Comprehensive plan for socio-economic development of North Kazakhstan until 2025 to increase growth rates of region's economy and ensure improvement in quality of life of the population

At the government session chaired by Prime Minister Askar Mamin, the Comprehensive Social and Economic Development Plan for North Kazakhstan region until 2025 was considered. Minister of National Economy Aset Irgaliyev, Minister of Industry and Infrastructure Development Beibut Atamkulov, Minister of Agriculture Saparkhan Omarov, Minister of Trade and Integration Bakhyt Sultanov, Minister of Labor and Social Protection of the Population Serik Shapkenov, Minister of Healthcare Alexey Tsoy, Minister of Education and Science Askhat Aimagambetov, Akim of the North Kazakhstan region Kumar Aksakalov presented their reports.

According to the minister of national economy, the ministry, together with government agencies and organizations, carried out work on a careful selection of projects with a high potential of direct and indirect multiplier effects on the socio-economic development of the region and the creation of permanent jobs.

The comprehensive plan consists of 4 directions and 87 measures providing for the implementation of investment projects, the development of housing and other infrastructure, the social sphere, as well as ensuring public law and order and civil protection.

“The total amount of the Plan's implementation is 1.8 trillion tenge, including from the Republican Budget — 517.9 billion tenge, local budgets — 43.9 billion tenge, private investments — 1.3 trillion tenge. The plan provides for the implementation of 64 investment projects worth 1.4 trillion tenge, which are aimed at the development of the agro-industrial complex, industry, transport and logistics, tourism and sports, as well as entrepreneurial activity in the region,” the minister of national economy informed.

Along with this, the agro-industrial complex will build 52 dairy farms, 3 feed yards, 2 poultry farms, a feed mill, a greenhouse complex, etc.

The industry provides for the localization of production of agricultural machinery CLAAS, the service center JOHN DEERE, the development of deposits of tungsten-molybdenum ores Aksoran and Bayan, as well as the construction of a mining and metallurgical plant and new production sites of the READY-BUILT FACTORY type.

“To provide warehouse and retail space, a trade and Kyzylzhar logistics hub will be created. To develop business activity with the country's administrative centers, the number of flights will increase from 16 to 68 per month,” the head of the department said.

In order to enhance the tourist potential and develop sports in the region, the construction of a multifunctional tourist complex in the Imantau-Shalkar resort area will be provided, which will increase the flow of tourists from 100 thousand to 280 thousand per year.

In addition, a sports center with a hotel covering up to 100 people per day will be built, as well as a multifunctional Sports Palace for 3 thousand seats in the city of Petropavlovsk.

According to Irgaliyev, for the development of entrepreneurship within the framework of the Business Road Map - 2025 program, it is planned to subsidize the interest rate and guarantee loans to entrepreneurs, provide state grants for the implementation of new business ideas, as well as bring the necessary infrastructure to business entities.

In order to improve the quality and improve living conditions of the population, projects for the development of housing, engineering, communications and digital infrastructure will be implemented.

Within the framework of the Aul-El Besigi project, roads, hospitals, medical outpatient clinics, schools, kindergartens, houses of culture and others will be built and repaired in accordance with the new regional standards in all 307 support and satellite villages.

In cities and villages, the reconstruction of water supply and sewerage systems with a length of 412 km will be carried out, which will ensure 100% access to high-quality drinking water.

It is also planned to build and commission 2.3 million square meters of housing or 21.7 thousand apartments.

“All cities, support and satellite villages of the region will be provided with broadband Internet access. The repair and reconstruction of about 2,100 km of roads will be carried out, which will allow to bring the share of roads in good and satisfactory condition to 98% by 2025,” the head of the department assured.

To increase the availability and quality of services in healthcare and education systems, the creation of modern infrastructure is envisaged. A regional multidisciplinary hospital will be built, as well as 47 medical facilities in regional centers, support and satellite rural settlements.

In order to eliminate 3 shift and emergency schools, 16 schools will be built. It is also planned to build a correctional school — a boarding school for children with special educational needs for 400 places.

Along with this, universities will be created based on the experience of Nazarbayev University and the Center for Academic Excellence.

Also, in order to improve the living conditions of cadets and improve the quality of officer training, it is planned to build buildings and structures of the Military Institute of the National Guard.

Within the framework of the project "With a diploma - to the village!" about 300 specialists of the social sphere will be attracted to rural settlements annually.

To popularize the history of the region, it is planned to comprehensively study archaeological monuments and objects of historical and cultural significance.

