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Investor's Guide - Invest In Kazakhstan

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TABLE OF CONTENTS<br />

WHAT ARE THE ADVANTAGES OF KAZAKHSTAN ...................................................2<br />

Geographic location ..........................................................................................................................................2<br />

Some statistical indicators ...............................................................................................................................4<br />

<strong>Kazakhstan</strong>’s position in international ratings ..................................................................................................5<br />

Minerals ........................................................................................................................................................12<br />

Stable political situation and reforms ........................................................................................................13<br />

Access to markets .........................................................................................................................................14<br />

<strong>In</strong>frastructure under construction.....................................................................................................................18<br />

HOW DOES THE GOVERNMENT PROTECT INVESTORS ....................................20<br />

Guarantees of the protection of investor's rights ............................................................................................21<br />

Agreements on mutual protection and investment incentives ........................................................................22<br />

Foreign <strong><strong>In</strong>vest</strong>ors Council ...............................................................................................................................23<br />

How Does the Government Support <strong><strong>In</strong>vest</strong>ors ..............................................................................................24<br />

<strong><strong>In</strong>vest</strong>ment preferences ................................................................................................................................24<br />

Special Economic Zones ...............................................................................................................................25<br />

Public Private Partnership ..............................................................................................................................26<br />

GOVERNMENT SUPPORT FOR DEVELOPMENT INSTITUTES ................................29<br />

WHAT ARE THE PRIORITY SECTORS OF THE ECONOMY AND WHAT ARE THEIR CONDITIONS ..32<br />

Oil refining and development of infrastructure in oil & gas sector .............................................................33<br />

Mining and metallurgical industry .................................................................................................................36<br />

Chemical industry ..........................................................................................................................................40<br />

Nuclear industry ............................................................................................................................................44<br />

Engineering industry ......................................................................................................................................46<br />

Pharmaceutical industry ................................................................................................................................52<br />

Light <strong>In</strong>dustry ................................................................................................................................................54<br />

Agro-industrial complex ...................................................................................................................................56<br />

Construction industry and production of building materials .......................................................................59<br />

Tourism industry in <strong>Kazakhstan</strong> .....................................................................................................................62<br />

HOW TO GET TO KAZAKHSTAN ..................................................................66<br />

How to get a Visa ........................................................................................................................................68<br />

Procedure for Visa support ..............................................................................................................................73<br />

Categories of Visa for investors .....................................................................................................................74<br />

Registration of Foreign Citizens .....................................................................................................................76<br />

HOW TO START A BUSINESS IN KAZAKHSTAN ..............................................80<br />

Forms of legal entity for foreign business ...................................................................................................82<br />

Registration of enterprises ..............................................................................................................................83<br />

Obtaining a license ..........................................................................................................................................87<br />

Conditions of employment for foreigners ......................................................................................................88<br />

Customs tariffs ...............................................................................................................................................90<br />

Tax system ......................................................................................................................................................92<br />

PRINCIPAL CONTACTS FOR INVESTORS .......................................................94<br />

The Committee on <strong><strong>In</strong>vest</strong>ments of the Ministry of <strong>In</strong>dustry and New Technologies ......................................94<br />

National Agency for Export and <strong><strong>In</strong>vest</strong>ment “KAZNEX INVEST” ........................................................................95<br />

CONTENTS OF CD-ROM ..........................................................................96


WHAT ARE THE ADVANTAGES<br />

OF KAZAKHSTAN<br />

Geographic location<br />

North <strong>Kazakhstan</strong><br />

region<br />

West <strong>Kazakhstan</strong><br />

region<br />

Kostanay<br />

region<br />

Akmola<br />

region<br />

Astana<br />

Pavlodar<br />

region<br />

East <strong>Kazakhstan</strong><br />

region<br />

Atyrau region<br />

Aktobe<br />

region<br />

Karaganda<br />

region<br />

Almaty region<br />

Mangistau<br />

region<br />

Kyzylorda<br />

region<br />

South <strong>Kazakhstan</strong><br />

region<br />

Zhambyl<br />

region<br />

Almaty<br />

2<br />

Region<br />

Eastern Europe and Central Asia<br />

Territory<br />

2,724,900 sq km<br />

(1,052,085 sq miles)<br />

Population<br />

16 316 050<br />

Languages<br />

Kazakh and Russian<br />

<strong>In</strong>come level<br />

Above average<br />

GNP<br />

Over 11,000 USD<br />

Currency<br />

Tenge (KZT) – KZT/USD 150,15;<br />

KZT/EUR 193,17<br />

Rates of exchange of the National Bank of the<br />

Republic of <strong>Kazakhstan</strong> as on September 27, 2012


STABLE<br />

AND FAST-GROWING<br />

MACROECONOMIC<br />

INDICATORS<br />

• GDP growth 7% (IMF 2011)<br />

• One of the lowest external debt to GDP<br />

ratios in the world : 11.4% (WEF 2012)<br />

• Budget balance: 1.5% (WEF 2012)<br />

• <strong>In</strong>flation: 7.4% (2011 NBK)<br />

4<br />

• Rating in the most rating agencies went<br />

from stable to positive


<strong>Kazakhstan</strong>'s GDP, $ bln<br />

200<br />

180<br />

160<br />

140<br />

120<br />

100<br />

80<br />

60<br />

40<br />

20<br />

0<br />

186,4<br />

146,5<br />

133,4<br />

115,3<br />

104,9<br />

81<br />

57,1<br />

43,2<br />

24,6<br />

30,8<br />

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011<br />

Source: UNCTAD<br />

<strong>Kazakhstan</strong>'s GDP per capita, $<br />

12000<br />

11160<br />

10000<br />

8000<br />

8452 8514<br />

7257<br />

8902<br />

6000<br />

5292<br />

4000<br />

2000<br />

1658<br />

2068<br />

2874<br />

3771<br />

0<br />

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011<br />

Source: UNCTAD 5


FDI inflows in RK for 1993-2011, $ mln.<br />

25000<br />

20000<br />

19760<br />

18453 19017 19580<br />

18144<br />

15000<br />

10000<br />

5000<br />

1271<br />

660<br />

984<br />

1674<br />

2107<br />

1233<br />

1852<br />

2781<br />

4557<br />

4106<br />

4624<br />

8317<br />

0<br />

1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011<br />

6619<br />

10624<br />

Source: UNCTAD<br />

8%<br />

4% 3% 2% 2% 2%<br />

26%<br />

Netherlands<br />

USA<br />

UK<br />

Switzerland<br />

France<br />

Canada<br />

Japan<br />

other countries<br />

16%<br />

Geographical<br />

distribution<br />

of investments<br />

in <strong>Kazakhstan</strong> as<br />

of December 31, 2011<br />

39%<br />

6


KAZAKHSTAN’S POSITION<br />

IN INTERNATIONAL<br />

RATINGS<br />

«Doing Business» rating<br />

<strong>Kazakhstan</strong> is one of<br />

the top 10 countries in<br />

«<strong><strong>In</strong>vest</strong>or Protection»<br />

71<br />

64<br />

RATING<br />

FOR «DOING<br />

BUSINESS»<br />

63<br />

58<br />

56<br />

47<br />

49<br />

47<br />

80<br />

70<br />

60<br />

50<br />

40<br />

30<br />

20<br />

10<br />

0<br />

8


<strong>In</strong>dex of regulatory restrictions for FDI<br />

0,45<br />

0,40<br />

in OECD countries<br />

0,35<br />

0,30<br />

0,25<br />

0,20<br />

0,15<br />

0,10<br />

0,05<br />

0<br />

China<br />

Saudi Arabia<br />

<strong>In</strong>donesia<br />

<strong>In</strong>dia<br />

Japan<br />

New Zealand<br />

Iceland<br />

Mexico<br />

Russia<br />

Canada<br />

Korea<br />

<strong>Kazakhstan</strong><br />

Australia<br />

Israel<br />

Ukraine<br />

Poland<br />

Peru<br />

Austria<br />

USA<br />

Switzerland<br />

Brazil<br />

Turkey<br />

Norway<br />

Denmark<br />

Chile<br />

Morocco<br />

Latvia<br />

Egypt<br />

United Kingdom<br />

Ireland<br />

Sweden<br />

The Czech Republic<br />

South Africa<br />

10


Average for countries not belonging to OECD<br />

Average for countries belonging to OECD<br />

Italy<br />

Hungary<br />

The Slovak Republic<br />

France<br />

Lithuania<br />

Belgium<br />

Greece<br />

Argentina<br />

Colombia<br />

Germany<br />

Estonia<br />

Spain<br />

Finland<br />

Netherlands<br />

Romania<br />

Slovenia<br />

Portugal<br />

Luxembourg<br />

11


MINERALS<br />

Mineral and raw material base of <strong>Kazakhstan</strong> is made up<br />

of 5,004 deposits, the forecasted cost of which is about 46<br />

trillion USD.<br />

Out of 110 Elements<br />

of Mendeleev's Periodic Table of the Chemical Elements<br />

99<br />

indenified<br />

70<br />

proved<br />

60<br />

in use<br />

12


Access to the Market of Almost 3 Billion<br />

Potential Customers<br />

• 3 out of 4 BRICK countries are located at a distance of within a range of a 4-hours flight<br />

• Customs Union with Russia and Belarus with a market of 170 mln people and total GDP of 2 trln<br />

USD<br />

• Major transcontinental routes linking Asia-Pacific region with the Near and Middle East and Europe<br />

pass through <strong>Kazakhstan</strong><br />

• Open economy (Trade 70% of GDP)<br />

• Great number of trade agreements signed<br />

ADVANTAGES<br />

OF CUSTOMS UNION<br />

for potential investors:<br />

• Single customs territory<br />

• Common customs regulations<br />

• Common customs code<br />

• Free movement of goods in customs space<br />

The Customs Union in RK has one of the most favored business environments. (According to the World<br />

Bank's Doing Business 2013 rating, Russian Federation and Belarus are on 112th and 58th places<br />

respectively whereas <strong>Kazakhstan</strong> ranks on 49th place).<br />

Europe<br />

Russia<br />

<strong>In</strong>dia<br />

China<br />

13


INFRASTRUCTURE<br />

ROAD MAP OF<br />

REPUBLIC OF<br />

KAZAKHSTAN<br />

14


INFRASTRUCTURE<br />

RAILWAY<br />

NETWORK<br />

MAP<br />

16


INFRASTRUCTURE<br />

UNDER CONSTRUCTION<br />

Western Europe - Western China<br />

<strong>In</strong>ternational Transit Corridor<br />

Extent in <strong>Kazakhstan</strong> – 2,787 km<br />

Extent of reconstruction segments in <strong>Kazakhstan</strong> – 2,309 km<br />

Total cost – $2.3 bln<br />

Commencement of work – 2007,<br />

Completion of work – 2012<br />

18


Along the "Western Europe - Western China" corridor, from port Lianyungang up to the borders with the<br />

European Union, travel time is about 10 days.<br />

• while using the sea corridor (Suez canal), travel time is about 45 days,<br />

• along the "Trans-Siberian" corridor - 14 days<br />

19


HOW<br />

DOES THE GOVERMENT<br />

PROTECT<br />

INVESTORS<br />

Guarantee the<br />

protection of<br />

rights of investors<br />

within the scope<br />

of legislation<br />

code of Republic<br />

of <strong>Kazakhstan</strong> on<br />

<strong><strong>In</strong>vest</strong>ments<br />

• Guarantee protection<br />

of rights<br />

• Guarantee use of<br />

income<br />

• Guarantee rights<br />

of investors during<br />

nationalization and<br />

requisition<br />

Agreement on<br />

incentives and<br />

mutual protection<br />

of investments<br />

• 45 bilateral and<br />

1 multilateral<br />

agreement were<br />

signed on incentives<br />

and mutual protection<br />

of investments<br />

Foreign investors<br />

Council<br />

consultativeadvisory<br />

body<br />

• Direct dialogue with<br />

investors<br />

• Solution to issues,<br />

associated with<br />

investment activites<br />

• Formulates<br />

recommendations<br />

for implementating<br />

investment activity in<br />

<strong>Kazakhstan</strong><br />

Council for improving<br />

the investment<br />

climate advisory<br />

body<br />

Consultative-advisory<br />

body<br />

• Formulate suggestions<br />

on creation of favorable<br />

investment climate,<br />

protection of rights and<br />

interests of investors<br />

and improvement of<br />

legal framework of the<br />

Republic of <strong>Kazakhstan</strong>,<br />

related to investment<br />

policy;<br />

• Formulate<br />

recommendations<br />

on implementing<br />

investment activity with<br />

the consideration of<br />

practices of countries<br />

the organizations of<br />

economic cooperation<br />

and development<br />

20


Guarantees for the protection<br />

of investor's’ rights<br />

Guarantees of the legal protection of investor's’ activities on the territory<br />

of the Republic of <strong>Kazakhstan</strong><br />

An <strong><strong>In</strong>vest</strong>or is entitled to compensation for harm, caused to him due to the publication of acts by<br />

state agencies, which do not in comply with legislation and illegal actions (omissions) committed by<br />

authorized officials of these agencies.<br />

<strong>Kazakhstan</strong> guarantees the stability of terms and conditions of contracts, signed between the investors<br />

and state agencies.<br />

Guarantees for the use of incomes<br />

<strong><strong>In</strong>vest</strong>ors shall have the discretion to use income, generated from their activities, aſter paying the taxes<br />

and other compulsory payments towards budget.<br />

Guarantees for the protection of the investor's’ rights during<br />

nationalization and requisition<br />

Forced seizure of investor's’ property (nationalization, requisition) for state needs is permitted in<br />

exceptional cases, foreseen by legislative acts of the Republic of <strong>Kazakhstan</strong>.<br />

