Growth of GDP comprised 4% in 2017

According to the Minister, the main result of 2017 for Kazakhstan's economy was the activation of recovery processes with country's progressive transition to higher growth rates.

"According to the preliminary results of 2017, growth in GDP was 4%. Economic growth was balanced with simultaneous improvement in virtually all segments of economic activity. The main catalysts for growth were the expansion of production in traded sectors, increased investment activity and the gradual recovery of domestic demand", Timur Suleimenov said.

As the Head of the Ministry noted, the external environment also positively influenced the internal economic activity.

"The factors of positive external conditions include a higher price conjuncture for oil and metals, as well as an improvement in the economic situation with the main trading partners - the EU, Russia and China. As a result, positive shifts in foreign trade were registered. According to the results of 11 months, exports to Russia increased by 33.0%, in the EU - 31.0% and China - 34.9%", T. Suleimenov said.

Also, according to the Minister, the price factor played a key role in activating the recovery processes. According to him, the inflationary background was 7.1%.

"Along with this, in 2017 labor market indicators remained stable, the unemployment rate was 5%. At the same time, as of December 1, 2017, the assets of the National Fund amounted to 57.6 billion dollars, taking into account the significant attraction of funds to support country's financial sector", the Head of the Ministry of National Economy noted.

Meanwhile, the Minister said, the implementation of measures to improve the banking sector and improve the overall economic situation have formed prerequisites for the beginning of the recovery phase of the loan cycle. The loan portfolio of banks began to show signs of growth.

"In general, the positive dynamics of economic growth, improving the balance of payments and increasing production capacity ensured in 2017 confirmation of the level of investment reliability of Kazakhstan by international rating agencies and allowed to improve the outlook from "Negative" to "Stable", Timur Suleimenov said.

We note that today Prime Minister of the Republic of Kazakhstan Bakytzhan Sagintayev instructed to implement in the near future 10 main tasks of the Address of the Head of State.

Akbota Kuzekbay

Photo by Chingiz Kapparov