According to the minister of national economy, the implementation of the Comprehensive Plan will ensure the creation of 26 thousand new jobs (including 16 thousand permanent) by 2025, attracting about 1.3 trillion private investments, the volume of the manufacturing industry will grow by 25% and agricultural production by 54%.

“The real income of the population and labor productivity will increase by 30%. As a result of achieving the target indicators, the real growth of GRP will increase to 5.2% in 2025,” Irgaliyev said.

In general, the implementation of the Comprehensive Plan will increase the growth rates of the region's economy and ensure an increase in the quality of life and well-being of the population.

"The formation of new points of attraction for economic activity will give impetus to the inflow of private investment, ensuring the creation of productive jobs and the comprehensive development of the region," added the minister.

By 2025, 20 projects in manufacturing industry planned to be launched in the region

As the Minister of Industry and Infrastructure Development Beibut Atamkulov said, as part of the Comprehensive Plan for Social and Economic Development of the North Kazakhstan Region for 2021-2025, the ministry is involved in the implementation of 36 events in the supervised industries.

In the field of industry in the North Kazakhstan region, according to the Comprehensive Plan until 2025, it is planned to introduce 20 projects in the manufacturing industry for a total amount of 376.5 billion tenge. with the creation of 4,500 jobs.

"Already this year, it is planned to launch 8 projects with an investment volume of 28.9 billion tenge with the creation of about 1,000 jobs," Atamkulov said.

At the same time, regional specialization is expanding in the region. Due to the projects being implemented, an impetus was given to the development of the woodworking, pharmaceutical, paper and furniture industries. The region has already launched projects for the production of film faced plywood and veneer.

This year the project of Sapa Invest Plus LLP for the production of particle board furniture is being introduced. LLP Holding Orkendeu is implementing a project for the production of paper and cardboard. LLP Medexport-Severnaya Zvezda plans to produce medicines.

“The region also has the only company in Kazakhstan, Cool Infinity LLP, which produces isothermal cars. A large-scale reconstruction is planned at the enterprise this year. The number of cars produced will grow 4 times from 300 to 1,400 units per year. Most of the products will be exported to Russia and the CIS countries,” Atamkulov informed.

In addition, on the territory of the FEZ, the domestic investor Alageum Electric JSC is completing the construction of the 4th transformer plant and the 1st in the North Kazakhstan region. The products of this company are export-oriented.

The construction of new production sites on the basis of idle facilities on the basis of the READY-BUILT FACTORY principle will ensure the launch of 4 projects worth 21.6 billion tenge with the creation of 450 jobs. The annual production volume of projects upon reaching full capacity will be 25.5 billion tenge.

Also this year, it is planned to launch a project for the assembly of agricultural equipment with an annual production of 300 units of equipment worth 30 billion tenge.

According to Atamkulov, the implementation of the project will increase the rate of renewal of agricultural machinery in the region. Last year, the equipment was updated by 4.2%. With the launch of the new plant, it is planned to increase this figure to 6% per year.

“The high-tech projects being implemented will allow to preserve and create high-quality, permanent jobs for young people and in general for the population of the northern region, as well as further reduce the migration outflow of the region's population,” said the minister.

In road industry, by 2025, within the framework of the Comprehensive Plan, about 2,100 km of local roads will be repaired and reconstructed. Due to the performed repairs, up to 98% of local roads in the region will be brought to good and satisfactory condition.

According to Atamkulov, the measures taken will allow to repair roads in more than 350 rural settlements, as well as to avoid the threats of the flood season (installation of culverts and construction of bridges).

“In order to develop domestic tourism, we have planned the construction and repair of highways and access roads in the Imantau-Shalkar resort area. In the field of civil aviation, we plan to increase the passenger traffic in the North Kazakhstan region to 40,800 people per year. In order to stimulate the development of business activity in the region, the number of subsidized flights will be increased from 16 to 68 per month. These measures will make it possible to bring the activities of the airport to a break-even point, as well as to ensure communication of citizens with the business and administrative centers of the country,” Atamkulov said.

Within the framework of the Nurly Zher state program, it is planned to build 2.3 million square meters or 21.7 thousand dwellings in the North Kazakhstan region by 2025, of which more than 10 thousand families will be provided with social housing at the expense of state funds.

Also, water supply and sewerage networks with a length of 412 km will be built and reconstructed.

As a result, the population's access to water supply services will be 100%. In general, 2,156 jobs will be created in these areas, including 1,416 temporary and 740 permanent jobs.