During nationalization, losses, incurred by investors due to changes in legislation relating to acts of the<br />

Republic of <strong>Kazakhstan</strong> on nationalization, shall be reimbursed in full.<br />

Requisition of investor's’ property is done by paying him the market cost of the property.<br />

For complete information on Law "On <strong><strong>In</strong>vest</strong>ments", refer to CD or website www.invest.gov.kz<br />

21


AGREEMENTS<br />

MUTUAL PROTECTION<br />

ON AND INVESTMENT INCENTIVES<br />

Below is a list of countries, with which <strong>Kazakhstan</strong> has signed Agreements for<br />

on the encouragement and mutual protection of investments:<br />

Multilateral agreement:<br />

Eurasian Economic Community<br />

22


Foreign <strong><strong>In</strong>vest</strong>ors' Council (FIC)<br />

The Foreign <strong><strong>In</strong>vest</strong>ors’ Council (FIC) chaired by the President of the Republic of <strong>Kazakhstan</strong> is a<br />

consultative-advisory body to the Head of the State<br />

Sessions of the Council are held once a year under the Chairmanship<br />

of the President.<br />

The Council features the following participants:<br />

from <strong>Kazakhstan</strong> side - heads of government bodies<br />

from foreign side - heads of international financial and economic organizations, major foreign<br />

companies and corporations, operating in <strong>Kazakhstan</strong><br />

(Total, ConocoPhillips, Cameco, HSBC, Mitsubishi Corp., Shell, Chevron, ENRC, ArcelorMittal etc.)<br />

Address and contact details of association "Foreign <strong><strong>In</strong>vest</strong>ors' Council of <strong>Kazakhstan</strong>":<br />

Astana, Kabanbay Batyr Ave., 6/1, "Kaskad" Business Center, 3rd Floor, Office 31/2.<br />

Tel: +7 7172 925550, Fax: + 7 7172 925553,<br />

E-mail: director@fic.kz, assistant@fic.kz<br />

23


HOW<br />

DOES<br />

THE GOVERMENT<br />

INVESTMENT PREFERENCES<br />

<strong>In</strong> accordance with the Law "On <strong><strong>In</strong>vest</strong>ments", an investor may obtain:<br />

1. Exemption from paying custom duties while<br />

importing equipment, set-making and spare<br />

parts, raw materials and (or) materials, which<br />

are required for implementing an investment<br />

project;<br />

2. Government land grants: plots, buildings,<br />

structures, machinery and equipment, computers,<br />

measuring and control devices and facilities,<br />

transport facilities with the exception of LMV,<br />

production stock and furniture.<br />

<strong><strong>In</strong>vest</strong>ment preferences are provided only in<br />

priority type of activities according to the list,<br />

which is approved by the Resolution of the<br />

Government of Republic of <strong>Kazakhstan</strong> No 436<br />

Dated 08.05.2003.<br />

SUPPORT<br />

INVESTORS<br />

3. Tax relief for a period of up to 7 yrs for<br />

strategic investment projects (land tax 0%,<br />

property tax 0%)<br />

4. <strong>In</strong>dustrial benefits for strategic investment<br />

projects in regions with low level of socioeconomic<br />

development (reimbursement<br />

or payment of part of expenditure on gas,<br />

power, procurement of plots, procurement or<br />

construction of buildings, structures)<br />

For obtaining preferences, it is necessary to<br />

submit an application to the Committee on<br />

<strong><strong>In</strong>vest</strong>ments of the Ministry for <strong>In</strong>dustry and New<br />

Technologies of the Republic of <strong>Kazakhstan</strong> and<br />

enter into a contract with it.<br />

For induction into the list of strategic investment projects, investment project should involve the manufacture of<br />

products with high added cost, should correspond to priority type of operations and also meet one of the following<br />

criteria:<br />

1) investment project should involve the manufacture of products, which is a part of list constitute of activities for<br />

the manufacture of high-end products which are approved by the Government of the Republic of <strong>Kazakhstan</strong>;<br />

2) volume of investment under the investment project must be at least 5 million times the size of monthly<br />

calculated indicator, established for corresponding fi nancial year by Law On national budget.<br />

<strong>In</strong> accordance with Tax Code, an investor may use:<br />

tax allowances: the value of certain assets<br />

and (or) subsequent costs for modernization and<br />

reconstruction can qualify for deduction for a<br />

period of up to three years.<br />

It is not mandatory to enter into a contract<br />

for availing tax incentives and can be used<br />

independently<br />

On all issues, related to the provision of investment preferences, please contact the Committee on <strong><strong>In</strong>vest</strong>ments of<br />

Ministry of <strong>In</strong>dustry and New Technologies of the Republic of <strong>Kazakhstan</strong>.<br />

24


Special economic zones (SEZ)<br />

SEZ INDUSTRIAL PETROCHEMICAL<br />

TECHNOLOGY PARK<br />

SEZ BURABAY<br />

Tourism<br />

SEZ ASTANA-NEW CITY<br />

Construction industry<br />

SEZ PAVLODAR<br />

Chemical Park<br />

SEZ AKTAU SEAPORT<br />

Logistics, transport, engineering<br />

SEZ SARYARKA<br />

Metallurgy and metalworking<br />

SEZ ONTUSTYK<br />

Textile<br />

SEZ ITP<br />

IT industry,<br />

innovation<br />

SEZ KHORGOS - EAST GATE<br />

Trade and logistics<br />

• Single window principle<br />

• Free customs zone<br />

• Budgetary funds for infrastructure facilities<br />

• Simple procedure for hiring foreign personnel<br />

• Tax benefits<br />

• CIT — 0%<br />

• Land tax — 0%<br />

Tax allowances for SEZ members:<br />

• Property tax – 0%<br />

• VAT – 0% for goods, consumed in SEZ territory<br />

• land lease at basic rate of 0 for up to 10 yrs.<br />

Additional benefits for SEZ "ITP":<br />

• Social tax – 0%.<br />

• Extraterritorial principle - members of an SEZ<br />

"ITP" may be located outside SEZ and enjoy tax<br />

preferences except forthe VAT and customs<br />

duties.<br />

• Depreciation rate for soſtware is increased up to<br />

40% (generally it is 15%)<br />

SEZ Management:<br />

An SEZ is managed by Management Company<br />

in the form of JSC, and legal entities, including<br />

the foreign companies, can be members of the<br />

JSC. Professional companies with international<br />

management experience are attracted to manage<br />

the SEZ.<br />

For additional information on SEZs, visit the site:<br />

www.invest.gov.kz. Section "Government support for investments"<br />

25


PUBLIC<br />

PRIVATE PARTNERSHIP<br />

Currently only one form of contractual PPP is used in <strong>Kazakhstan</strong>, namely<br />

- Concession, which is based on the "build - transfer - operate" model.<br />

Concession -– the transfer of government property to private entities on the basis of a concession<br />

agreement for temporary possession and use for the purpose of improving the efficiency of operations,<br />

including the transfer of rights for the creation (construction) of new facilities at the expense of<br />

concessionaire or under co-fi nancing terms of concession with the subsequent transfer of such facilities<br />

to the State by providing the rights of possession and, use for subsequent operations in return for the<br />

potential provision of state support to the concessionaire.<br />

Main objective of concession agreements is to improve the quality of services, reduce the expenditures<br />

and risks of government sector, expansion of possibilities for development of infrastructure.<br />

State support for concessionaires<br />

1) surety of government on infrastructure obligations within the scope of concession agreements;<br />

2) Government guarantee regarding loans, attracted for financing concession projects;<br />

3) transfer of exclusive rights of items of intellectual property, owned by government, to concessionaire;<br />

4) provision of natural grants in accordance with the legislation of Republic of <strong>Kazakhstan</strong>;<br />

5) co-financing of concession projects;<br />

6) guaranteed consumption of a certain volume of goods (works, services) by the State if the State is<br />

the main consumer of goods (works, services), produced by the concessionaire, is the State;<br />

7) compensation for a certain volume of investment and operational costs of concessionaire during<br />

periods, stipulated by concession agreement and in volumes, stipulated by them during the validity<br />

period of concession agreement.<br />

26<br />

You can fi nd detailed information on public private partnership in <strong>Kazakhstan</strong> on web site www.kzppp.kz<br />

Contact details: JSC "<strong>Kazakhstan</strong> Public - Private Partnership Center"<br />

Republic of <strong>Kazakhstan</strong>, 010000,<br />

Astana, st. Temirkazyk, 65, 3rd Floor.<br />

JSC "<strong>Kazakhstan</strong> Public - Private Partnership Center"<br />

Tel: +7 (7172) 701 724<br />

Fax: +7 (7172) 701 724<br />

press@kzppp.kz<br />

press@kzppp.kz


Government Support for Development <strong>In</strong>stitutes<br />

JSC "SWF "SAMRUK-KAZYNA"<br />

The objective of fund is to maximize long-term value and increase<br />

the competitiveness of national development institutes, national<br />

companies and other legal entities in global markets.<br />

The Fund performs its mission through active investment<br />

operations especially in priority sectors of the economy<br />

Contacts:<br />

Republic of <strong>Kazakhstan</strong><br />

010000, Astana,<br />

Kabanbay Batyr Avenue, House<br />

19, Block: А, С, Е.<br />

e-mail: press@s-k.kz<br />

www.samruk-kazyna.kz<br />

JSC "KAZAKHSTAN DEVELOPMENT BANK" (KDB)<br />

JSC "<strong>Kazakhstan</strong> Development Bank" (KDB) - state financial<br />

development institute that provides medium to long-term financing<br />

of investment projects, leasing operations and also trade financing<br />

for export operations in priority sectors of the economy.<br />

Republic of <strong>Kazakhstan</strong>, Astana,<br />

Yessil Region<br />

Orynbor Street 10 ("Kazyna<br />

Tower" building)<br />

Tel: +7 (7172) 79 26 79<br />

Fax: +7 (7172) 79 26 38<br />

Republic of <strong>Kazakhstan</strong>, 050000,<br />

Almaty, "Nurly Tau" Business<br />

Center, Al-Farabi 19, Block 1B,<br />

Offi ce 204.<br />

Tel: +7(7273) 110 470<br />

Fax: +7 (7273) 110 470<br />

www.kdb.kz<br />

JSC "KAZAKHSTAN INVESTMENT FUND"<br />

The objective of the Fund is to contribute to the implementation of<br />

industrial-innovation policy of the Republic of <strong>Kazakhstan</strong> by making<br />

and attracting investments in projects of prospective organizations,<br />

rendering financial support to private sector initiatives to create<br />

competitive manufacturing industries in the non-resource sector of<br />

economy.<br />

Contacts:<br />

Republic of <strong>Kazakhstan</strong>, 050010,<br />

Almaty, St. Zenkova 80<br />

Tel: +7 (727) 2598 131, 2588 333<br />

Fax: +7 (727) 2583 799<br />

e-mail: ifk@ifk.kz<br />

www.ifk.kz<br />

29


JSC "National Agency for Technological Development"<br />

This Fund was created to help coordinate the development of<br />

innovation and provide measures of state support.<br />

Republic of <strong>Kazakhstan</strong>, 010017,<br />

Astana, Syganak street, 29,<br />

“Eurocenter” business center,<br />

9 floor<br />

Tel.: +7 (7172) 516 982<br />

Fax: +7 (7172) 517 021<br />

E-mail: info@nif.kz<br />

www.nif.kz<br />

JSC "Damu" Entrepreneurship Development Fund"<br />

The "Damu" Fund’s mission is to assist the development of high<br />

quality small and medium enterprises in <strong>Kazakhstan</strong>.<br />

Strategic objectives:<br />

1) To foster an increase in the number of actively operating enterprises<br />

and number of jobs;<br />

2) To assist the development of entrepreneurship in non-resource<br />

sectors of economy;<br />

3) To enhancing SME skills and involving people in entrepreneurship.<br />

Contacts:<br />

050004, Republic of <strong>Kazakhstan</strong><br />

Almaty, St. Gogol, 111<br />

Tel: +7 (727) 244-55-66<br />

Fax: +7 (727) 244-83-41<br />

E-mail: info@fund.kz<br />

www.damu.kz<br />

JSC "KAZYNA CAPITAL MANAGEMENT"<br />

JSC "Kazyna Capital Management" was created with an aim to<br />

attract foreign capital to establish direct investment funds in <strong>Kazakhstan</strong>'s<br />

