WEEKLY REVIEW. Kazakhstan's GDP growth accompanied by rise in real per capita income
According to the Head of Government, big sports events such as world championships, continental cups, should be held at the facilities as well as athletes' trainings. Chairman of the Sports Committee of Kazakhstan Y. Kanagatov informed that eight large-scale sports events were planned in Kazakhstan this year.
On February 22 the Government summed up the results of Kazakhstan's socio-economic development for 2010. "The share of manufacturing output in Kazakhstan's GDP made 11.5% in 2010. This is 1.9% more compared to 2009. Minister of Economic Development and Trade Zhanar Aitzhanova made it public at the session of the Government.
The industrial production increased by 10% in 2010. The growth in manufacturing industry made 18.4% and exceeded the growth in mining industry threefold for the first time," Z.Aitzhanova said.
The Minister noted that the highest industrial growth was recorded in Akmola, Kostanai, Pavlodar, South Kazakhstan, Zhambyl, Atyrau regions and Almaty city. The 2010 GDP growth was up to 7%.
The real wages of Kazakhstanis were increased by 7% in 2010, the real income - by 6.3%. Z.Aitzhanova also noted that the unemployment level was up to 5.5% in December 2010 that was 1.1 per cent lower compared to December 2009.
With the purpose of further raising national welfare the Government of Kazakhstan is planning to define the list of companies of the people's IPO in March. The shares of them will be put on the domestic stock market. Minister of Finance of Kazakhstan Bolat Zhamishev said it at the sitting of the Government. "We can develop a truly good program but if people do not understand what it is about, the program will not be so effective we want it to be," K. Massimov emphasized.
Financial situation in Kazakhstan significantly strengthened over the past year. "The aggregate international reserves of Kazakhstan exceeded USD 64 bln," Chairman of the National Bank of Kazakhstan Grigory Marchenko said it at the Government's sitting.
Prime Minister Karim Massimov urged the governors of the regions to report to the Government on activity of the enterprises, launched within the Forced Industrial-Innovative Development Program in 2010. Secondly, the Premier urged the Ministry and governors to report on enterprises that were planned to be launched in 2011.
As Vice Minister of Industry and New Technologies Duisenbai Turganov informed, 13 projects of the Forced Industrial-Innovative Development Program are planned to be launched during the first 6 months of this year.
Special attention was paid to the issues of regulation of prices for food, medicine and construction materials. Prime Minister Karim Massimov charged the members of the Government to prevent the excessive growth of prices for food, medicine and construction materials. "The main task is to prevent the food prices growth," K.Massimov said.
The Ministry of Economic Development and Trade of Kazakhstan prepares a proposal on subsidization of agricultural production to scale down food prices. Minister Zhanar Aitzhanova told it in the interview to journalists after the sitting of the Government. "Firstly, we need to ensure food security and reduce import dependence. Secondly, we need to regulate prices. Besides, we need to trace all the way of food pricing starting from the very production," she said.
On Tuesday Kazakh Prime Minister Karim Massimov also charged the Minister of Communications and Information Askar Zhumagaliyev to increase the Internet speed up to the world's highest level of 16 megabyte. "We should take this into account when drawing the budget for 2012 and increase the Internet speed in Kazakhstan up to the level of South Korea," K.Massimov said.
According to the Premier, the issue of the broadband Internet speed is an issue of our competitiveness. It is not of less importance than other social tasks.
On February 23 Prime Minister Karim Massimov took part in the ceremony of signing a contractual agreement within the project "Modernization of the national electric network of Kazakhstan, II stage" between "KEGOC" JSC and South Korea's companies "Hyundai Engineering CO.Ltd", "Hyundai Corporation" and "Korea Electric Power Corporation". According to the document, the South Korean companies will modernize 500 and 220 kV substations of affiliates of the Aktobe, Western and Shymkent trunk power grids. The contract amounts to EUR 73 mln. The EBRD loan will back the contract. The total sum of the loan is EUR 255 mln, EUR 73 mln out of them will be disbursed by the Korean companies.
The second stage of the project of modernization of the national electric network is a part of the State Program of Forced Industrial-Innovative Development and suggests replacement of used-up equipment. KEGOC will improve reliability of power supply of consumers and ensure uninterrupted power supply of the country's economy.