GOVERNMENT WEEKLY REVIEW. State commission OSCE Chairmanship established. Economy modernization is high on the agenda. US Congressmen and South Korea envoy visit Kazakhstan

Astana August 14 KAZINFORM/ Rizvana Sadykova/   One of the main events of the reported period was a session devoted to the coming Kazakhstan's OSCE chairmanship, chaired by Kazakh President Nursultan Nazarbayev in his residence Akorda. Opening the session he reminded that OSCE Chairmanship will take place during the 35 anniversary of the Organization, united 35 states of Europe and North America in 1975.  "We have already developed the «Path to Europe" program.
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Our chairmanship of the Organization is our main achievement during the years of independence", the Head of the State said. President stressed that among all Muslim and CIS countries Kazakhstan was honored to chair the Organization. "It became possible due to independence and stable economic development, internal and external policy of our state and the unity of our society. The coming mission is a high appreciation of our achievements", Kazakh President said. The Head of the State appreciated the work held on this direction. Upon the results of the session he charged to establish a State commission on the preparation to the coming OSCE Chairmanship. He qualified the Kazakhstan's OSCE chairmanship as one of the national strategic projects. He thinks that it is an important achievement of our country during the years of independence and promotes the image of our country. In fact, our chairmanship will pass in a specific period, among them world financial  crisis, aggravation of the international situation, energy and food crisis threat, non-proliferation of the mass destruction weapons and uncertainty on many issues of future architecture of the interaction in the world community, including the OSCE responsibility zone. "In this regard we must organize the implementation of this honorable mission with high responsibility", Kazakh President concluded.

This week's agenda of the President was mostly devoted to the important domestic issues. The President chaired a session on the issues of the national budget in Borovoye. The principal parameters of the national budget for 2010-2012 were considered at the session. August 13 Head of the State held a conference with the regional administrators (akims) of major grain producing regions of the country - North Kazakhstan, Akmola and Kostanay oblasts. Issues regarding the forthcoming harvesting campaign, realization of anti-crisis measures, in particular, the Road Map, fulfillment of the President's task on ensuring social well-being of the people were on agenda of the conference. The akims reported to the President on the situation in agricultural sector of the regions. Thus, according to Akim of Kostanay oblast Sergey Kulagin, the region is fully provided with fuel lubricants and pesticides. 4 mln 464 thousand hectares of fields have been planted with wheat, that is 304 thousand hectares more than in 2008. Over the last years the area of planted territories in Kostanay oblast has increased by 1.5 mln hectares. "The North Kazakhstan oblast is ready for harvesting", Akim of the region Serik Bilyalov informed. "This year the cropping area covers 3 mln 900 thousand hectares that is 200 thousand hectares more comparing with the last year. KZT 4.5 bln are directed for implementation of 178 projects - this is repair of schools, cultural facilities and roads in each village. 42% of rural clubs have already been repaired, which positively influences on the mood of people", the Akim said. As Governor of Akmola oblast Albert Rau informed, 4.5 mln hectares of land were planted with crops that is 400 thousand hectares more than the last year index. "Over the last two years we have enlarged crop areas  by 600 thousand hectares. As for yield, this year we expect to gather 9.8 centners per hectare in average", A. Rau concluded. "We plan to gather around 14 mln tons of grain in three regions. Kostanay and North Kazakhstan oblasts expect to gather 4.5 mln tons each, while Akmola oblast plans to give 4.9 mln tons of grain", Vice Premier Umirzak Shukeyev concluded following the akims' reports. In whole, N. Nazarbayev appreciated the regional administrators' work on preparation for harvesting and set several tasks to the akims on realization of the Road Map.