Comprehensive plan to increase labor productivity by 2.5 times and create 1.6 thousand jobs in agro-industrial complex

According to the Minister of Agriculture Saparkhan Omarov, the North Kazakhstan region has great potential for the development of the agro-industrial complex.

"Thanks to the measures provided for in the State Program for the Development of the Agro-Industrial Complex and the Comprehensive Development Plan for the North Kazakhstan region until 2021, last year was characterized by positive results for the region," the minister of agriculture said.

As part of diversification in crop production, over the past three years, the area of ​​oilseeds has increased 1.3 times and amounted to 922.6 thousand hectares last year. As part of the task of updating the machine and tractor fleet, 2,085 units of agricultural machinery were purchased in 2020, which is 33.6% more than in 2018.

In animal husbandry, over three years, 12 new dairy complexes with a capacity of 36 thousand tons of milk and 3 feedlots were put into operation.

Meanwhile, the modernization of the Taiynshi meat processing plant has been carried out, and an ecosystem for the production and processing of grain is being created with the anchor enterprise LLP BioOperations.

“As a result, the gross agricultural output of the region last year amounted to 779 billion tenge. This is the second place among the regions in the total republican volume of gross output, and the region takes the first place in terms of investments in agriculture,” Omarov noted.

The new draft of the Comprehensive Development Plan of the North Kazakhstan Region until 2025 for the development of the agro-industrial complex provides for 17 events, including 10 events — these are large investment projects.

So, in the next five years, it is planned to build 52 dairy farms with a total capacity of 29.8 thousand heads, 3 feedlots, 2 poultry farms, a feed mill, a greenhouse complex, an oil press and oil extraction plants, as well as a plant for the production of semi-finished products. At the same time, it is planned to expand the pig breeding complex and the dairy plant.

According to Saparkhan Omarov, these projects are supposed to be financed through lending through the SEC Soltustik and by attracting private investment.

At the same time, the proposed financing mechanism through the SEC has already established itself as effective, the regional akimat has been lending from the local budget since last year. In 2020 alone, 10 projects were funded in the amount of 4 billion tenge. Thanks to this, today the North Kazakhstan region is a leader in the construction of dairy farms.

"The implementation of investment projects will allow to attract 575 billion tenge of private investment in five years, and already this year 129.8 billion tenge," the minister of agriculture noted.

The Comprehensive Plan also provides indications for the renewal of the machine and tractor fleet; it is planned to bring the level of renewal of agricultural machinery to 6% by 2025.

In general, the implementation of the Comprehensive Plan will increase the area of ​​oilseeds in the region to 1 million hectares, milk production up to 1 million tons, increase the share of oilseeds processing from 14% to 30%, increase the load of milk processing enterprises from 90% to 92%, and from 42% to 50%.

As a result, the gross agricultural output of the North Kazakhstan region will be increased to 1.2 trillion tenge, labor productivity will be increased 2.5 times and 1.6 thousand jobs will be created.

Trade and logistics hub to be created in North Kazakhstan region

In his speech, Minister of Trade and Integration of the Republic of Kazakhstan Bakhyt Sultanov dwelt in more detail on the issues of creating a trade and logistics hub, provided for in the framework of the Comprehensive Plan for the Development of the North Kazakhstan Region.

The issue was worked out by the Ministry of Trade and Integration together with the regional akimat and its implementation, according to the minister, will take place in two stages.

At the first stage, the construction of a wholesale distribution center as part of the creation of the National Commodity Distribution System. At the second stage, its further reformatting into TLH.

At present, the first stage of the creation of the STC is at the stage of completion of the economic examination of the Ministry of National Economy. The start of construction work is scheduled for April 2021.

The second stage of the NTS formation involves the creation of 7 USCs, including USC-Storage in Petropavlovsk.

Taking into account the experience gained at the first stage, the start of construction work is expected to begin in September 2021.

The export potential of the northern regions of Kazakhstan to the Siberian, northern and Far Eastern regions of Russia is about $1 billion. In this regard, further development of the ORC in Petropavlovsk is expected to become a full-fledged industrial, trade and logistics hub.

“We propose to focus the Hub's specialization on the transshipment of agricultural products from the northern regions of Kazakhstan, as well as minerals, coal, cement and other goods,” said Sultanov.

It is also planned that the Hub will act as a platform on which industrial cooperation with Russian enterprises will be carried out, interconnection and synergy with trade hubs formed jointly with other neighboring countries will be ensured.