economy, which will be a source of funds for Kazakh<br />

companies.<br />

KCM encourages the development of the direct investments market<br />

and the implementation of the best practices for asset management<br />

in <strong>Kazakhstan</strong>.<br />

050020, Almaty, Dostyk avenue,<br />

291/3а, 2 floor<br />

Tel: +7 (727) 334 1417<br />

Fax: +7 (727) 334 1418<br />

E-mail: info@kcm-kazyna.kz<br />

www.kcm-kazyna.kz<br />

JSC “EXPORT-CREDIT INSURANCE CORPORATION<br />

"KAZEXPORTGARANT"<br />

JSC “Export-credit <strong>In</strong>surance Corporation "KazExportGarant" has<br />

export-credit agency status of the Republic of <strong>Kazakhstan</strong> and<br />

provides financial and insurance support to export enterprises of<br />

non-resource sectors of the economy<br />

30<br />

Almaty, Zenkova str., 80 ( 2nd<br />

floor)<br />

Tel: +7 (727) 250 00 21<br />

E-mail: info@keg.kz<br />

www.keg.kz


JSC "KAZAKHSTAN INDUSTRY DEVELOPMENT INSTITUTE"<br />

The <strong>In</strong>stitute’s objective is to promote the industrial-innovative<br />

development of the country through scientific and methodological<br />

informational and analytical support; formulating practical recommendations<br />

for decision-making on industrial policy issues in <strong>Kazakhstan</strong>.<br />

Republic of <strong>Kazakhstan</strong>, 010000,<br />

Astana, St: Syganak, 25<br />

Tel: (7172) 79-64-60<br />

E-mail: kiri_pressa@mail.ru<br />

www.kidi.kz<br />

JSC "KAZAGRO" NATIONAL MANAGEMENT HOLDING"<br />

Mission of holding is implementation of state policy on stimulating<br />

industrial development of agro-industrial complex on principles of<br />

effectiveness, transparency and effective corporate management by<br />

holding’s structures.<br />

Republic of <strong>Kazakhstan</strong>, Astana,<br />

Republic St., 24<br />

Tel: +7 (7172) 70 56 20<br />

Fax: +7 (7172) 70 56 89<br />

www.kazagro.kz<br />

31


32<br />

WHAT ARE THE ECONOMY<br />

PRIORITY SECTORS<br />

AND WHAT ARE<br />

THEIR CONDITIONS


Oil refining and development of infrastructure<br />

in oil and gas sector<br />

Raw material base<br />

<strong>Kazakhstan</strong> ranks 11th in the world for oil reserves and 17th for gas reserves. <strong>In</strong> 2011, production of<br />

oil and gas condensate in the country amounted to 80 mln tons and gas production was 39.3 bln cubic<br />

meters (bcm). The average daily production volume of oil and gas condensate is over 200 thousand tons.<br />

Natural and associated gases obtained from the Tengiz and Caspian Sea fields, which have an ethane<br />

content of 13 - 16% and above, are economically and technologically suited for the production of ethylene<br />

– a basic petrochemical product.<br />

Production of<br />

oil and gas<br />

products<br />

Crude oil, tons in<br />

thousands<br />

Gas condensate,<br />

tons in thousands<br />

Natural and<br />

associated gas,<br />

mln.cu.m<br />

Gasoline, tons in<br />

thousands<br />

Aviation kerosene,<br />

tons in thousands<br />

Diesel fuel, tons in<br />

thousands<br />

Residual fuel oil,<br />

tons in thousands<br />

Condensed gas,<br />

tons in thousands<br />

2005 2006 2007 2008 2009 2010 2011<br />

55236,804 59140,659 61055,040 64608,354 71091,121 75022,477 75333,202<br />

6221,004 5724,314 6170,237 6008,454 5421,944 4663,465 4726,854<br />

26247,500 27014,885 29638,613 33507,531 36015,050 37413,002 39532,389<br />

2356,092 2341,714 2626,839 2503,414 2611,369 2920,381 2785,729<br />

234,170 270,215 258,854 399,247 373,548 489,629 387,140<br />

3280,021 3457,378 3919,360 3997,555 3868,512 4091,686 4135,581<br />

3545,702 3305,359 2574,950 3177,719 3305,446 3794,059 4342,969<br />

1250,267 1270,559 1428,154 1445,004 1824,560 2245,547 2146,872<br />

Source: JSC “<strong>In</strong>formation - analytical center of oil and gas"<br />

33


<strong>In</strong>frastructure of sector<br />

Currently, 3 oil refineries are operating in the cities of Atyrau, Pavlodar and Shymkent. However, a<br />

complete technological line for the high refinement of hydrocarbon raw material is not available in <strong>Kazakhstan</strong>.<br />

The Government is taking measures to modernize and technologically upgrade oil refineries. <strong>In</strong><br />

addition to this new innovative petrochemical plants are currently under construction.<br />

Transportation of oil and gas condensate for export is carried out through oil pipelines (79%), railway<br />

(8%) and sea transport (13%).<br />

Competitiveness cluster<br />

Major oil and gas companies are located in western regions and the Kyzylorda region, which have<br />

mineral resources and oil and gas production facilities. Prospective placement of new production facilities<br />

shall be in connection with the development of deposits in the Kazakh sector of the Caspian Sea.<br />

34


Mining and metallurgical industry<br />

The mining and metallurgical industry is a strategic sector of the national economy, the role of which<br />

is to ensure supplies of raw materials for the manufacturing of advanced-technology and knowledgeintensive<br />

end products (engineering, construction, aviation, aerospace and defense industries).<br />

Key objectives of mining and metallurgical industry<br />

in <strong>Kazakhstan</strong><br />

To create competitive industries, to expand the range and increase the amount of value-added products<br />

with high added value through the involvement of Small and Medium Businesses (SMB)<br />

Imports of Certain Types of Metals, 2011<br />

Description<br />

Imports, Million USD<br />

Miscellaneous iron and steel products 232,9<br />

Castings and other aluminum products 16,6<br />

Unalloyed Nickel 4,8<br />

Miscellaneous Nickel products 1,5<br />

Source: Agency of the RK on Statistics<br />

The largest volume of imports is: tubes, pipes and hollow profiles, of iron or steel metal structures<br />

and parts thereof; rods of iron or non-alloy steel and other ferrous metals. Thus, the structure of imports<br />

shows that imports of products of MMC predominant products with high added value.<br />

Import, bln $ 3,8<br />

Aggregate supply in<br />

mining and metallurgical<br />

industry in 2011<br />

amounted to $ 12.7<br />

billion.<br />

8,9<br />

36<br />

Domestic production, bln $


What <strong>Kazakhstan</strong> can offer to investors:<br />

Raw material base<br />

The Mining and Metallurgical <strong>In</strong>dustry of <strong>Kazakhstan</strong> is characterized by a rich mineral resource<br />

base, which has considerable potential not only within the country but also worldwide. Provision of<br />

metallurgical enterprises with these raw materials with the current capacity is 50 to 300 years old.<br />

Ore deposits are mostly composite, i.e., containing several kinds of metals in the ore, which requires<br />

the use of various technologies for extraction, enrichment and reprocessing.<br />

<strong>Kazakhstan</strong> contains 30% of the world reserves of chrome ore, 25% of manganese ore and 10%<br />

of iron ore. Reserves of copper, lead and zinc are respectively 10% and 13% of global reserves.<br />

<strong>Kazakhstan</strong>’s proportion of chromite reserves are 90% of that of the CIS, tungsten 60%, lead<br />

and copper 50%, bauxite 30%, phosphates 25% and iron ore 15%. <strong>In</strong> the production of titanium,<br />

<strong>Kazakhstan</strong> currently occupies 3rd place in the world, zinc – 7 th , lead – 8 th , iron ore – 13 th , Copper<br />

– 15 th , and steel – 35 th .<br />

38


Registered<br />

enterprises<br />

According to the Agency of the RK on Statistics on 1 November 2011, the number of registered<br />

enterprises whose main activity was the mining of metal ores amounted to 278 enterprises, and those<br />

whose main activity was in the metallurgical industry 247 enterprises, making a total of 525 enterprises.<br />

Recommended Regional Location for Enterprises<br />

Mining and Metallurgical Complex Enterprises will continue to be predominantly located in the northwestern,<br />

central and north-eastern parts of the country with centers of industry specialization in the cities<br />

of Karaganda, Kostanay, Aktobe, Pavlodar, Ust-Kamenogorsk, Zhezkazgan, near sources of raw materials<br />

and cheap electricity, existing production facilities, infrastructure and skilled manpower.<br />

Locating new enterprises and operations modernizing existing production of higher added value<br />

products in metallurgy and metal working would depend on:<br />

• Existing primary processing enterprises:<br />

- Production of steel (Karaganda region);<br />

- Titanium ingots (East <strong>Kazakhstan</strong>);<br />

- Ferrochrome (Aktobe region);<br />

- Manufacture of rails and rolling (Pavlodar region);<br />

- Ferroalloys (Zhambyl region);<br />

- Manufacture of special steels (Karaganda and Kostanay region);<br />

• Source of cheap electricity:<br />

- Production of aluminum (Pavlodar region);<br />

- Copper cathode (East <strong>Kazakhstan</strong>)<br />

39


CHEMICAL INDUSTRY<br />

The chemical industry is one of the priority-driven<br />

industries of <strong>Kazakhstan</strong> and is one of the largest<br />

suppliers of raw materials, intermediates, and materials<br />

for other sectors of the real economy.<br />

Key objectives of the chemical industry in <strong>Kazakhstan</strong><br />

Development of priority-driven competitive factories in the chemical industry, aiming to produce<br />

advanced-technology, export-oriented and innovative products with high added value<br />

IMPORT STRUCTURE OF CERTAIN CHEMICAL PRODUCTS, 2011<br />

Description<br />

Imports, US $ million<br />

Plastics and related articles 1 245,6<br />

Raw rubber, rubber and related articles 605,9<br />

<strong>In</strong>organic chemistry products 397,7<br />

Essential oils, perfumery and cosmetic or<br />

toiletry preparations<br />

362,9<br />

Soap, organic surface-active agents and<br />

detergents<br />

276,2<br />

40


Aggregate supply in the chemical industry in 2011<br />

amounted to $ 6,268 million.<br />

Import, mln $<br />

4 969<br />

Aggregate supply in<br />

the chemical industry<br />

in 2011 amounted to $<br />

6,268 million.<br />

1 299<br />

Domestic production, mln $<br />

Products which are imported in the<br />

largest volume are soda ash, fertilizers,<br />

inorganic compounds (acids, alkalis, oxides,<br />

salts, etc.), and detergents. Thus, the import<br />

structure of chemical products shows that<br />

the predominant import products are with<br />

high added value.<br />

41


What <strong>Kazakhstan</strong> can offer to investors:<br />

Raw material base<br />

The Chemical <strong>In</strong>dustry of <strong>Kazakhstan</strong> is based on the richest reserves of phosphates, the development<br />

of the oil and gas industry, the utilization of sulfur gases from the metallurgical industry and huge<br />

reserves of various salts.<br />

The location of the chemical industry is determined, in the case of initial redistributions by links to raw<br />

material sources (Zhambyl, Aktobe, Atyrau, and South <strong>Kazakhstan</strong> regions - nitrogen, phosphorus, potassium,<br />

complex fertilizers), and, in the case of higher redistribution links to existing production facilities,<br />

the manpower necessary skills scientific and technical basis, and according to demand from the population<br />

and industrial enterprises (for special chemicals and consumer chemicals - Pavlodar, Karaganda,<br />

East <strong>Kazakhstan</strong> regions and Almaty, for caustic soda in particular - the city of Pavlodar, the production<br />

of sulphuric acid - Akmola, Kyzylorda and Zhambyl regions and the production of rubber products - Karaganda<br />

region.<br />

42


Registered enterprises<br />

On 1 June 2011 there were 46 large and medium-sized enterprises and industries of chemical products.<br />

