy.

«Kazakhstan is going to extend its voluntary reduction of oil production by 82,000 barrels per day into the second quarter of 2024 in coordination with other member states of OPEC+. This means that Kazakhstan will be producing 1.468 million barrels per day until the end of June. In the future, the country will gradually bring back its oil production following the market conjuncture,» the agency said in a statement.

Giancarlo Ruiu has been appointed as managing director of the North Caspian Operating Company (NCOC) instead of Olivier Lazare. Previously, Ruiu worked as Director General of the Karachaganak Petroleum Operating B.V.

«Mr. Giancarlo Ruiu has officially assumed the office of Managing Director of NCOC replacing Olivier Lazare, who had held this position since June 2021,» the company said in a statement.

Ruiu has been supervising oil and gas fields in Kazakhstan and other countries for more than 20 years.

He studied Civil Engineering at the University of Pisa in Italy and has recommended himself as...

In 2023, Kazakhstan managed to expand the number of countries it exports its locomotives to. In addition to Tajikistan, Uzbekistan, Ukraine, Moldova, Azerbaijan and Turkmenistan, the country has started exporting railway engines to Mongolia, according to the Ministry of Industry and Construction. Mongolia has already received four diesel-electric engines worth $4 million each for its railway system.

Two companies in Kazakhstan produce diesel-electric locomotives: Electrovoz Kurastyru Zauyty and Lokomotiv Kurastyru Zauyty. Their combined capacity is 100 items per year.

Lokomotiv Kurastyru Zauyty is currently fully controlled by American Wabtec which increased its stake from 50% shares of the company to...

This month, the National Bank of Kazakhstan is planning to sell $700 to $800 million to secure money transfers to the state budget. In February, the regulator sold $609 million, which accounted for 16% of the total amount of trading and around $29 million per day.

On the other hand, the National Bank is expected to buy $450 to $500 million to ensure that at least 30% of the assets of the Unified Accumulative Pension Fund are foreign currency. Last month, the regulator bought $400 million or 10% of all buying transactions on the market.

In February, the exchange rate...

Kazakhstan has proposed exporting aluminum, gallium and scandium to the U.S. This initiative was revealed after Minister of Industry and Construction Kanat Sharlapayev came to the U.S. on an official visit.

«Within the framework of developing bilateral relations and promoting Kazakhstani interests on the global stage, Minister of Industry and Construction Kanat Sharlapayev has come to the United States on an official visit… Critical materials are expected to be one of the issues on the negotiation table. Kazakhstan has proposed expanding cooperation in this field with the U.S. as it is ready to start exporting aluminum...

Kazakhstan has imposed a six-month ban on the export of scrap metal by railway transport. The move can have «painful» consequences for those Russian companies specializing in scrap metal processing, according to Kommersant.

The business outlet also reported that the Association of Electrometallurgical Enterprises has appealed to the Russian government – the Ministry of Industry and Trade, the Ministry of Economy and the Eurasian Economic Commission – with the request to «persuade» Kazakhstan to change its approach to the issue. Due to the ban, the shortage of scrap metal in Russia may increase up to 500,000 tons which will affect...

Kazakhstan has invited representatives of the Taliban movement to take part in the international economic forum in Astana to kick off the trade and economic cooperation, according to Deputy Foreign Minister of Kazakhstan Roman Vassilenko. As the official noted, Kazakhstan is interested in the stabilization of the situation in Afghanistan and its development, although there are some concerns over the rights of women and ethnic minorities in this country.

The official also reminded the public that a trade mission of the Taliban already visited Kazakhstan last year.

«Indeed, we have invited the executive minister of trade...

According to Magzum Mirzagaliyev, the chairman of the management board of KazMunayGas (KMG), Kazakhstan’s oil potential might be expanded at the expense of large new oil fields.

As he noted, the exploration rate of Kazakhstan’s subsoil is just 24%. No new oil fields were reported over the past years as the national oil company’s reserves were increasing at the expense of additional exploration of already existing fields.

Currently, KMG is exploring five fields: Mugodzhary in the Aktobe region, Berezovskoye in the West Kazakhstan region and several fields in the Mangistau region. This year, the company is going to complete its...