Today the North Kazakhstan region produces 592.3 thousand tons of potatoes and 37 thousand tons of carrots. The share of enterprises is approximately 100 thousand tons, the rest is produced by personal subsidiary plots.

Construction of ORC-Storage in Petropavlovsk will provide storage areas for agricultural producers within a radius of 50 km and will cover the area named after Zhumabayev, Kyzylzhar, Mamlyut, Akkayin districts.

According to the minister, the issue of allocating a land plot in the city of Petropavlovsk has been worked out with the akimat of the North Kazakhstan region. On an area of ​​21.3 hectares, there are warehouses, a railway dead end.

"The creation of the TLH will give an additional impetus for the development of the region, competitive industries, mastering the production of new types of products, preserving the region's agricultural products and attracting investments," Sultanov summed up.

Over five years, it is planned to create 97 thousand new jobs in the region

Introducing the social block of the Comprehensive Plan, Minister of Labor and Social Protection of the Population Serik Shapkenov spoke about specific measures aimed at attracting investments and qualified specialists to the region, creating new sources of production and jobs.

Today in the North Kazakhstan region the number of economically active population is 302 thousand people, including employed — 286 thousand people, and unemployed — 15 thousand people, or at the level of 5.1%.

By 2025, it is planned to create 97 thousand new jobs in the region, including 71 thousand under state programs and initiatives of individual entrepreneurs.

Also, 16 thousand permanent and 10 thousand temporary jobs will be created under the projects implemented within the framework of the Comprehensive Plan. A total of 69 thousand permanent jobs will be created.

In addition, according to the election platform of the Nur-Otan party, in the next 5 years:

3,500 people will be trained in the basics of entrepreneurship under the Bastau-Business project, 1,700 young people will be provided with irrevocable government grants for the implementation of their business ideas;

It is planned to employ 600 young people under the project "first job" and annually 25 thousand people will be involved in active employment measures.

At the same time, according to the minister, a number of works will be carried out aimed at increasing the mobility of labor resources, reducing the impact of demographic imbalance and the balance of return migration.

First, in order to optimize the business process, obtaining information about vacancies, applying for a move and familiarizing with the decision made will be carried out through the Electronic Labor Exchange.

Second, in order to create conditions for employment, adaptation of migrants in a new place, work is being carried out to increase the size of a one-time travel allowance from 35 to 70 monthly calculation indices (the draft resolution has been submitted to the government).

Third, in order to stimulate employers, measures will be taken to subsidize part of the remuneration of migrants and reimburse the costs of training.

“In general, the measures provided for by the Comprehensive Plan will allow by 2025 to transfer more than 10 thousand labor force units to the region, positively influence the improvement of demographic issues and reduce the unemployment rate to 4.9%,” Shapkenov noted.

Construction of a regional multidisciplinary hospital is planned in Petropavlovsk

As Minister of Healthcare Aleksey Tsoy noted, the ministry, together with the Akimat of North Kazakhstan region, has launched a public-private partnership project “Construction of a regional multidisciplinary hospital with 480 beds in the city of Petropavlovsk”.

“The implementation of the project will allow for early diagnosis and increase the effectiveness of treatment, reduce maternal and infant mortality, the level of unemployment in the region, create new jobs and provide employment for the long term,” said Tsoy.

The hospital, according to the minister, will be designed taking into account modern technical solutions, fully equipped with medical equipment and an information system.

In addition, it is planned that the institution will become one of the centers of medical tourism in Kazakhstan, with the provision of high-tech medical services through the provision of qualified, specialized and modern medical care.

Also in the region, measures will continue to equip regional and city hospitals with medical equipment within the framework of the republican budget.

In 2021, it is planned to purchase a mammograph, computed tomographs, fluorographs, an X-ray apparatus with a C-arm, ENT combines, anesthesia and respiratory devices, ventilators.

“Work will continue on equipping and updating the park of medical equipment to improve the quality of medical care to the population of the North Kazakhstan region. To achieve these goals, it is planned to allocate more than 12 billion tenge of budgetary funds in 2022-2025 for the purchase of more than 140 pieces of equipment, which is two times higher than the previous period,’’ said Tsoy.

According to the minister, as part of the implementation of the Comprehensive Plan in the region, in comparison with 2019 and 2020, the level of equipment has increased from 49.5% to 56.4% and the level of wear and tear of medical equipment has been reduced from 61.7% to 42.7%.