Competitive cluster<br />

1. Special economic zone (SEZ) in Zhambyl region<br />

2. Special economic zone (SEZ) in Pavlodar region<br />

RECOMMENDED REGIONAL LOCATION FOR ENTERPRISES<br />

The Location of the chemical industrial enterprise with the initial redistributions associated with binding<br />

to raw material sources:<br />

Zhambyl, Aktobe, Mangistau and South <strong>Kazakhstan</strong> regions - nitrogen, phosphorus, potassium,<br />

complex mineral fertilizers;<br />

Higher redistribution linked to existing production facilities, the manpower, necessary skills, science<br />

and technology base and the demand from the population, industrial enterprises:<br />

• Special-chemicals and consumer chemicals - Pavlodar, Karaganda, East <strong>Kazakhstan</strong> region and<br />

Almaty;<br />

• Caustic soda - the city of Pavlodar;<br />

• Production of sulfuric acid - Akmola, Kyzylorda and Zhambyl regions;<br />

• Production of rubber products - Karaganda region<br />

43


NUCLEAR INDUSTRY<br />

According to the <strong>In</strong>ternational Atomic Energy Agency (IAEA), about 19% of proven world reserves of<br />

uranium are concentrated in the territory of the Republic of <strong>Kazakhstan</strong>. The Country’s total reserves are<br />

estimated at 802 thousand tons of uranium.<br />

<strong>In</strong> 2011, <strong>Kazakhstan</strong> produced<br />

14,950 8,761<br />

tons<br />

uranium and thorium<br />

natural uranium<br />

<strong>In</strong> 2011, <strong>Kazakhstan</strong> occupied first place for extraction of uranium in the world.<br />

Production of natural uranium in 2009 amounted to 14,214 tons. The volume of<br />

uranium in 2010 amounted to 17,803 tons and in 2011 - 19,450 tons.<br />

3,773<br />

tons tons<br />

enriched uranium and<br />

plutonium and their<br />

compounds<br />

The National Atomic Company JSC "NAC Kazatomprom" is the national operator of the Republic of<br />

<strong>Kazakhstan</strong> for importing and exporting uranium, rare metals, and nuclear fuel for nuclear power plants<br />

(NPP), special equipment, technologies and dual-use materials. 100% of its shares are owned by the<br />

State via the National Welfare Fund "Samruk-Kazyna".<br />

44


JSC “NAC Kazatomprom” is a holding company for the management of seven main areas of activity:<br />

• Uranium mining and exploration;<br />

• Manufacture of nuclear fuel cycle products;<br />

• Reactor construction, nuclear power plants(NPP);<br />

• Non-ferrous metallurgy and construction materials;<br />

• Energy;<br />

• Science;<br />

• Social security and training.<br />

What <strong>Kazakhstan</strong> can offer investors:<br />

The development of the nuclear industry occurs in the traditional regions of production of raw uraniumin<br />

southern <strong>Kazakhstan</strong>, in the Akmola region, recycling - in Akmola (Stepnogorsk Mining and Chemical<br />

Complex) and East-<strong>Kazakhstan</strong> (Ulba Metallurgical Plant (UMP)) regions.<br />

According to international ratings, <strong>Kazakhstan</strong> is among the countries with a high degree of competence<br />

in the field of basic nuclear physics and radiation material.<br />

45


ENGINEERING INDUSTRY<br />

The core objective of the engineering industry in <strong>Kazakhstan</strong>: meeting the needs of the<br />

domestic market and expansion of exports by increasing the production of goods with high added value.<br />

Aggregate supply in the engineering industry in 2011<br />

amounted to $ 19.3 billion<br />

Import, bln $<br />

15,6<br />

Aggregate supply<br />

in the engineering<br />

industry in 2011<br />

amounted to $ 19.3<br />

billion<br />

3,7<br />

Domestic, bln $<br />

Source: Agency of the RK on Statistics<br />

46


Import structure of certain types of engineering products, 2011<br />

Description<br />

Imports, million USD<br />

Nuclear reactors, boilers, machinery and mechanical appliances, and<br />

related parts<br />

5 561,6<br />

Electrical machinery and equipment and related parts 3 815,2<br />

Vehicles other than railway or tramway rolling stock, and related<br />

parts and accessories<br />

1 871,7<br />

Railway locomotives or tramway motor cars 1 476,0<br />

Aircraſt, spacecraſt, and their components 601,1<br />

The machine-building industry includes a number of<br />

sub-sectors: rail, oil and gas, mining and metallurgy,<br />

automobile industry, agricultural, electrical, etc.<br />

The top priority subsectors of the engineering industry<br />

of the Republic of <strong>Kazakhstan</strong> have been identified:<br />

• Machinery for oil and gas industry;<br />

The development of domestic oil and gas equipment<br />

is a high priority due to the fact that the oil<br />

and gas sector is the largest consumer of machinebuilding<br />

products.<br />

Kazakh enterprises aim tol produce a variety of<br />

complex equipment for drilling, well work-over, production,<br />

preparation, transportation, refining of oil<br />

and gas, which allow for the commercial production<br />

of offshore platforms.<br />

47


Production of oil<br />

and gas equipment<br />

in the Republic of <strong>Kazakhstan</strong><br />

<strong>In</strong>dicator Name 2008 2009 2010 2011<br />

Oil and gas refining equipment, $ million 1,2 2,6 7,5 10,6<br />

Oilfield Equipment, $ million 11,5 10,9 18,2 31,0<br />

• Machinery for Mining <strong>In</strong>dustry;<br />

The most promising areas of domestic production in the mining and metallurgical engineering are: selfpropelled<br />

drilling and cargo handling equipment, hydraulic and pneumatic drills, gears, belt conveyors,<br />

steel-making equipment, a wide range of rental equipment, manufacturing of spare parts etc.<br />

48


Manufacture of machinery<br />

for the mining industry<br />

in the Republic of <strong>Kazakhstan</strong><br />

<strong>In</strong>dicator name 2008 2009 2010 2011<br />

Manufacture of machinery for mining, quarrying and<br />

construction, $ million.<br />

73,4 44,4 77,8 88,7<br />

• Railway Engineering;<br />

Domestic demand represented by for railway engineering products provided the main market for freight<br />

cars and locomotives - joint stock company " National company" <strong>Kazakhstan</strong> railways". According to the<br />

company's plans as far as 2014, around 1,4 - 5,2 thousand cars and 1000 locomotives will be procured<br />

annually. Overhaul of the existing rolling stock and locomotives will also be carried out.<br />

49


Production<br />

of railway engineering products<br />

in the Republic of <strong>Kazakhstan</strong><br />

<strong>In</strong>dicator name 2008 2009 2010 2011<br />

Manufacture of railway locomotives and rolling<br />

stock, $ million<br />

43,2 51,3 152,3 416,6<br />

• Agricultural Engineering <strong>In</strong>dustry;<br />

The market for agricultural machinery and equipment in <strong>Kazakhstan</strong> is now almost entirely composed<br />

of imported products. The largest share of domestic producers in the sector of agricultural machines<br />

(milking systems, machines for processing agricultural products, etc.) is in the segment "components<br />

and spare parts" with more than more than 50% and the lowest for the sector of combine harvesters and<br />

attachments.<br />

The greatest potential for development of agricultural engineering in the Republic of <strong>Kazakhstan</strong> is in<br />

the sector of combine harvesters of 3 and 4 classes, wheeled tractors, attachments and machines for<br />

processing grain and forage crops.<br />

<strong>In</strong> <strong>Kazakhstan</strong>, there are conditions to produce attachments, fully adapted to the climatic conditions of<br />

different regions of <strong>Kazakhstan</strong>. There is also a strong demand, driven by the need of fleet renewal and<br />

expansion of cultivated land.<br />

50


Production<br />

of agricultural machinery<br />

in the Republic of <strong>Kazakhstan</strong><br />

<strong>In</strong>dicator name 2008 2009 2010 2011<br />

Agricultural and forestry machinery, $ million. 86,3 56,6 56,5 83,8<br />

Registered enterprises<br />

According to the Agency of the RK on Statistics more than 250 large and medium-sized engineering<br />

enterprises are registered, including in the production of computers, electronic and optical products - 8, in<br />

the manufacture of electrical equipment - 19, in the repair and installation of machinery and equipment,<br />

production of miscellaneous vehicles – 156, in the manufacture of motor vehicles, trailers and semitrailers<br />

- 6, in the manufacture of other transport equipment - 17.<br />

Recommended Regional Location for Enterprises:<br />

• Agricultural Engineering - <strong>In</strong> the regions with the highest level of agricultural activit - the Northern<br />

and Eastern regions;<br />

• Oil and Gas Machine-Building - <strong>In</strong> the western region in order to provide rapidly developing oil and<br />

gas production with a focus on demand for oil and gas production and processing enterprises in the<br />

specialized equipment, supplies and parts for them and the existing production capacity - Almaty,<br />

North <strong>Kazakhstan</strong> and East <strong>Kazakhstan</strong> regions;<br />

• Mining Engineering - <strong>In</strong> the Central and Eastern regions, with a focus on the demand for large enterprises<br />

in Mining and Smelting Complex;<br />

• Electrical Engineering - in the Southern and Central regions, with a focus on the existing industrial<br />

base;<br />

• Transportation equipment - in the Northern, Central and Eastern regions, with a focus on the availability<br />

of skilled labour, manufacturing of components and spare parts of related industries.<br />

51


PHARMACEUTICAL INDUSTRY<br />

The main objective of the pharmaceutical industry:<br />

Creating the conditions to end dependence on the import of pharmaceutical and medical products based<br />

on advanced technologies in accordance with the <strong>In</strong>ternational Good Manufacturing Practices (GMP) Standards.<br />

<strong>Kazakhstan</strong> is heavily dependent on the import of pharmaceutical raw materials (substances), equipment<br />

and packaging materials.<br />

Registered enterprises<br />

7 large and medium-sized enterprises and industries are registered in <strong>Kazakhstan</strong> for the manufacture<br />

of basic pharmaceutical products.<br />

Recommended Regional Location for Enterprises:<br />

Pharmaceutical enterprises will be placed in relation to previously established scientific and industrial<br />

base (South <strong>Kazakhstan</strong> region and Almaty) and also with regard to the availability of educational<br />

infrastructure, skilled labour (Aktobe, Eastern <strong>Kazakhstan</strong>, Karaganda region and the cities of Almaty and<br />

Astana) The largest of them - building a pharmaceutical factory in Astana<br />

Centres of industry specialization<br />

Almaty, Shymkent, Astana, Karaganda.<br />

52


Aggregate supply in the pharmaceutical industry in 2011<br />

amounted to $ 1.2 billion<br />

Import, bln $<br />

1,0<br />

Aggregate supply in<br />

the pharmaceutical<br />

industry in 2011<br />

amounted to $ 1.2<br />

billion<br />

0,2<br />

Domestic, bln $<br />

53


LIGHT INDUSTRY<br />

The main objectives of light industry in <strong>Kazakhstan</strong>:<br />

Meeting the needs of the domestic market of light industry products through the processing of raw<br />

materials, manufacturing products with high added value and the prospect of entering foreign markets.<br />

Aggregate supply in the light industry in 2011 amounted to $1.1 billion.<br />

Import, bln $<br />

0,9<br />

Aggregate supply in<br />

the light industry in<br />

2011 amounted to<br />

$1.1 billion.<br />

0,2<br />

Domestic, bln $<br />

Import structure of certain products of light industry, 2011<br />

Description<br />

Imports, million<br />

USD<br />

Footwear, gaiters and similar item and related parts 178,2<br />

Articles of apparel and clothing accessories, except knitted or<br />

crocheted<br />

169,9<br />

Articles of apparel and clothing accessories, knitted or crocheted 111,5<br />

Carpets and other textile floor coverings 50,9<br />

54


What <strong>Kazakhstan</strong> can offer investors:<br />

Raw material base<br />

The raw material base of the Cotton and Textile <strong>In</strong>dustry in <strong>Kazakhstan</strong> is cotton. <strong>In</strong> 2011, the output of<br />

raw cotton in the country amounted to 336 thousand tons. The resulting cotton in <strong>Kazakhstan</strong> is that of<br />

the medium-fiber cotton variety.<br />

Also <strong>Kazakhstan</strong> has the required resources for raw hide. <strong>In</strong> 2010-2011, it produced:<br />

Product Description 2010 г. 2011 г.<br />

Leather of bovine cattle and equine animals, without hair, in<br />

thousand square decimeters<br />

92 501,7 77 715,8<br />

Fur skins, tanned or dressed, in thousand square decimeters 1 131,7 3 028,8<br />

Leather of sheep, goat or pig, without hair in thousand<br />

square decimeters<br />

422,6 19,6<br />

Source: Agency of the RK on Statistics<br />

Registered enterprises<br />

<strong>In</strong> the manufacture of textile products the number of large and medium-sized enterprises and industries<br />

was 42, in the manufacture of clothing 32 and in the manufacture of leather and associated products - 7.<br />

