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Asian Development Bank forecasts 3.2 percent Kazakh GDP growth

23 Apr 2018 8:27 PM | Bakytzhamal Jetmekova

Astana Times, 17 April 2018

ASTANA – The Asian Development Bank (ADB) forecasts growth of Kazakhstan’s gross domestic product (GDP) at 3.2 percent in 2018 and 3.5 percent in 2019. It is expected that inflation will slow to 6.8 percent this year and will be 6.2 percent in 2019, provided exchange rate stability remains.

The report specifies that following a strong pickup in growth last year, the country is projected to slow to 3.2 percent this year but bounce back to 3.5 percent in 2019 as investment quickens, according to the ADB’s Asian Development Outlook 2018 (ADO) report.

A more stable exchange rate almost halved inflation in Kazakhstan, taking into account that average inflation in the region was 9.2 percent in 2017 and 10.6 percent in 2016. At that, inflation accelerated in the other seven economies of the Central Asian region, particularly in Uzbekistan, notice the report. Inflation in the region is projected to settle at 8.5 percent in 2018 and 7.9 percent in 2019.

Average growth in the region rose to 4.3 percent from 2.7 percent a year earlier as the recession ended in Azerbaijan and expansion accelerated in six other economies, particularly in Kazakhstan.

Growth slowed only in Uzbekistan, where sharp currency devaluation to unify the exchange rate and other economic reforms forfeited some expansion last year for future growth.

Growth in the Central Asian region is forecast to slow to 4.0 percent in 2018, picking up somewhat to 4.2 percent in 2019, according to the report.

GDP growth in Kazakhstan in 2018 was 3.3 percent, according to the previous forecast of the ADB, published in mid-December. (The Kazakh government statistics put the growth last year at 3.8 percent.) The Asian Development Outlook is the main annual publication of the ADB.

The ADB was established in the early 1960s as a financial institution that would be Asian in character and foster economic growth and cooperation in one of the poorest regions in the world. The bank seeks to reduce poverty in the Asia-Pacific region through inclusive economic and environmentally sustainable growth, as well as regional integration. The bank’s headquarters is in Manila, Philippines. The bank’s shareholders are 67 countries, 48 of which are in the Asia-Pacific region.

Astana to host World Mining Congress in June

Astana Times, 21 April 2018

ASTANA – The Kazakh Ministry for Investment and Development will organise the 25th World Mining Congress, a large-scale event dedicated to mining and metal sector, June 19-21 in Astana. More than 2,000 delegates from 50 countries and 220 companies will participate.

First held in 1958 in Poland, the World Mining Congress takes place every two-three years and unites industry experts and scientists from 49 member countries.

The programme will include multiple sessions related to the mining and metal sector, ranging from exploration and production to enrichment, from risk assessment to the attraction of foreign investment.

Simultaneously, there will be an exhibition of equipment and technologies applied in the mining industry and excursions to Kazakh scientific institutions and industrial enterprises.

“Such a large-scale event of global significance is held for the first time in the Commonwealth of Independent States (CIS). Our country was not chosen randomly to host the anniversary congress. Kazakhstan is rich in mineral resources: there are 99 elements of the periodic table [in our soil], 5,000 deposits and 60 elements are used in production,” said Mazhilis Deputy (lower house of Parliament) Albert Rau.

The organisers expect the congress to positively impact industry development in Kazakhstan and anticipate an increase in exploration and extraction projects, expansion of subsoil users’ base.

The event will also help attract financial institutions and investors to the Kazakh mining and mineral industry given the investor protection provided within special legal regime of Astana International Financial Centre (AIFC). The opportunities and nuances within M&A (mergers and acquisitions) in Kazakhstan’s mining sector will be disclosed.

Within the framework of the congress, there will be Mines & Money international investment conference, a leading event for the attraction of capital and investment into mining projects, where investors and subsoil users negotiate, discuss investment opportunities and the market, and share knowledge. More than 2,000 delegates from 50 countries, 368 presenters, 58 associations, 62 universities and 220 companies are expected to attend the event.

The speakers will include Global Mining & Metals Advisory Leader at EY Paul Mitchell, CEO of the Eurasian Resource Group (ERG) Benedikt Sobotka, Global Head of Primary Markets at London Stock Exchange Robert Barnes.

Prime Ministers of Poland Mateusz Morawiecki and Australia Malcolm Turnbull are expected to attend as well.

Astana to build waste recycling plant using French technology Astana Times, 20 April 2018

ASTANA – Astana plans to build a garbage recycling plant using French technology by September 2019 that will use wet and dry fractions technology to process up to 75 percent of the city’s waste. The technology was presented at the recent EXPO 2017.

“The construction of the plant worth 3.4 billion tenge (US$10.3 million) will begin in August and finish in September 2019. The technology will recycle 180,000 tonnes of organic wastes, or 50 percent of waste from the total amount,” Astana Akim (Mayor) Asset Issekeshev said at a meeting on Astana development with the participation of Kazakh President Nursultan Nazarbayev.

The mayor also said that last year the company, which is going to construct the plant, spent more than 1 billion tenge (US$3 million) to purchase 30 garbage trucks and 2,000 containers. Two shops to process plastic and paper has been already launched.

“As of today, 5.2 billion tenge (US$15.8 million) have been allocated for the modernisation of this sector this year. For the first time in the history of the country, the system of separate collection of waste using wet and dry fractions technology will be used in the city. For this reason, 25 garbage trucks and more than 6,000 containers will be installed in all yards until September 2019. The depth of recycling of waste will reach 30 percent. At that, great importance will be paid to explanatory work with the population,” Issekeshev said.

The plant will be part of the unified system of collection, processing and disposal.