As far as international issues concerned this week Kazakh President Nursultan Nazarbayev held a telephone conversation with President of Turkmenistan Gurbanguly Berdimuhammedov initiated by the Turkmen side. Two Presidents discussed the issues of bilateral cooperation, particularly realization of a range of strategic multilateral projects, such as the construction of new railway line that will connect Kazakhstan, Turkmenistan and Iran, construction of the Caspian gas pipeline with participation of Kazakhstan, Russia and Turkmenistan, and Turkmenistan - Uzbekistan - Kazakhstan - China gas pipeline. As the Turkmen President informed, the construction of the first stage of the gas pipeline from Turkmenistan to China is soon to be completed. In this connection, G.Berdimuhammedov invited N.Nazarbayev to the opening ceremony of the pipeline that will be held in December this year.   

 August 11 a regular session of the State Committee on economy modernization chaired by Prime Minister Karim Massimov was held in the Ukimet Uyi (House of the Government). Heads of state bodies, Samruk-Kazyna Fund, national companies, institutes for development, regional akimats and others took part in the session. The session participants heard the reports on implementation of 24 investment projects in mining, chemical and construction industry as well as in the field of production of medical equipment, car manufacturing, infrastructure and tourism proposed for introduction into the Industrialization Map of Kazakhstan. The Prime Minister commissioned to responsible heads to control progress of implementation of the projects and to submit proposals to address topical issues. The issues of the investment projects initiated and financed by the Kazakhstan Development Bank, investment and innovation funds as well as social and entrepreneurial corporations will be considered at the nearest session of the State Committee.

 Coming back to the session on the issues of the national budget in Borovoye it must be said that all principal parameters of the budget for 2010-2012 were considered at the session. Prime Minister Karim Massimov reported on budget indexes for 2010 where the commissions of the President on support of social welfare, implementation of the Road Map Program as well as anti-recessionary measures and perspective infrastructure projects have been taken into account. The Prime Minister also reported on the current activity of the Kazakh Government. Nursultan Nazarbayev said that so far there was not seen any principal improvement of the situation in the world financial system. Therefore, to his opinion "We will thoroughly consider the budget in the context of safety of the National Fund, gold and currency reserves and in this respect we must integrate all need correctives. The situation in the first half of the year can be changed and after that period we can revise the budget and add some programs".

 Thursday the working group on the financial instruments and investments under the Coordination Council on financing of the industrial-innovative development of Kazakhstan held a meeting in Almaty as was reported by the Kazakh Ministry of Industry and Trade. The Coordination Council on forced industrial-innovative development of Kazakhstan was established by the Decree of the Government in order to coordinate the activity of the state bodies, development institutes, state holdings and regions. The activity of the Council is concentrated around development of recommendations on support of particular projects, sectors of the economy and business initiatives. The working group on the financial instruments and investments was established by the decision of the Coordination Council on July 10.  The main purpose of the group is consideration and substantiation of effective for state and business mechanisms of financial industrial development.

 It must be mentioned that this week two high officials visited Kazakhstan. Kazakh Prime Minister Karim Massimov met with a delegation of US congressmen headed by Republican House Minority Leader John Boehner in the Ukimet Uyi. The sides discussed the issues of further development of bilateral cooperation between Kazakhstan and the USA. K. Massimov informed the American side of the Kazakh Government's measures on stabilization of the national economy, banking and financial sector. The parties exchanged opinions of the issues of trade-economic cooperation, including Kazakhstan's joining the WTO and formation of the Customs Union between Kazakhstan, Russia and Belarus. The Kazakh Prime Minister called on to abolish the Jackson-Vanik amendment in relation to Kazakhstan as soon as possible as it would help solve many problems in the bilateral relations in the fields of economy and trade. The issues of security in Central Asia were also discussed.

 Thursday Kazakh Prime Minister Karim Massimov held a meeting with the Special Envoy of the President of South Korea, the Leader of "Hannara" party.  Issues of realization of the agreements, achieved within the official visit of the Head of South Korea to Kazakhstan and providing extension of bilateral trade-economic, investment, cultural and humanitarian cooperation were discussed at the meeting.

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