Recommended Regional location for enterprises<br />

Light industry will be located in the cities of Almaty, Shymkent, Families in relation to the established<br />

industrial and technological base, the availability of raw materials and labour, as well as according to<br />

present and prospective domestic and global demand.<br />

<strong>In</strong> addition, West <strong>Kazakhstan</strong> and North <strong>Kazakhstan</strong> regions are attractive destinations due to their<br />

well-developed raw material base for the processing of wool and leather.<br />

55


AGRO-INDUSTRIAL COMPLEX<br />

Main objective of the agro-industrial complex:<br />

<strong>In</strong>creasing productivity, ensuring national food security and increasing the export potential of Agro-<br />

<strong>In</strong>dustrial Complex (AIC)<br />

Crop production<br />

More than 29 million tons of grain, including 24 million tons of wheat was gathered in <strong>Kazakhstan</strong> in<br />

2011.<br />

<strong>Kazakhstan</strong> is among the world's top ten exporters of grain. Kazakh grain is exported to over 70 countries<br />

worldwide. The main importers of Kazakh grain are the CIS countries, the Middle East, North Africa<br />

and the European Union.<br />

<strong>In</strong> addition, oil crops, vegetables and melons, fruits, berries, grapes, sugar beets and potatoes are<br />

grown <strong>Kazakhstan</strong>.<br />

56


Animal husbandry<br />

Livestock production in the country is one of the main branches of the agricultural sector. The richest<br />

pasture lands and favorable climatic conditions provide a good basis for the development of animal<br />

husbandry.<br />

As a result of implementation of the State Policy in the livestock industry, there has been a steady increase<br />

in the number of livestock and poultry, livestock production and increased productivity of livestock<br />

and poultry, as well as an improvement in the quality of herds.<br />

Food and<br />

processing<br />

industry<br />

The domestic food and processing industry (meat, dairy,<br />

fish, flour and cereal, mixed fodder, sugar, fat and oil) is<br />

one of the strategic sectors of the economy, which aims<br />

to provide the population with the required quantity and<br />

quality of food.<br />

According to the Agency data, the agriculture sector<br />

employs around 70 thousand people, representing about<br />

18% of all workers in manufacturing industry. At the same<br />

time, agricultural products worth $ 15.5 billion were produced<br />

in 2011.<br />

Major Export Items of <strong>Kazakhstan</strong> – grain and related<br />

products, rice, meat, fat and oil products and confectionery.<br />

57


Imports of products of agro-industrial complex,<br />

million U.S. dollars<br />

Product Description 2010 2011<br />

Prepared foodstuffs, beverages, spirits and vinegar, tobacco<br />

and manufactured tobacco substitutes<br />

1 704,1 2 075,0<br />

Products of vegetable origin 533,2 954,7<br />

Live animals and animal products 584,7 755,7<br />

Source: Agency of the RK on Statistics<br />

Registered enterprises<br />

There are more than 161 major and 600 medium-sized registered enterprises for the production of<br />

agriculture, forestry and fisheries products.<br />

Recommended Regional Location for enterprises<br />

Agricultural industry is set to develop in the Centre, North, South and East of the country.<br />

Location of recycling agro-industrial enterprises and fisheries will be targeted as a source of raw<br />

materials and market outlets of major cities. The priority will be the formation of food belts around the<br />

cities of Astana and Almaty. The major enterprises of agro-industrial complex, aimed at deep processing<br />

of grain and meat, will be located primarily in the Northern regions.<br />

Centers of industry specialization:<br />

Petropavlovsk, Kostanay, Kokshetau, Shymkent, Taraz, Taldykorgan, Almaty, Kyzylorda and Atyrau.<br />

58


CONSTRUCTION INDUSTRY<br />

AND PRODUCTION OF BUILDING MATERIALS<br />

The Construction Complex has a huge impact on the economy in general and, last but not least, the<br />

situation in the social sphere. Further development of the construction industry, as well as improving<br />

safety and quality of construction products in the present conditions are the key economic and political<br />

tasks of the State.<br />

Aggregate supply of non-metallic products (construction materials) for 2011<br />

amounted to $1.7 billon<br />

Import, bln $<br />

0,5<br />

Aggregate supply of<br />

non-metallic products<br />

(construction materials)<br />

for 2011 amounted to<br />

$ 1.7 billion<br />

1,2<br />

Domestic production, bln $<br />

TARGETS OF THE CONSTRUCTION INDUSTRY IN KAZAKHSTAN:<br />

1. <strong>In</strong>crease the gross added value of the construction industry;<br />

2. <strong>In</strong>crease in the proportion of domestically produced construction materials;<br />

3. <strong>In</strong>crease in labour productivity.<br />

The largest volume of imports comes from: glazed ceramic slabs, die blocks, bricks, blocks, tiles and<br />

similar refractory ceramic construction materials.<br />

59


What <strong>Kazakhstan</strong> can offer investors:<br />

Raw material base<br />

The <strong>In</strong>dustry structure has a strong raw-material orientation and so must be based near raw-materials.<br />

However the country does not have a sufficient number of companies producing high value added products<br />

that meet the modern requirements of the construction industry.<br />

<strong>Kazakhstan</strong> has rich reserves of raw materials for the production of construction materials, however<br />

only half of the existing fields are being developed as of today. <strong>In</strong> <strong>Kazakhstan</strong>, almost all construction<br />

materials and semi-finished products are produced, except for flat glass, sanitary-ware made out of<br />

faience and semi-vitreous ware.<br />

The Cement <strong>In</strong>dustry of the Republic is based primarily around the location of deposits of lime component,<br />

which is the predominant part of the raw mix. Deposits of cement raw materials are available in all<br />

14 provinces of the Republic.<br />

The main natural raw materials for the manufacture<br />

of concrete products are gravel and sand. <strong>In</strong> <strong>Kazakhstan</strong>,<br />

the federal balance reserves of building stone include<br />

179 fields. The balance reserves of these building stone<br />

deposits in categories A + B + C1 constitute 3,238,530<br />

thousand m3 and category C2 - 1,167,786 thousand m 3 .<br />

Balance reserves of sand deposits for construction and<br />

silicate products in the country in the categories A + B +<br />

C1 amount to 1,410,358 thousand m 3 and in the category<br />

C2 – 297,615 thousand m3. There are a total of 177 fields.<br />

60


Registered enterprises<br />

According to the Agency of the RK on Statistics, there were 41,062 registered enterprises in 2011.<br />

Recommended Regional<br />

Location<br />

for Enterprises<br />

For the development of Construction Complex, as an industry based on domestic<br />

demand, the dominant factors would be the presence of demand, production,<br />

infrastructure and technological base and low transportation costs for delivery of<br />

products, components and equipment.<br />

Location of new production facilities of this group of industries will be next to the<br />

enterprises in the traditional sectors and in the cities of Almaty and Astana.<br />

Centers of industry specialization: Almaty, Astana, Shymkent, Ust-Kamenogorsk,<br />

Atyrau.<br />

The largest reserves of carbonate and clay raw materials for cement production<br />

are concentrated in the Akmola region, South <strong>Kazakhstan</strong>, Almaty, Atyrau, Kostanay<br />

and Karaganda regions.<br />

The largest deposits of mortar sands are concentrated in Pavlodar, Kostanay,<br />

Aktobe region and the average stocks of sand, meeting the domestic demand, are<br />

in Akmola, Atyrau, North <strong>Kazakhstan</strong> and East <strong>Kazakhstan</strong> regions.<br />

Large reserves of igneous rocks are found in the throughout Central <strong>Kazakhstan</strong>,<br />

Kostanay, Almaty and East <strong>Kazakhstan</strong> regions. Adequate reserves are found in<br />

Zhambyl and North <strong>Kazakhstan</strong> regions. <strong>In</strong> Kyzylorda and South <strong>Kazakhstan</strong> regions,<br />

the rocks are relatively stable gravel and dolomite. The major manufacturer<br />

and supplier of quality crushed stone in the region is the Aktobe region.<br />

61


TOURISM INDUSTRY IN KAZAKHSTAN<br />

<strong>In</strong> <strong>Kazakhstan</strong>, there were 1641 registered companies that provide services for accommodation and<br />

fare in 2011.<br />

Tourist potential<br />

<strong>Kazakhstan</strong> - a country in the heart of Eurasia! The ancient culture of <strong>Kazakhstan</strong> and the country’s<br />

unique nature make for an enchanting destination. For centuries, a network of ancient caravan routes<br />

leading from China to the Middle East and Europe passed through this land.<br />

The Great Silk Road, or Silk Way, as a trade route began in the III century BC. This part of the road is a<br />

unique complex of historical, archaeological and architectural monuments, including intricately planned<br />

and constructed cities. Cities such as: Otrar, Sairam, Syganak, Sauran, Suzak and Turkestan were not only<br />

centers of trade, but also scientific and cultural centers.<br />

Mausoleum “Khoja Ahmed Yasawi” is a unique masterpiece of architecture dating back to the end of<br />

XIV and the beginning of XV centuries. Mausoleums “Aisha-Bibi” and “Babaji Khatun” (X-XII centuries.),<br />

Mausoleums “Karahan” and “Daudbeka” in Taraz, mosques and many other sacred sites allow travelers to<br />

experience the atmosphere of bygone centuries.<br />

<strong>Kazakhstan</strong> has the world's first space launch site Baikonur, which became<br />

a symbol of the space age and a new era in the history of mankind.<br />

For the purpose of educational and outdoor activities, the southern region<br />

of the country offers Charyn Canyon and relic Ash Grove, petroglyphs of<br />

Tamgaly and on the bank of Ili River, Big Almaty and Kolsai Lakes.<br />

Northern <strong>Kazakhstan</strong> is famous for beach holiday places and can offer<br />

the Borovoe resort area and the coastal lakes of Shchuchye, Borovoye, Big<br />

and Small Chebachye and Kotyrkol. Some lakes are famous for therapeutic<br />

mineral salts and muds - lakes Moiyldy and Maybalyk.<br />

<strong>Kazakhstan</strong> has significant potential for engaging in sports tourism and<br />

mountaineering, skiing (Northern and Western Tien Shan, Jungar Alatau Rudny<br />

Altai). The ski resort “Chimbulak” at a height of 2,200 meters, is located at<br />

25 km from the city of Almaty in Trans-Ili Alatau gorge.<br />

62


Central <strong>Kazakhstan</strong> has one of the largest lakes in the world - Lake Balkhash, the unique Karkaralinsk<br />

mountain forest oasis. The region has many memorable places, in which archaeological and ethnographic<br />

objects are preserved. <strong>In</strong> Eastern <strong>Kazakhstan</strong> – there are the Altai foothills and wooded areas, the river<br />

Irtysh, the Lakes Zaisan, Markakol, Alakol and Sauskan.<br />

<strong>In</strong> terms of extreme and ecological tourism, there is plenty of opportunity for that. There are many<br />

ecological routes that pass through the national parks, “Altyn-Emel”, “Ile-Alatau”, “Caton Karagai”,<br />

“Burabay”, “Karkaraly”, “Aksu Zhabagly” and others.<br />

Also, to date, in <strong>Kazakhstan</strong> there are many health and leisure resorts (sanatorium "Pine Forest",<br />

"Moiyldy", "Okzhetpes", "<strong>Kazakhstan</strong>", "Rakhmanov Springs", "Mankent", "Saryagash" etc.) offering the<br />

necessary facilities for recreation, treatment and entertainment.<br />

<strong>Kazakhstan</strong> provides virtually all existing types of tourism - educational, entertainment, ethnic, ecological<br />

and others and offers a large number of travel routes.<br />

63


Plans to develop tourism infrastructure<br />

A number of tourism projects are being undertaken in <strong>Kazakhstan</strong> such as the construction of a tourist<br />

and entertainment complex within the SEZ "Burabay" in Akmola region, an international tourist center,<br />

"Jean-Ihle" on the coast of Kapshagai reservoir in Almaty region, an international resort "Kenderli" in<br />

Mangistau region and a ski resort "Kokzhaylau" in Almaty region.<br />

Furthermore, there will be established a tourist cluster along the international transport corridor<br />

“Western Europe - Western China”, which passes through the territory of the five regions of <strong>Kazakhstan</strong> -<br />

(Almaty, Zhambyl, South <strong>Kazakhstan</strong>, Kyzylorda and Aktobe regions).<br />

As part of the development of a competitive tourism industry infrastructure,<br />

the following issues will be worked out:<br />

• Allocation of land by local executive bodies for the construction of<br />

road infrastructure along the transport corridor;<br />

• Creation of engineering and communication infrastructure for the<br />

newly constructed objects of the tourism industry;<br />

• Subsidization of interest rates on loans of investment projects in<br />

the national tourism cluster along the transport corridor “Western<br />

Europe - Western China”.<br />

64


How to Get<br />

to <strong>Kazakhstan</strong><br />

66


How to get a visa<br />

For entry into the territory of the Republic of <strong>Kazakhstan</strong>, one must obtain a visa, unless<br />

otherwise specified in the agreement between the Republic of <strong>Kazakhstan</strong> and the party<br />

or the Government of the Republic of <strong>Kazakhstan</strong>.<br />

To obtain a visa, foreign citizens must apply to the diplomatic mission or the Consulate of the Republic<br />

of <strong>Kazakhstan</strong> in the host country and provide the following documents:<br />

