By the end of 2021, growth was ensured in all sectors of the economy of the Almaty region. This was announced by Akim of Almaty region Kanat Bozumbayev during the extended meeting of the Government with the participation of the Head of State.

“The volume of industrial production increased by 11.8%, trade — by 22.2%, gross agricultural output exceeded one trillion tenge and amounted to 101.3%. More than one million square meters of housing has been put into operation, 728 billion tenge of investments have been attracted to the regional economy,” said Bozumbayev.

This year, the dynamics of economic growth will be preserved.

“In accordance with your instructions, restoration work is being actively carried out in the regional center. Four objects of state bodies have been repaired. The buildings of the regional akimat, the police department and the Nur Otan party are being renovated. Compensation was paid to the families of the dead employees of law enforcement agencies in the amount of 5 million tenge each. The second-tier banks have written off the loans of the victims and their relatives, and four needy families are getting housing. 135 injured police officers and military personnel are paid up to 2 million tenge. Work has begun to compensate for the damage caused to 147 small and medium-sized businesses, the total amount of which amounted to about 4 billion tenge,” said the regional akim.

After the events that took place, the reasons for the protest mood of certain segments of the population were analyzed. The main problem is the low income level of the population. In the region, 53,000 young people do not have secondary specialized or higher education, of which 21,000 do not work or study.

Thus, the share of the population with incomes below the subsistence level increased from 2.3% in 2015 to 4% in 2020. The number of self-employed increased by 10% from 248 thousand to 272 thousand people.

According to the akim, another sore point is the constant rise in food prices. At present, monitoring groups have been set up in the regional center and in all districts for daily price control.

“5.7 billion tenge was allocated from the regional budget, including 1.1 billion for the purchase of goods for the stabilization fund and 4.6 billion for concessional lending, mainly aimed at lending to commodity producers. They signed contracts for the supply of 5,800 tons of products, the stabilization fund has a stock of food products in the amount of 1,320 tons. In addition, another 2 billion tenge will be allocated in the near future. In general, the issues of prices and tariffs for utility services are under constant control,” said the akim of the Almaty region.

In addition, in order to reduce regional disparities and increase the income of the population, priority areas for development have been identified and an Action Plan has been developed. An investment portfolio of the region has been formed until 2025, which includes 289 projects for a total of 2.8 trillion tenge and with the creation of 19 thousand jobs.

“For the even development of the districts, a pool of projects in the Taldykorgan region was selected from 94 projects for a total of 1.1 trillion tenge, 6,200 jobs will be created and training will be organized,” the akim of the region informed.

In order to ensure food security, measures are planned to saturate the domestic market.

Thus, in order to switch to year-round production of vegetables, 10 large greenhouse farms on 45 hectares will be introduced by 2026, their total production capacity will be 25,000 tons. This will double the gross output of vegetables and create more than 500 jobs. The region has a competitive advantage in the production of poultry meat and occupies 32% of the market of the republic. As part of the import substitution task, it is planned to build two and expand one poultry farm with a total capacity of 76 thousand tons per year with an investment of 85 billion tenge, more than 1,100 jobs will be created.

“In parallel with traditional industries, emphasis will be placed on the extraction and processing of mineral raw materials. It is planned to implement large investment projects, for example, the extraction of tungsten ore at the Boguty deposit of Zhetisu Volframy LLP with a capacity of 3.3 million tons of ore with an investment of 94 billion tenge and the creation of 400 jobs,” said Bozumbayev.

Another important project is the construction of a mining and processing plant of Koksay Muzbel LLP with a processing capacity of 25 million tons of copper ore with an investment of 650 billion tenge for 1,200 jobs.

But in view of the fact that the project, under the current tax regime and high sensitivity to copper prices, is low-margin, it is proposed to consider the possibility of classifying the Koksay deposit as a low-margin deposit and establishing an appropriate tax rate on mineral extraction.

“The transit potential will be used to the maximum with the involvement of major international players in the transport and logistics sector. It is planned to implement large-scale projects aimed at transshipment, storage and warehousing of goods both in export and import directions. For example, the construction of a transshipment terminal at the Dostyk station of the DAR RAIL Infrastructure company worth 25 billion tenge and with the creation of 150 jobs. The project provides for the transshipment, storage and warehousing of up to 9 million tons of cargo and 300 thousand containers per year, following through the Kazakh-Chinese border,” Bozumbayev explained.

According to the akim, Zhetysu is distinguished by rich natural, recreational, historical and cultural resources. With the right approach, the tourism industry can be turned into a full-fledged driver of the economy. The priority is the development of the Almaty mountain cluster, the coast of lakes Alakol and Balkhash, ecological tourism in national natural parks.

“Within the framework of the Almaty mountain cluster, it is planned to implement 8 projects for a total amount of 546 billion tenge and create more than 6 thousand jobs. By 2025, the share of tourism in the gross regional product will increase to 6%. In general, as a result of the full implementation of the investment program of the region by 2025, the annual growth of GRP is expected to be at least 5%, 35,000 permanent jobs will be created at large enterprises and 75,000 jobs in the field of SMEs,” said Bozumbayev.

Along with the development of the economy, there are problems of providing social and engineering infrastructure in the region, the solution of which would contribute to the removal of social tension among the population. Without the support of the Government in the region, it will be difficult to solve these issues on our own.

First of all, the elimination of three-shift training. Currently, there are 54 three-shift schools in the region.

Due to the high birth rate and internal migration, the number of students is growing by about 20 thousand annually, which leads to the emergence of new three-shift schools.

In this regard, by 2025 it is necessary to build 115 schools, of which 83 are funded by the state budget.

Second. Until 2025, it is planned to restore 114 thousand hectares of irrigated land in the region through reconstruction and overhaul for a total of 153.4 billion tenge. This will increase the gross harvest from irrigated lands by 35% and create about 9.5 thousand jobs.

Third. In the region, 91.5% of settlements are provided with centralized water supply. However, despite the high rate, most of the water supply facilities and networks are worn out, in 234 villages the reconstruction of water supply systems is required.

Fourth. In the region, 164 settlements or 35% of those subject to gasification were gasified, 1.3 million people (61%) received access to gas. To fully load the main gas pipeline "Almaty-Taldykorgan" it is necessary to build gas distribution networks in the adjacent settlements.

The installation of networks at the expense of the budget will help reduce the cost of connecting to gas.

Fifth. In 690 summer cottages, which have become permanent residences for 214 thousand people, it is necessary to build engineering and social infrastructure. Or resettlement is needed using private and public investments for the construction of new housing and infrastructure in the Talgar, Ili, Enbekshikazakh and Karasay regions.

“We are preparing an Action Plan on this issue and ask the Government to get involved. I ask for your support in working out the above issues together with the Government and allocating the necessary funds from the republican budget for co-financing,” Bozumbayev concluded.

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