Equipping with new equipment for the same period influenced, among other things, reducing mortality rates from oncology by 13%. The incidence of tuberculosis has also decreased by 36%.

Regarding the construction of medical facilities in regional centers, support and satellite rural settlements, the minister noted that today in the North Kazakhstan region there are only 623 outpatient care facilities, of which 554 are public and 69 are private.

According to the level of depreciation of buildings, North Kazakhstan region takes the second place in the republic, the indicator is — 78.8%.

In this regard, the Akimat of the North Kazakhstan region proposes the construction of 47 medical facilities within the framework of the Aul - El Besigі program.

By 2025, 16 secondary schools to be built in the region

According to the Minister of Education and Science of the Republic of Kazakhstan Askhat Aimagambetov, by 2025 in North Kazakhstan it is planned to bring the coverage of children 2-6 years old to 95%.

For this, work will continue on the development of private kindergartens. It is planned to develop voucher financing, the introduction of alternative forms of organizing preschool education.

“To reduce the shortage of student places in the region until 2025, it is planned to build 16 secondary schools. In accordance with the Comprehensive Plan in 2022-2023, a correctional boarding school for children with special educational needs for 400 places, a dormitory for 200 places will be built at the expense of public-private partnerships,” Aimagambetov said.

416 schools are covered by the project of modernization of 5,000 schools in the region. The project provides for overhaul, modernization of libraries and canteens, renovation of school furniture, equipping classrooms, transportation of students, installation of turnstiles and video surveillance, etc.

At the same time, by 2025, together with local executive bodies, it is planned to gradually reach up to 100% of young people. Within the framework of the Zhas Maman project, it is planned to equip 9 colleges in 2021.

At the Kozybayev University, the creation of a center of academic excellence is planned. The funds will be directed to the formation of a research ecosystem, the creation of innovation laboratories, the development of infrastructure for scientific research, financing of participation in international scientific projects, etc.

Based on the experience of Nazarbayev University, it is planned to create two regional universities. One of them is being created on the basis of the North Kazakhstan University named after Kozybayev.

As a result, we will get a regional research center, which will create conditions for conducting advanced research projects.

At present, the Serpin project is being implemented at the Kozybayev University.

“Now we are working on the issue of allocating 200 educational grants annually to students transferring from Russian universities. For this, amendments are made to the corresponding decree. In addition, the University named after Kozybayev will receive 2,000 targeted grants,” Aimagambetov added.

Over past 3 years, region's GRP increased by 34%

"The implementation of the Comprehensive Plan for the Socio-Economic Development of the North Kazakhstan Region for 2018-2021, adopted on behalf of the Elbasy, positively influenced the development of the region's economy,’’ the Akim of North Kazakhstan Region Kumar Aksakalov noted.

According to the head of the region, over the past 3 years, the region's GRP has increased (in nominal terms) by 34%, investments have grown by 50%, agricultural production by 54%, manufacturing by 37%. The share of business in the GRP has been increased by 2%, and many social issues have been resolved.

According to the updating of the Comprehensive Plan, in the next 5 years, it is planned to implement 87 measures for 1.8 trillion tenge. 70% of the total funds are private investments.

"65% of budget funds will be directed to further development of the economy," said Aksakalov.

In the agricultural sector, the construction of new facilities will continue, including 52 dairy farms, 6 feed yards, 2 poultry farms, a number of processing and greenhouse facilities.

In the industry, 10 new promising projects will be implemented, including the development of mineral resources with the construction of mining and processing plants. The special economic zone Qyzyljar will be actively developed.

“In the infrastructure complex, work will continue to improve the quality of roads. We will bring the indicator to 98%. We will build 2.3 million m2 of housing, of which 500 thousand will be social. The population's accessibility to high-quality drinking water will reach 93%,” Aksakalov noted.

At the expense of 35% of the infusion of budgetary funds, the health and education sectors will receive new development, thanks to the construction of new facilities and the renewal of the material and technical base.

By 2026, the region plans to ensure an increase in agricultural products at the level of 400 billion tenge, an increase in volume in the manufacturing sector by 67%.

At the expense of SMEs, a 30% increase in budget revenues will be provided, the share of business in the GRP will be 35.3%.

The creation of more than 26 thousand new jobs will help maintain stability in the labor market and permanent employment of citizens.

“In general, the achievement of the set tasks will increase the attractiveness of the region, give an additional impetus to the opening of new industries and qualitatively improve the living conditions of the population,” said Aksakalov.

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