1. A valid passport or other document granting the right to cross the State<br />

border of the Republic of <strong>Kazakhstan</strong>, the passport should not expire earlier<br />

than 6 months aſter the expiry of the visa requested;<br />

2. A copy of the letter of invitation with the number of visa support of the<br />

Ministry of Foreign Affairs of the Republic of <strong>Kazakhstan</strong> (MFA) or the original<br />

of an individual invitation issued by the <strong>In</strong>terior of the Republic of <strong>Kazakhstan</strong><br />

/ visa application;<br />

3. A completed visa application form;<br />

4. Color photo 3.5 * 4. 5 (1 pc.);<br />

5. Receipt of payment of consular fees.<br />

There may be a need to provide other documents determined by the consul on the spot.<br />

Contact details of the diplomatic missions and consulate office of <strong>Kazakhstan</strong> in Your country, you can<br />

see on the disc or visit: www.invest.gov.kz.<br />

68


List of countries, whose<br />

nationals are exempt<br />

from having to produce<br />

invitations and visa<br />

support when making a<br />

single diplomatic, official,<br />

business, private, single<br />

and double tourist visas<br />

of RK<br />

1. Australia<br />

2. Austria<br />

3. Belgium<br />

4. Bulgaria<br />

5. Brazil<br />

6. Hungary<br />

7. Germany<br />

8. Greece<br />

9. Denmark<br />

10. Israel<br />

11. Ireland<br />

12. Iceland<br />

13. Spain<br />

14. Italy<br />

15. Canada<br />

16. Qatar<br />

17. Cyprus<br />

18. Latvia<br />

19. Lithuania<br />

20. Liechtenstein<br />

21. Luxembourg<br />

22. Malaysia<br />

23. Malta<br />

24. Monaco<br />

25. Netherlands<br />

26. New Zealand<br />

27. Norway<br />

28. United Arab<br />

Emirates<br />

29. Oman<br />

30. Poland<br />

31. Portugal<br />

32. Romania<br />

33. Saudi Arabia<br />

34. Singapore<br />

35. Slovakia<br />

36. Slovenia<br />

37. United States of<br />

America<br />

38. U.K.<br />

39. Finland<br />

40. France<br />

41. Croatia<br />

42. Czech Republic<br />

43. Switzerland<br />

44. Sweden<br />

45. Estonia<br />

46. South Korea<br />

47. Japan<br />

48. Hashemite<br />

Kingdom of Jordan<br />

69


List of<br />

countries that have agreements with the Republic of <strong>Kazakhstan</strong><br />

for visa-free mutual visits by type of passport<br />

or providing single entry without visa<br />

№ Country<br />

1.<br />

2.<br />

The Russian<br />

Federation<br />

The Republic of<br />

Belarus<br />

3. The Kyrgyz Republic<br />

4.<br />

5.<br />

6.<br />

7.<br />

8.<br />

9.<br />

The Republic of<br />

Tajikistan<br />

The Republic of<br />

Armenia<br />

The Republic of<br />

Georgia<br />

The Republic of<br />

Moldova<br />

The Republic of<br />

Uzbekistan<br />

The Republic of<br />

Azerbaijan<br />

10. Ukraine<br />

11. Turkmenistan<br />

12.<br />

The Republic of<br />

Hungary<br />

13. The Slovak Republic<br />

14. Romania<br />

15.<br />

The Republic of<br />

Poland<br />

Diplomatic<br />

passport<br />

Without<br />

visa<br />

Without<br />

visa<br />

Without<br />

visa<br />

Without<br />

visa<br />

Without<br />

visa<br />

Without<br />

visa<br />

Without<br />

visa<br />

Without<br />

visa<br />

Without<br />

visa<br />

Without<br />

visa<br />

Without<br />

visa<br />

Without<br />

visa<br />

Without<br />

visa<br />

Without<br />

visa<br />

Without<br />

visa<br />

Official<br />

passport<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

National<br />

passport<br />

Period of<br />

visa-free<br />

stay<br />

Entry into force<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

indefinite 07.06.2002<br />

without<br />

visa<br />

without<br />

visa<br />

Up to 90 days 28.04.2008<br />

without<br />

visa<br />

Up to 90 days 21.06.2007<br />

without<br />

visa<br />

Up to 90 days 05.01.2007<br />

without<br />

visa<br />

indefinite 26.06.2003<br />

without<br />

visa<br />

indefinite 23.04.2010<br />

without<br />

visa<br />

Up to 90 days 27.02.2002<br />

visa Up to 30 days 20.02.2002<br />

without<br />

visa *<br />

Up to 5 days<br />

* to stay in the Balkan<br />

province without visa<br />

for residents of Atyrau<br />

and Mangistau regions<br />

visa Up to 30 days 06.11.1996<br />

visa Up to 90 days 17.04.1998<br />

visa Up to 90 days 22.08.2001<br />

visa visa Up to 30 days 31.07.2008<br />

70


16.<br />

17.<br />

18.<br />

19.<br />

20.<br />

The Republic of<br />

Croatia<br />

The Republic of<br />

Estonia<br />

The French<br />

Republic<br />

The Kingdom of<br />

Spain<br />

The Republic of<br />

Serbia<br />

21. The Italian Republic<br />

22.<br />

23.<br />

24.<br />

25.<br />

26.<br />

27.<br />

The Republic of<br />

Slovenia<br />

The Republic of<br />

Bulgaria<br />

The Federal<br />

Republic of<br />

Germany<br />

The Kingdom of<br />

Denmark<br />

The Republic of<br />

Macedonia<br />

Bosnia and<br />

Herzegovina<br />

28. Mongolia<br />

29.<br />

The Republic of<br />

Turkey<br />

30. Malaysia *<br />

31.<br />

The Republic of<br />

<strong>In</strong>dia<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa*<br />

Up to 90 days<br />

21.05.2009<br />

* From 01.04.2012 to<br />

31.10.2012<br />

(for citizens of the<br />

Republic of Croatia visa<br />

is required)<br />

visa visa Up to 90 days 24.02.2010<br />

visa visa Up to 90 days 01.03.2010<br />

visa visa Up to 90 days 31.08.2010<br />

without<br />

visa<br />

without<br />

visa<br />

Up to 30 days 28.05.2011<br />

visa visa Up to 90 days 07.05.2010<br />

visa visa Up to 90 days 05.06.2010<br />

without<br />

visa<br />

visa Up to 90 days 14.05.2010<br />

visa visa Up to 90 days 26.04.2012<br />

visa visa Up to 90 days 26.11. 2010<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa*<br />

Up to 90 days<br />

10.08.2011<br />

* From 15.03.2012 to<br />

15.03.2013<br />

(for citizens of the<br />

Republic of Macedonia<br />

visa is required)<br />

visa Up to 30 days 05.07.2012<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

Up to 90 days 02.01.1995<br />

Up to 30 days 02.04.1992<br />

Up to 1<br />

month<br />

* for citizens of<br />

Malaysia visa is<br />

required<br />

visa Up to 30 days 04.12.1999<br />

71


32.<br />

33.<br />

34.<br />

35.<br />

36.<br />

37.<br />

38.<br />

The Islamic<br />

Republic of Iran<br />

Chinese People's<br />

Republic<br />

The Islamic<br />

Republic of<br />

Pakistan<br />

The Republic of the<br />

Philippines<br />

The Republic of<br />

Singapore *<br />

The Arab Republic<br />

of Egypt<br />

The Republic of<br />

Korea<br />

39. The State of Israel<br />

40.<br />

41.<br />

42.<br />

43.<br />

44<br />

45<br />

46<br />

The Socialist<br />

Republic of Vietnam<br />

United Arab<br />

Emirates<br />

Hashemite<br />

Kingdom of Jordan<br />

The Republic of<br />

Cuba<br />

The Federative<br />

Republic of Brazil<br />

The Republic of<br />

Lithuania<br />

Special Hong Kong<br />

Administrative<br />

Region of China<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

visa Up to 30 days 24.11.1994<br />

visa Up to 30 days 01.02.1994<br />

visa Up to 30 days 29.09.1995<br />

visa Up to 30 days 28.03.2005<br />

visa<br />

Up to 30 days<br />

01.11.2003<br />

* For Singapore<br />

citizens visa is required<br />

visa visa Up to 30 days 21.05.2008<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

visa Up to 90 days 05.12.2008<br />

visa Up to 90 days 11.05.2010<br />

visa Up to 30 days 11.04.2010<br />

visa visa Up to 90 days 12.04.2011<br />

without<br />

visa<br />

without<br />

visa<br />

without<br />

visa<br />

visa<br />

without<br />

visa<br />

visa Up to 90 days 05.11.2011<br />

visa Up to 30 days 10.01.2005<br />

visa Up to 90 days 08.09.2008<br />

visa<br />

without<br />

visa<br />

47 UN - - -<br />

Up to 90 days<br />

in 6 months<br />

17.05.2012<br />

Up to 14 days 26.07.2012<br />

Up to 30 days<br />

in 180 days<br />

01.05.2011<br />

72


Procedure for visa support:<br />

For visa support of the inviting organization should submit the following documents to the Ministry of<br />

Foreign Affairs:<br />

1. Letter of invitation in the prescribed model;<br />

2. Original payment order or receipt for payment of consular fees and services;<br />

3. For organization, applying to MFA for the first time this year, certified copies of<br />

the current year of the following documents:<br />

• Charter,<br />

• Taxpayer identification number (TIN),<br />

• Certificate of registration in the Ministry of Justice of the Republic of<br />

<strong>Kazakhstan</strong>,<br />

• Original certificate of absence / presence of the debt of the taxpayer,<br />

• License for tourist activity in the case of invitations to tourists.<br />

4. The power of attorney from the organization;<br />

5. Data about the invited person in standard electronic form;<br />

6. <strong>In</strong> the case of the visa category of "investor", the application of the Committee on<br />

<strong><strong>In</strong>vest</strong>ments of the Ministry of <strong>In</strong>dustry and New Technologies of the Republic of<br />

<strong>Kazakhstan</strong>.<br />

A letter of invitation is made in 3 copies; two copies shall be deposited in MFA,<br />

the third - sent to the invited persons.<br />

The incoming applications are processed within 3-5 days and aſter passing the instruction for issuance<br />

of visas to the Overseas Foreign Ministry, MFA informs the number of visa support, which the host<br />

organization must pass to the foreigner to contact the Consulate for a visa of <strong>Kazakhstan</strong>.<br />

Contact Ministry of Foreign Affairs in Astana:<br />

Phone: +7 7172 72 04 70, 72 04 71, Fax: 72 04 60;<br />

Address: 3rd Entrance, Building 28, Kabanbay Batyr St.<br />

Ministry of Foreign Affairs Representative offi ce in Almaty:<br />

Phone: +7 (727) 272 09 39, 272 03 11; Fax: 72 08 43<br />

Address: Building 65, Aiteke Bi St.<br />

73


CATEGORIES OF VISAS FOR INVESTORS<br />

<strong><strong>In</strong>vest</strong>or visa is issued to managers<br />

and management representatives of large<br />

foreign firms and companies engaged in<br />

investing in <strong>Kazakhstan</strong>'s economy, as<br />

well as members of their families. <strong><strong>In</strong>vest</strong>or<br />

visas are issued for single, double,<br />

triple and multiple entry and exit.<br />

Business visa is issued to foreigners<br />

traveling to <strong>Kazakhstan</strong> for business purposes<br />

(business tour, participate in business<br />

negotiations, having strictly business nature,<br />

symposia, conferences, tenders, conclusion<br />

of contracts, participation in exhibitions and<br />

fairs, the implementation of trade, international<br />

transportation, advisory and audit services).<br />

Business visas are issued for single,<br />

double, triple and multiple entry and exit.<br />

74


Work-Permit Visa is issued to foreigners<br />

traveling to <strong>Kazakhstan</strong> for work.<br />

The work permit visa is issued for single,<br />

double, triple and multiple entry and exit.<br />

Private visa is issued to foreigners traveling<br />

to <strong>Kazakhstan</strong> with objectives of a private<br />

nature. Private visas are issued for single,<br />

double, triple entry and exit.<br />

Tourist visa is issued to foreigners<br />

traveling to <strong>Kazakhstan</strong> for the purpose<br />

of tourism. Tourist visas are issued for<br />

single, double and triple entry and exit.<br />

More information about obtaining visas on www.invest.gov.kz<br />

Details about the cost of visas on www.invest.gov.kz<br />

75


REGISTRATION<br />

OF FOREIGN CITIZENS<br />

Upon entering the territory of <strong>Kazakhstan</strong>, the<br />

foreign citizen receives at the border control division<br />

a migration card with a stamp signifying<br />

entry.<br />

Within 5 calendar days from the date of entry, the foreign citizen must apply to the territorial division<br />

of immigration police for registration.<br />

Registration of passports of citizens of 28 economically developed and politically<br />

stable countries is carried out automatically:<br />

• Simultaneously with the issuance of the business, tourist, private, diplomatic<br />

and official visas at Consular Offices abroad in <strong>Kazakhstan</strong>;<br />