The self-proclaimed republic of Transnistria has asked Russia for help, citing an alleged economic blockade by Moldova, according to the local TV channel TVS Pridnestrovie.

The document prepared by the MPs also says that there are more than 220,000 Russian citizens in the region.

«We have decided to appeal to the Federation Council and the State Duma of Russia with a request to take measures aimed at protecting Transnistria while Moldova puts more pressure on the region. There are more than 220,000 Russian citizens in Transnistria, while Russia has unique experience with peacekeeping on the Dniester...

According to Ashat Aitmagambetov, a member of the parliament and former minister of education, a draft law on surgical castration of pedophiles has been introduced into the Mazhilis for the second reading. The MP believes that pedophiles deserve «the most severe punishment,» not protection of their rights.

Some MPs say that they are going to promote the draft law about surgical castration as a punishment for pedophiles. As Aitmagambetov noted, currently, this type of punishment contradicts the UN Convention Against Torture signed by Kazakhstan.

«I strongly believe that the pedophiles deserve the most severe and even...

Vladimir Fesenko, a partner of EY, has commented on the peculiarities of a universal declaration system that has been introduced in Kazakhstan. During his speech at a tax summit by Freedom Finance, he talked about differences between the Kazakhstani system and its international equivalents and said that the new system would require significant effort from the country’s citizens.

«Our colleagues from the State Revenue Committee say that many foreign countries have already introduced universal income tax declaration. Unfortunately, or fortunately, that’s not true. Let’s define what is the universal income tax declaration in the first place...

As of December 2023, the proven and probable oil reserves of KazMunayGas, the national oil company in Kazakhstan, reached 733 million tons of oil equivalent, a 3.7% increase compared to December 31, 2022.

«According to an audit by DeGolyer&MacNaughton prepared under the international PRMS standards, proven and probable oil reserves of KazMunayGas were estimated at 733 million tons of oil equivalent (5,680 million barrels of oil equivalent) as of December 31, 2023. The amount of 2P reserves has risen by 3.7% compared to 2022,» the company said in a statement.

The increase was driven by...

The board of appeals of the Astana court has ruled that the results of the Kashagan examination by the Ecology Department of the Atyrau Region were valid and correct. This means that the North Caspian Operating Company (NCOC), the Kashagan project operator, should pay $5.1 billion in fines.

The board of appeals has canceled a court decision from 2023 when NCOC challenged some results of the ecological examination. In 2022, authorities inspected Kashagan and found 1.7 million tons of sulfur at the site, a serious overrun of a limit by 773,000 tons. As a result, a legal proceeding has been...

The National Bank of Kazakhstan «fully understands» the risks associated with the softening of the monetary policy that has been happening since August 2023. According to Nicolas Blanchet, head of the International Monetary Fund (IMF) Mission for Kazakhstan, the lowering of the base rate was the right decision, although the previous recommendation of the fund urged the country’s government to stick to a more balanced policy.

Since the beginning of the year, the regulator has cut the base rate twice by 100 basis points in total. Interestingly, in November 2023, the IMF recommended Kazakhstan not to rush with the softening...

Fitch Ratings, the international rating agency, has rated Bereke Bank at BB with a negative outlook. According to the agency’s press release, it will lower the rating for the bank once it is sold to Lesha Bank from Qatar.

«Fitch is expecting that once the sale of the bank to Lesha Bank is completed, the bank’s ratings will likely be downgraded. In our view, the likelihood of support being provided to Bereke from the Kazak state or from the bank’s new shareholder after the sale is uncertain and will be lower than its ‘BB’ Long-Term Issuer...

Boston Consulting Group, a global management consulting firm, has conducted an audit of working conditions at Qarmet. As a result, the experts suggested the Kazakhstani company carry out a large-scale modernization of its coal mines, the company said in a statement.

The top priority task is to equip all mines with positioning systems. This will help the company know exactly where its employees are in the mines at every given moment.

In turn, the international auditors have advised Qarmet to establish a central dispatcher service to control these positioning systems dispersed throughout mines. Also, the new service will let the...