WEEKLY REVIEW: Government of Kazakhstan to control home prices, increase spending on science
On Tuesday, July 22, Chairman of the National Bank of Kazakhstan Kairat Kelimbetov held a press conference under the aegis of the Central Communications Service at the KazMedia Center in Astana. At the press conference, Mr. Kelimbetov talked about the merger of the leading Kazakhstani banks and shared his thoughts on home prices in Astana. In his words, home prices surge is inevitable. "Of course, there will be a home prices increase ahead of the EXPO-2017 event in Astana. The question is in what district of the city," he said.
The Head of the National Bank didn't not specify the level of expected increase, but said ‘it should be kept in check in order to avoid factitious demand for housing.' Besides, Kairat Kelimbetov told the Tuesday press conference that the merger of Aliance Bank, Temirbank and Forte bank will allow to create a bank with the capital of more than KZT 120 billion. He also added that Kazkommertsbank and BTA Bank are expected to merge by yearend. On Wednesday, July 23, Education and Science Minister of Kazakhstan Aslan Sarinzhipov traveled to Almaty in order to chair a session dedicated to the development of science in the country. Minister Sarinzhipov announced that Kazakhstan plans to raise expenditures on science by 3% of GDP.
"We need to attract more investments from private sector into science. Inflow of direct foreign investments into Kazakhstani science increased more than twofold in 2013, compared to 2012 figures," he added.
On Thursday, July 24, Kazakh Healthcare Minister Salidat Kairbekova met with a delegation from Japan, led by head of the cultural and economic exchange committee for Central Asia of the international council of friendly exchanges and CEO at Sakura Global Holding Co Kenichi Matsumoto. Minister Kairbekova thanked Kenichi Matsumoto for keen interest and contribution to the development of international cooperation in the sphere of healthcare between Kazakhstan and Japan. She noted that the two countries established strong partnership. The Kazakh Health Ministry supports the international council of friendly exchanges' efforts to establish friendship between the nations and create a special committee for cooperation with Central Asia. Salidat Kairbekova briefed on the ministry's work within the Salamatty Kazakhstan State Program and stressed that Kazakhstan is interested in closer Kazakh-Japanese collaboration in the sphere of healthcare, especially in attraction of innovations and investments into that sphere. The same day the Ministry of Education held a press conference under the aegis of the Central Communications Service. Vice Minister Takir Balykbayev announced that Kazakhstan is to award 34,165 educational grants this year. In his words, the record number of 12,000 scholarships will be offered this year for engineering majors, 5,864 for teacher training specialties and 2,650 study grants for future agrarians and veterinarians. On Friday, July 25, Vice Minister of Transport and Communications of Kazakhstan Mereke Pshembayev told a press conference that ‘there is no way that Kazakhstani tour operators will make way for Russian rivals and let them sweep the domestic travel services market'. Asked if the Russian tour operators can drive the Kazakhstani ones out of the market by dumping, Vice Minister Pshembayev admitted that ‘there is that risk'.
"But I believe that we have many good companies. And I know that the National Chamber of Entrepreneurs is working on that problem. We won't let sweep our market. Our Kazakhstani companies will fight for it," he added. He also announced that a 157-kilometer long section of the West Europe - West China transit corridor will be opened by yearend. "1,345-kilometers long section of the corridor is currently under reconstruction. Nearly 35,000 people have been hired to complete the reconstruction works," he said.
2,787 kilometers of the West Europe - West China transit corridor falls on the territory of Kazakhstan. Out of 2,787 kilometers, 2,452-km long section is to be reconstructed. The project is set to be brought to conclusion in 2015.