• Either directly at the State Border in Border Control Offices.<br />

List of economically developed and politically stable<br />

countries:<br />

1. Australia<br />

2. Austria<br />

3. Belgium<br />

4. Germany<br />

5. Greece<br />

6. Denmark<br />

7. Ireland<br />

8. Iceland<br />

9. Spain<br />

10. Italy<br />

11. New Zealand<br />

12. Canada<br />

13. Liechtenstein<br />

14. Luxembourg<br />

15. Malaysia<br />

16. Monaco<br />

17. Netherlands<br />

18. Norway<br />

19. Portugal<br />

20. Singapore<br />

21. United Kingdom<br />

22. USA<br />

23. Finland<br />

24. France<br />

25. Switzerland<br />

26. Sweden<br />

27. South Korea<br />

28. Japan<br />

76


<strong>In</strong> the above cases, the foreign citizen does not need to register with the immigration police.<br />

Registration of passports of foreign nationals is free and is made up to a period of 3 months.<br />

For delay and (or) the avoidance of registration, administrative responsibility is stipulated in the form<br />

of a fine and (or) expulsion from the Republic of <strong>Kazakhstan</strong> with a ban on re-entry for the next period of<br />

5 years from the date of such removal.<br />

77


A LIST OF HOTELS THAT HAVE REGISTRATION POINTS<br />

A number of hotels in Almaty are authorized to do registration of foreigners.<br />

Name<br />

Hotel "<strong>In</strong>tercontinental Almaty - Ankara in<br />

<strong>Kazakhstan</strong>" *****<br />

Rahat Palace Hotel *****<br />

Hotel “RIXOS ALMATY” *****<br />

JSC Hotel "Dostyk" *****<br />

LLP "Astana <strong>In</strong>terhotel" ****<br />

Hotel "<strong>Kazakhstan</strong>" ****<br />

JSC SC "Otrar" ****<br />

Hotel «A-Club» ***<br />

Hotel "Alma-Ata" ***<br />

Hotel "Zhetysu" ***<br />

Hotel "Kazzhol" ***<br />

Hotel "Uyut" **<br />

Chain of Hotels “Royal Palace” ***<br />

Holiday <strong>In</strong>n Almaty****<br />

LLP "Chagall Management" ***<br />

Chagall's Guest House (Almaty)<br />

E-mail , Web-site:<br />

E-mail: info@interconty-almaty.kz<br />

www.intercontinental.com<br />

info@rahatpalace.com<br />

www.rixos.com<br />

E-mail: info@dostyk.kz<br />

www.dostyk.kz<br />

reception@astana-hotel.com<br />

www.astana-hotel.com<br />

info@ kazakhstanhotel.kz<br />

www.kazakhstanhotel.kz<br />

otrar@mail.group.kz, otrargroup@mail.group.kz<br />

otrar@otrar.kz<br />

www.group.kz<br />

info@a-club.kz<br />

www.A-club.kz<br />

hotel_almaty@mail.ru<br />

www.hotel-almaty.kz<br />

jjoly@asdc.kz<br />

www.zhetysuhotel.kz<br />

hotel-kazzhol@arna.kz<br />

Hotel_uyut@mail.ru<br />

RP_hotel@mail.ru<br />

www.holiday-inn.com<br />

reservation.almaty@chagalagroup.kz<br />

78


How to start a business<br />

in <strong>Kazakhstan</strong><br />

80


Limited<br />

Liability<br />

Partnership (LLP)<br />

Forms of legal entity for foreign business<br />

An LLP is established by one or several persons, whose authorized<br />

capital is divided into shares of certain sizes in accordance with the<br />

constituent documents.<br />

Participants of an LLP are not liable for its obligations and bear the<br />

risk of losses, associated with the activities of the partnership, to the<br />

value of their contributions except in cases stipulated by legislative<br />

acts of RK.<br />

Minimum amount of capital for LLP is equal to 100 MCI 1 (MCI),<br />

which is about 1077 U.S. dollars. For small businesses, the minimum amount of capital is equal to 100<br />

tenge; this is approximately 0.68 U.S. dollars. Full payment of the authorized capital must be made not<br />

later than one year from the date of registration.<br />

A JSC is a legal entity that issues shares in order to raise funds for<br />

its operations.<br />

A JSC has property, separate from the assets of its shareholders, and<br />

is not responsible for their obligations. A JSC is liable for its obligations<br />

to the extent of its property.<br />

A shareholder of a JSC is not liable for its obligations and bears the risk of losses, associated with its<br />

Joint Stock<br />

Company (JSC)<br />

activities within the value of his shares, except in cases stipulated by legislative acts of RK.<br />

A JSC may have one or several shareholders. The minimum amount of capital for a JSC - 50,000 MCI<br />

(approximately 538 794 U.S. dollars)<br />

Branches and<br />

representative<br />

offices<br />

A Branch is a separate division of the legal entity, situated outside<br />

of the entity’s location and performing all or part of its functions,<br />

including functions of representation.<br />

A representative office is a separate division of the legal entity,<br />

situated outside the entity’s location and which protects and<br />

represents the legal entity, carrying out transactions on its behalf, and<br />

other legal actions, except in cases stipulated by legislative acts of<br />

the Republic of <strong>Kazakhstan</strong>.<br />

Branches and representative offices are not legal entities. They are endowed with the property created<br />

by their legal entity and operate on the basis of the regulations approved by the entity.<br />

1<br />

MCI - Monthly Calculation <strong>In</strong>dex. MCI in 2012 is 1618 tenge (10.77 U.S. dollars).<br />

2<br />

Rates of exchange of USD of the National Bank of the Republic of <strong>Kazakhstan</strong> as on September 27, 2012<br />

82


REGISTRATION OF ENTERPRISES<br />

To register a legal entity in the registration authority (Ministry of Justice and its territorial<br />

units), it is necessary to submit certain documents.<br />

List of documents required for registration<br />

• Statement in the prescribed form, signed by the<br />

founder or the person authorized by the founder;<br />

• • List of statutory and other documents in<br />

Kazakh and Russian languages bound together,<br />

and numbered in triplicate;<br />

• • Copies of identity documents of the director<br />

and the founder of the legal entity, their proof of<br />

taxpayer status.<br />

If the founder of a legal entity is another legal entity,<br />

the following must be provided:<br />

• A certificate of the tax authority about absence (presence)<br />

of the tax arrears of the founder/legal entity to the<br />

budget of the Republic of <strong>Kazakhstan</strong>;<br />

• Notarized copy of Certificate of State Registration (reregistration);<br />

• Notarized copy of the statistical card (if applicable);<br />

• Notarized copy of proof of status as taxpayer.<br />

83


Registration of legal entities with foreign participation shall be carried out in accordance<br />

with the procedures established for registration of legal entities of RK. <strong>In</strong> addition,<br />

the following documents should be submitted:<br />

• Legalized extract from the trade register or other legalized document certifying that the founder<br />

company - a foreign legal person is a legal entity under the laws of the foreign country, with a<br />

notarized translation into Kazakh and Russian languages;<br />

• A copy of passport or other identity document of the founder - a foreign person, with a notarized<br />

translation into Kazakh and Russian languages.<br />

• A document certifying the location of the legal entity,<br />

• Receipt or a document confirming the payment of the fee for State Registration of legal entities<br />

and registration of branches and representative offices.<br />

To open a branch or representative offices of foreign legal entity, it is mandatory to<br />

submit:<br />

• An application for registration;<br />

• A statute of the branch (representative office), approved by the authority of the legal entity;<br />

• Power of Attorney issued by the authority of the legal entity to the head of a branch or representative<br />

office, with a notarized translation into Kazakh and Russian languages;<br />

• The decision of the legal entity to establish a branch (representative office) with a notarized<br />

translation into Kazakh and Russian languages;<br />

• A Legalized extract from the trade register or other legalized document certifying that the subject<br />

of opening the branch (representative office) in the Republic of <strong>Kazakhstan</strong>, is a legal entity under<br />

the laws of their country, with a notarized translation into Kazakh and Russian languages;<br />

• A legalized document certifying the tax registration of foreign legal entity in the country of incorporation,<br />

with a notarized translation into Kazakh and Russian languages;<br />

• A legalized copy of the Charter of a foreign entity, with a notarized translation into Kazakh and<br />

Russian languages;<br />

• A copy of constituent documents of a legal entity with a notarized translation into Kazakh and<br />

Russian languages;<br />

• A proof of address;<br />

• A Receipt or a document confirming the payment of the fee for state registration of legal entity and<br />

registration of branches and representative offices.<br />

84


Time-limits for registration:<br />

• For the entities of small businesses<br />

• For the entities of medium and large businesses Not later than one working day<br />

operating on the basis of a standard Charter<br />

following the date of filing the<br />

• And the registration of their branches and representative necessary documents<br />

offices<br />

• State Re-registration of small businesses and entities of<br />

Not later than three working days<br />

medium and large businesses that operate on the basis<br />

following the date of filing the<br />

of standard charter<br />

necessary documents.<br />

• Registration of their branches and representative offices<br />

• State Registration (re-registration) of the entities of<br />

medium and large businesses that operate on the basis<br />

of a non standard statute.<br />

• Registration (re-) of their branches and representative<br />

offices<br />

Not later than 7 working days<br />

following the date of filing the<br />

necessary documents.<br />

85


Date of issue of documents for registration<br />

• For the subjects of small businesses<br />

At a time, not later than 5 working<br />

• For the subjects of medium and large businesses operating<br />

on the basis of a model statute<br />

days from the date of filing the<br />

necessary documents<br />

• Registration of their branches and representative offices<br />

• For the entities of medium and large businesses that operate<br />

on the basis of the statute which is not typical, and<br />

their branches and representative offices<br />

Not later than 11 working days<br />

from the date of filing the necessary<br />

documents<br />

Upon receipt of the State Registration, the organization:<br />

• Receives: Certificate of State Registration, Statistical Card and a Certificate of Registration with<br />

the Tax Authority;<br />

• Can print and open a bank account.<br />

<strong><strong>In</strong>vest</strong>ors are entitled to open accounts in the banks of the Republic of <strong>Kazakhstan</strong> in national<br />

currency and (or) foreign currency in accordance with banking and currency legislation of the Republic<br />

of <strong>Kazakhstan</strong>. Branches and representative offices shall have the right to operate in overseas accounts.<br />

An enterprise, registered in the territory of another State, shall not be prohibited from doing business in<br />

<strong>Kazakhstan</strong>, for this, it is necessary to be on the tax records at the place of work, permanent establishment<br />

or property.<br />

86<br />

Contact the Ministry of Justice of the Republic of <strong>Kazakhstan</strong>:<br />

13 th Entrance, House of Ministries, 8, Orynbor St., Astana<br />

Offi ce Phone: +7 7172 740737,<br />

Phone: +7 7172 740954


OBTAINING A LICENSE<br />

Particular kinds of activities in <strong>Kazakhstan</strong> require a license. Licensing is required for certain kinds of<br />

activities in the following areas:<br />

1. <strong>In</strong>dustry;<br />

2. Use of nuclear energy;<br />

3. Turnover of toxic substances;<br />

4. Transport;<br />

5. Trafficking in narcotic drugs, psychotropic substances and precursors;<br />

6. <strong>In</strong>formation security;<br />

7. Special equipment for search operations;<br />

8. Trafficking of arms, military equipment and certain types of weapons, explosives<br />

and their use;<br />

9. Use of outer space;<br />

10. <strong>In</strong>formation and communication;<br />

11. Education;<br />

12. The Media;<br />

13. Agriculture and forestry, geodesy and cartography;<br />

14. Healthcare;<br />

15. Maintenance of natural and legal persons;<br />

16. Gambling business;<br />

17. Veterinary science;<br />

18. Forensics;<br />

19. Culture;<br />

20. Financial sector and activities related to the concentration of financial resources;<br />

21. Architecture, urban planning and construction;<br />

22. Production of the State Symbols of the Republic of <strong>Kazakhstan</strong>;<br />

23. Customs;<br />

24. Production and turnover of ethyl alcohol and alcoholic beverages and tobacco<br />

products;<br />

25. Activities related to the use of currency values;<br />

26. Export and import of goods.<br />

More information about the procedure and time limits of the issuance of licenses<br />

on www.invest.gov.kz<br />

87


CONDITIONS OF EMPLOYMENT OF FOREIGNERS<br />

Before entering into an employment agreement with a foreign national, the employer must obtain a<br />

work permit for him in the City Council office (the local executive body) 1 .<br />

