KAZAKHSTAN is the world’s largest country, occupying 2 million 724.9 thousand square kilometers. Geographically, the country is located in the center of the Eurasian continent, at the intersection of Europe and Asia. The population of Kazakhstan of December 1, 2020 was 18 852 800 people. Nur-Sultan is a city of republican significance – the capital city of Kazakhstan. Almaty is the largest economic center of Kazakhstan.
During the period of Kazakhstan's independence, $330 billion US dollars of foreign investment was raised from more than 120 countries. The main part of investments, more than 50%, falls on the European Union countries, including: Switzerland - 25.8 billion, France - 16.1 billion, Italy - 8.7 billion, the Netherlands - 90.4 billion, Belgium - 7.6 billion, Germany - 5.2 billion. The United States of America accounts for 15% of foreign direct investment, or $ 48.4 billion. About 5% are investments from the UK and China.
In 2017, Kazakhstan was the first among the Central Asian and CIS countries to hold the EXPO-2017 International specialized exhibition dedicated to the Energy of the Future. The 28th World Winter Universiade was also held in the financial center of the country - Almaty city.
Currently, public funding and assistance is gaining momentum, showing tangible results in stimulating the activity of the housing construction segment:
- In Kazakhstan, in January-August 2020, the volume of construction work (services) amounted to $ 5.5 billion, which is 6.5% more than the same period in 2019.
- In January-August 2020, $ 2.5 billion was allocated for housing construction, which is 26.1% more compared to the same period in 2019.
- More than $ 2.16 billion will be allocated for the construction and reconstruction of water supply and sanitation systems in 2020-2025.
- In January–October 2020, 1,609 thousand square meters of housing, or 12,925 apartments, as well as 1,722 individual residential buildings were commissioned in Almaty. By the end of 2020, 2604.9 thousand square meters, or 25,007 apartments and 2,110 individual residential buildings, were also put into operation. The growth compared to the same period in 2019 will be 124%.
- By 2031, the Nurly Zher state program guarantees the solution of the housing problem for 1.5 million citizens of Kazakhstan, by reducing mortgage lending rates to 10%, thereby making housing prices more affordable.
Kazakhstan also implements the large-scale project “New Silk Road”, which will turn the country into the largest business and transit hub between Europe and Asia. In 2020-2021, the volume of transit cargo through the republic should increase by almost 2 times.
The high level of planned investments and further prospects for the work volume growth promise the sustainable development of the construction, HVAC and VC industries in Kazakhstan in the near future. Today, the industrialization map of Kazakhstan includes more than 100 projects totaling $45 billion US dollars.
INDICATORS AND INTERNATIONAL RANKINGS
In the short historical period since independence in 1991, the country's GDP per capita has increased 15-fold – from $700 to $10,500 - a phenomenal result even compared to the rapidly developing south-eastern "tiger"countries. According to British experts, out of the 25 most dynamic economies of the first decade of the XXI century, Kazakhstan ranks third, behind only China and Qatar. According to the World Bank classification, the republic is included in the group of countries with an above-average income level.
Kazakhstan took 28th place in the “Doing Business-2019” World Bank ranking on business conditions. In the ranking of the World Economic Forum's Global Competitiveness Index for 2016-2017, the republic is ranked 53rd.
A group of World Bank analysts annually conducts research on favorable business conditions in 190 countries around the world. The analysis is performed on 10 indicators.
Kazakhstan took the 7th place among 190 countries in the rating on the i"Protection of minority investors" indicator, and the republic is also in the top ten countries on the "Contract enforcement" indicator (4th place). According to the "Obtaining construction permits" indicator - 37th, "Connecting to the power supply system" indicator – 67th, "International trade" indicator – 105th place.
The "Doing Business" rating, formed by the World Bank, is an objective external assessment of the reforms taken to improve the country's business climate. The number of countries participating in the "Doing Business" assessment is constantly increasing. All "Doing Business" data is updated annually and published in the report and on the website doingbusiness.org.
The city of Almaty is the largest metropolis of the country, for many decades it has been the economic, cultural and educational center of the republic. Dynamically developing, comfortable for work and living, Almaty is undoubtedly one of the economic leaders of Kazakhstan.
Almaty region - today, this is a fairly actively developing region, the main indicators of which in recent years have been able to increase from 3.5 to 8 times. The gross regional product increased by 6 times, the volume of industrial-type production by 3.7 times, the volume of manufacturing products by 4 times, the volume of permanent investments in fixed assets by 8 times, and the volume of revenues to the state treasury by 3.5 times.
In general, it can be noted that today the region successfully holds the position of a promising region that is constantly developing. Today, a favorable investment climate and business conditions have been created in Almaty region. New companies and jobs are being constantly created in the territory of the region. The use of new solutions and technologies is being implemented together with the quite active construction of residential and industrial buildings.
The authorities of the Almaty region emphasize that the issues of housing construction are under constant control. This year, the region plans to build 938.8 thousand square meters of housing. It is worth to focus on the new "5-10-20" program. This is a new direction of the Nurly Zher program. "For this purpose, the region allocates funds from the local budget for designing works. In addition, the construction of engineering and communication infrastructure on average to 6 thousand land plots is carried out annually to ensure the waiting list in the Ministry of Property Relations. About 10 billion tenge is allocated annually from the budget for these purposes," - the press service of the Akim of Almaty region reported earlier.
In order to enhance foreign economic relations, accelerate the development of the region, support economic sectors and solve social problems, attract investment, technology and modern management, create highly efficient and competitive industries, 10 special economic zones were created in the Republic of Kazakhstan by the Decrees of the President of the Republic of Kazakhstan:
- “Astana - new city”, Nur-Sultan city;
- “Aktau Sea Port”, Mangistau region;
- “Park of innovative technologies”, Almaty region;
- “Оңтүстік”, South-Kazakhstan region;
- “National Industrial Petrochemical Technopark”, Atyrau region;
- “Burabai”, Akmola region;
- “Saryarka”, Karaganda region;
- “Pavlodar”, Pavlodar region;
- “Khorgos - Eastern gates”, Almaty region;
- “Taraz Chemical Park”, Zhambyl region.
Stable growth of all sectors of the economy, international recognition, and political stability have become the basis for the prosperity of Kazakhstan's society.
All these factors play a crucial role in increasing international business interest in cooperation with the republic, expanding business ties and developing new markets, including the rapidly developing HVAC and VC industry in Central Asia, Russia and the CIS.