Kazakh Invest presents Kazakhstan’s investor support system at UNCTAD World Investment Forum
Kazakh Invest national company, tasked with the promotion of the country's investment potential, presented its system of support for investors at the 7th UNCTAD World Investment Forum that took place from Oct. 18 through Oct. 22, reports Strategy2050.kz.
Kazakh Invest provides comprehensive support to investors across all stages. Its representatives are part of the country's new Task Force team designed to reform the country's investment management system and revise approaches to attracting investment. This all is done to help Kazakhstan reach its target of $30 billion of FDI per year and raise the level of investment in fixed assets to 30 percent of GDP by 2025.
In the first half of 2021, the volume of FDI in the Kazakh economy grew 30.4 percent reaching US$11.4 billion. The biggest growth is observed in the manufacturing industry – 57.2 percent, trade – 45.8 percent, mining – 27.1 percent, and transport – 20.4 percent. The Netherlands remains Kazakhstan's largest foreign investor investing US$3.3 billion in this period followed by the United States ($2.1 billion) and Switzerland ($1.3 billion).
The meeting, which was attended by the representatives of government agencies, heads of international organizations, as well as heads of international corporations, discussed the global investment policy challenges and solutions, as well as international trade.
Opening the session with the theme of Tripartite Dialogue of Parliamentarians, Policy Makers and Business Leaders, UNCTAD Secretary-General Rebeca Grynspan noted that the priority task of developed and developing countries is to ensure sustainable economic recovery after the global economic crisis. She also raised the issues of global economic governance to increase the role of developing countries' participation in the global economy.
Welcoming speeches were made by the Secretary-General of the Inter-Parliamentary Union Martin Chungong and Senior Minister - Special Adviser to the Prime Minister of Ethiopia Arkebe Okubai.
Speakers of the panel session included the Honorary President of the Inter-Parliamentary Union Saber Hossain Chowdhury, Chair of the International Trade Committee of the European Parliament Bernard Lange, CEO of HSBC Global Asset Management Nicolas Moreau, and Deputy Chair of the Board of Kazakh Invest Zhandos Temirgali, among others.
Jacopo Dettoni, the moderator and editor of FDI Intelligence, a division of Financial Times, noted the negative impact of the pandemic on the global investment environment, emphasizing the need to ensure adequate financing and meet the needs of society in the implementation of the Sustainable Development Goals approved at the national level. He also noted the need for constant parliamentary monitoring on economic management issues, especially those related to the regulation of the investment sphere.
Zhandos Temirgali, in turn, stressed the significant impact of the economic crisis on foreign direct investment, in particular, in countries with transition economies. According to the latest UNCTAD report on global investment, last year FDI flows to these countries decreased to $24 billion, the lowest since 2003. Kazakhstan, however, managed to take a leading position in the international UNCTAD ranking among countries with transition economies as well as among landlocked countries.
During the World Investment Forum, the participants also discussed the need to increase investments in the green economy noting that green energy should be considered as a driver of sustainable socio-economic development.
The UNCTAD World Investment Forum is held every two years with the participation of political leaders, government authorities, private businesses, international organizations, and academia.
“Today, countries should develop investment promotion strategies taking into account the new realities and the UN Sustainable Development Goals. We see that the crisis can open up new opportunities for further diversification of the economy in the field of food production, medical devices, as well as other types of products with high added value. In addition, the pandemic has shown the growing importance of agribusiness and food security. It is important to note that in 2020 Kazakhstan ranked 32nd in the Global Food Security Index. In addition, today the factors of the ESG (referring to Environmental, Social and Governance) criteria are becoming significantly relevant. Within the framework of the adopted Green Economy Concept, Kazakhstan has set a clear goal to become a carbon-neutral country by 2060,” said Temirgali.