Permission is not required for:<br />

• Heads of Branches and Representative Offices of Foreign Organizations;<br />

• Employers, attracting foreign workers as the first directors of legal entities of the Republic of <strong>Kazakhstan</strong>,<br />

in the authorized capital of which, the share of foreign legal entities and individuals is at<br />

least 50%, the members of the board of directors of joint stock companies of the Republic of <strong>Kazakhstan</strong>,<br />

in which at least 50% shares are owned by the State or foreign legal entities or individuals;<br />

• Persons, who stay on a short business tour, provided that the total duration of such tours during the<br />

year does not exceed 60 calendar days.<br />

Every year the Government sets a quota for issuing work permits to foreign nationals. <strong>In</strong> 2012, the quota is<br />

1% of the economically active population. Employers should seek quotas for work permits for the following<br />

year until 1 September this year.<br />

More information about hiring of foreign labor www.invest.gov.kz<br />

Contact the Ministry of Labor and Social Protection of the Republic of <strong>Kazakhstan</strong>:<br />

6th Entrance, House of Ministries, 2, Orynbor St., Astana<br />

Reception: + 7 7172 742851<br />

Phone: + 7 7172 743603, 743604<br />

Е-mail: mintrud@enbek.kz<br />

2<br />

<strong>In</strong> accordance with the decision of the Government of RK № 836 dated 19 June 2001.<br />

88


Distribution of quotas among the regions, cities<br />

of Astana and Almaty in 2012<br />

West<br />

<strong>Kazakhstan</strong> reg<br />

1584<br />

Atyrau reg.<br />

13245<br />

Aktobe reg.<br />

1200<br />

Kostanay reg<br />

201<br />

North<br />

<strong>Kazakhstan</strong> reg.<br />

30<br />

Akmola reg.<br />

24<br />

ASTANA<br />

6368<br />

Karaganda reg.<br />

1035<br />

Pavlodar reg.<br />

619<br />

East<br />

<strong>Kazakhstan</strong> reg.<br />

1114<br />

Mangistau reg.<br />

5000<br />

Kyzylorda reg.<br />

994<br />

South<br />

<strong>Kazakhstan</strong> reg.<br />

4315<br />

Zhambul reg.<br />

2132<br />

Almaty reg.<br />

4214<br />

ALMATY<br />

6060<br />

0 500 1500 5000 14000<br />

89


CUSTOMS TARIFFS<br />

CUSTOMS<br />

UNION (CU)<br />

A single customs territory operated on the territory of <strong>Kazakhstan</strong>, Russia and Belarus.<br />

When importing goods and vehicles into the customs territory of <strong>Kazakhstan</strong>, the following are<br />

levied:<br />

• Customs duties;<br />

• Customs fees for customs clearance at € 50 for the basic list of cargo customs declarations and<br />

€ 20 for each additional list of the cargo customs declaration;<br />

• Value Added Tax of 12% on taxable imports (Rate of the taxable imports includes customs value<br />

of goods and the amount of taxes and other obligatory payments to the budget for imports of<br />

goods, excluding VAT;<br />

• Excise duty for certain types of goods.<br />

According to the Common Customs Tariff of CU, the import duties vary from 0% to 80%.<br />

Uniform Customs Code of CU establishes different types of customs regimes, some of which provide<br />

full or partial exemption from customs duties<br />

90


Limit according to the weight and cost<br />

of goods for personal use<br />

Without mandatory customs declaration and payment of customs duties, it is allowed to import<br />

goods worth not more than € 1500 and a total weight up to 50 kg per person. If this limit is<br />

exceeded, a fee shall be payable at a rate of 30% of the value of the goods, but not less than € 4<br />

per kilogram in excess of.<br />

Rates of export customs duties are approved by the Government of the Republic of <strong>Kazakhstan</strong><br />

on 7 June 2010 № 520 and range from 10 to 30% with the exception of certain goods.<br />

Import/export of currency, securities,<br />

promissory notes, cheques:<br />

Within the customs territory of CU – shall be implemented without restrictions and customs<br />

declaration.<br />

From the third countries / into the territory of third countries in an amount, exceeding the<br />

equivalent of 10,000 USD shall be subject to customs declaration, in writing, by a passenger<br />

customs declaration for the entire amount of imported or exported securities.<br />

91


TAX SYSTEM<br />

Registration:<br />

• Structural unit of a non-resident legal entity is made on the basis of information of national<br />

registers of identification numbers, that is, automatically upon registration with the Judicial<br />

authorities;<br />

• Non-resident legal entity carrying out activities in the Republic of <strong>Kazakhstan</strong> through a permanent<br />

establishment without opening a branch or a representative office - in the tax authorities at the<br />

place of the permanent establishment.<br />

Residents are taxed on income received both in the Republic of <strong>Kazakhstan</strong> as well as from abroad.<br />

Non-residents are taxed only in respect of income from <strong>Kazakhstan</strong> sources, regardless of place of<br />

payment.<br />

Foreign natural persons shall be considered residents, if they are in the country for at least 183 days<br />

in any consecutive twelve month period ending in the current tax period. An individual is considered as<br />

non-resident for the period following the last day of stay in <strong>Kazakhstan</strong>, if the person does not become a<br />

resident in the year following the year, in which that person ends up staying in <strong>Kazakhstan</strong>.<br />

<strong>In</strong> the conventions for avoidance of double taxation, different rules for determining residency can be<br />

specified.<br />

Foreign individuals must register with the <strong>Kazakhstan</strong> Tax Authorities in the following cases:<br />

1. When opening accounts in banks that are tax residents of <strong>Kazakhstan</strong><br />

2. When receiving income from <strong>Kazakhstan</strong> sources that are not taxed at the source in <strong>Kazakhstan</strong><br />

3. When they acquire tax resident status<br />

• The place of tax registration is usually a residence address specified in the migration card of<br />

foreign citizens.<br />

92


CONVENTION FOR AVOIDANCE OF DOUBLE TAXATION CONCLUDED<br />

BETWEEN THE REPUBLIC OF KAZAKHSTAN AND OTHER STATES<br />

1. Austria<br />

2. Azerbaijan<br />

3. Armenia<br />

4. Belarus<br />

5. Belgium<br />

6. Bulgaria<br />

7. United Kingdom<br />

8. Hungary<br />

9. Germany<br />

10. Georgia<br />

11. <strong>In</strong>dia<br />

12. Iran<br />

13. Spain<br />

14. Italy<br />

15. Canada<br />

MAJOR TAXES<br />

16. China<br />

17. Kyrgyzstan<br />

18. Latvia<br />

19. Lithuania<br />

20. Malaysia<br />

21. Moldova<br />

22. Mongolia<br />

23. Netherlands<br />

24. Norway<br />

25. Pakistan<br />

26. Poland<br />

27. Russia<br />

28. Romania<br />

29. Saudi Arabia *<br />

30. Singapore<br />

Entrepreneurial activity is subject to the following taxes<br />

and duties:<br />

1. Corporate <strong>In</strong>come Tax (CIT);<br />

2. <strong>In</strong>dividual <strong>In</strong>come Tax (IIT);<br />

3. Tax withheld from income of the non-residents of RK;<br />

4. Mineral Extraction Tax (MET);<br />

31. Slovakia<br />

32. USA<br />

33. Tajikistan<br />

34. Turkmenistan<br />

35. Turkey<br />

36. Uzbekistan<br />

37. Ukraine<br />

38. France<br />

39. Finland<br />

40. Czech Republic<br />

41. Switzerland<br />

42. Sweden<br />

43. Estonia<br />

44. South Korea<br />

45. Japan<br />

* The Convention is not ratifi ed<br />

5. Value Added Tax (VAT);<br />

6. Land tax;<br />

7. Property tax;<br />

8. Tax on Vehicles of Legal Entities;<br />

9. Pension Contributions;<br />

10. Social Security Contributions<br />

Contact the Tax Committee of the Ministry of Finance of the Republic of <strong>Kazakhstan</strong>:<br />

11, Pobeda Avenue, Astana<br />

Phone: +7 7172 718002, Call Centre: +7 7172 580909<br />

Е-mail: info@mgd.kz, Website: www.salyk.kz<br />

93


PRINCIPAL CONTACTS<br />

FOR INVESTORS<br />

The Committee on <strong><strong>In</strong>vest</strong>ments of the Ministry of <strong>In</strong>dustry and New Technologies<br />

• Develop an <strong>In</strong>ternational Legal Framework<br />

for the promotion and reciprocal protection<br />

of <strong><strong>In</strong>vest</strong>ments;<br />

• Provide State Support for <strong><strong>In</strong>vest</strong>ments<br />

• Conclude Contracts for the provision of<br />

<strong><strong>In</strong>vest</strong>ment Preferences under the Law "On<br />

<strong><strong>In</strong>vest</strong>ments";<br />

• Monitor compliance with the terms and<br />

conditions of contracts for the provision of<br />

<strong><strong>In</strong>vest</strong>ment Preferences;<br />

• Support the activities of the Foreign<br />

<strong><strong>In</strong>vest</strong>ors’ Council chaired by the President<br />

of the Republic of <strong>Kazakhstan</strong>;<br />

• Perform other functions in the field of<br />

Public <strong><strong>In</strong>vest</strong>ment Policies.<br />

Contacts:<br />

47, “Transport Tower” Building,<br />

Kabanbay Batyr Ave., Astana<br />

Phone: +7 7172 241540, Fax: +7 7172 242124,<br />

E-mail: info@cominvest.kz<br />

94


We help:<br />

• Foreign investors<br />

• <strong>Kazakhstan</strong> <strong>In</strong>itiators of<br />

<strong><strong>In</strong>vest</strong>ment Projects<br />

• Buyers of Kazakh<br />

Products<br />

• Existing and Potential<br />

Exporters<br />

National agency for export and investment<br />

«KAZNEX INVEST»<br />

We organize and conduct:<br />

• <strong>In</strong> conjunction with the<br />

Ministry of <strong>In</strong>dustry<br />

and New Technologies,<br />

<strong>In</strong>ternational Business<br />

Forum with the<br />

participation of Heads<br />

of the State and the<br />

Government<br />

• Meeting of Foreign<br />

<strong><strong>In</strong>vest</strong>ors with the<br />

representatives,<br />

Government Agencies<br />

WE PROVIDE SERVICES AT NO COST.<br />

We counsel:<br />

• Foreign <strong><strong>In</strong>vest</strong>ors on<br />

business-related issued<br />

in <strong>Kazakhstan</strong> at all<br />

stages of the <strong><strong>In</strong>vest</strong>ment<br />

Project<br />

Contacts:<br />

Head Office:<br />

25, Business Centre “Ansar”, 1st Floor, Syganak St., Astana<br />

Phone: +7 7172 79 93 93,<br />

Fax: +7 7172 79 93 92.<br />

"Direct Line" on Customer Services:<br />

For investments:<br />

Phone: +7 7172 79 93 93 (<strong>In</strong>ternal 1070, 1042),<br />

E-mail: request@kaznexinvest.kz,<br />

For Exports:<br />

Phone: +7 7172 79 93 93 (<strong>In</strong>ternal 1010),<br />

E-mail: export@kaznexinvest.kz<br />

Representative Office in Almaty:<br />

Room No. 502, 505, 4th Floor, 111, Gogol St., Almaty.<br />

Phone: +7 7272 59 06 90<br />

Fax: + 7 7272 58 21 51<br />

Representative Office in Beijing (China):<br />

Room No. 2104, “Full Tower” Building, East Third Ring, Chaoyang<br />

District, Beijing, 100037<br />

Phone/Fax: +86(10) 85910677<br />

Details about all available services on the corporate website<br />

www.kaznexinvest.kz<br />

95


Contents of CD-ROM<br />

1. The legislation of the Republic of <strong>Kazakhstan</strong> regulating the investment activities<br />

2. Useful addresses: Ministries and Departments, local councils of districts and cities, national<br />

companies, special economic zones (SEZ), industrial parks, corporate social entrepreneurship<br />

(CSE), the Embassies of the Republic of <strong>Kazakhstan</strong> overseas, etc.<br />

3. "Niche" Projects in <strong>Kazakhstan</strong><br />

96


The Committee on <strong><strong>In</strong>vest</strong>ments of the Ministry of<br />

<strong>In</strong>dustry and New Technologies of the Republic of <strong>Kazakhstan</strong>

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