Inflation in Kazakhstan: Slowdown in average annual growth and price increases
The Bureau of National Statistics' latest data report showed annual inflation in 2024 amounted to 8.6%, slowing down from 9.8% in 2023. However, significant price increases were recorded in a number of segments of the economy, Kazinform News Agency correspondent reports.
Prices for paid services increased by 13.3%, and by 8.3% for non-food products, in addition to 5.5% for food products. Among services, the most noticeable price increases were observed for cold water (+43.1%), cellular communications (+27%), rail transport (+24.9%) and heating (+22.3%).
The electronics segment also saw an increases: laptops rose in price by 67.3%, wireless headphones by 55.2%, USB flash drives by 54.9%, and tablets by 45.7%.
In the food category, significant price increases were recorded for potatoes (+37.7%), sweet peppers (+25.5%), and olive oil (+23%). At the same time, some products saw a decrease in pricing: buckwheat prices fell by 21.4%, carrots became cheaper by 8.7%, sugar by 3.2%, rice by 2.9%, and cabbage by 1.7%.
As for regional differences, the highest inflation was recorded in Astana, where the annual rate was 10.7%, which is 2.1% higher than the national average. In second and third place are Karaganda region (9.6%) and North Kazakhstan region (9.3%). The lowest rates of price growth were observed in Almaty region (6.6%), Zhambyl (7.0%) and Pavlodar (7.4%) regions.
The consumer price index in December 2024 compared to November was 0.9%. During this period, prices for food products increased by 1.1%, for non-food products and paid services - by 0.8%. In annual terms, the growth in prices for food products was 5.5%, for non-food products - 8.3%, and for paid services - 13.3%.
Read more detailed inflation forecasts in Kazakhstan for 2025 in the analytics of the Kazinform News Agency correspondent.
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National Bank of Kazakhstan limits currency exchange rate differences
The National Bank has announced the development of a draft resolution titled "On setting limits for the deviation of the buying rate from the selling rate of foreign currency in tenge for transactions conducted through exchange offices", reports a Kazinform News Agency correspondent.
According to the draft, it is proposed to establish limits for the deviation of the buying rate from the selling rate of cash foreign currency for transactions conducted through exchange offices.
The limits are set as follows:
- For the US dollar: 7 tenge
- For the Euro: 10 tenge
The proposed changes aim primarily to reduce speculative actions in the foreign exchange market and to cover the risks of financial market participants.
These restrictions will not apply to exchange transactions conducted in non-cash form.
The full text of the draft resolution can be found on the official website of the National Bank of Kazakhstan.
Earlier, it was reported that JSC "Baiterek" National Management Holding announced the successful completion of the next phase in the digital tenge pilot project for the agro-industrial complex, including its conversion and deposit into a second-tier bank account.
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E-commerce market volume in Kazakhstan reaches 3.2 trillion tenge
Images | primeminister.kz
At the Government session under the chairmanship of Prime Minister Olzhas Bektenov the issue of e-commerce development was considered. Minister of Trade and Integration Arman Shakkaliyev made a report. Hear representatives of the industry: Chairman of the Board of Kazpost Assel Zhanasova, Chairman of Halyk Bank Umut Shayakhmetova, Chairman of the Board of the Association of Digital Kazakhstan Denis Stepantsev, primeminister.kz reports.
In 2024, the volume of the e-commerce market in Kazakhstan totalled 3.2 trillion tenge, and its share of total retail trade reached 14.5%.
The importance of e-commerce as a driver of economic growth was noted. The industry has allowed to create more than 300 thousand jobs, and labour productivity growth was more than 30% in relation to traditional shop and market sales.
Taking into account the development of the e-commerce market, the head of the Government Olzhas Bektenov emphasised the need to reduce risks both for consumers in acquiring low-quality goods and for producers who face unfair competition.
A significant share of our market is occupied by foreign online marketplaces. We can use them effectively to increase exports of domestic goods. On the other hand, there are issues with the protection of consumer rights, intellectual property and personal data of our citizens. The level of quality of goods on marketplaces also raises questions. Not only foreign marketplaces, but also domestic marketplaces do not guarantee quality. Information about the authenticity of goods is often missing," Olzhas Bektenov said. In this regard, the Ministry of Trade and Integration has been given a number of instructions.
The Prime Minister has set a task to develop measures for digitalisation of all trade activities in Kazakhstan, including markets and local small shops.
Together with the Ministries of Justice and Digital Development, Innovation and Aerospace Industry, it is necessary to develop specific measures to improve the level of consumer protection in e-commerce. Olzhas Bektenov instructed to make appropriate proposals by the end of February.
At the same time instructed to develop additional measures of state support for the development of e-commerce together with interested government agencies and the Digital Kazakhstan Association. Taking into account the previously adopted Plan for the development of electronic commerce until 2027, the proposals of the domestic business community and the experience of working with marketplaces, it is necessary to update the provisions of the document by the end of March this year.
The task to form effective supply chains of goods both within the country and at the international level in conjunction with interested government agencies and the business community by the end of March has been set.
Head of the Government also instructed to increase the existing capacity of Kazpost. The ministries of digital development, innovation and aerospace industry, trade are tasked with the development plan of the national postal operator.
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Tax receipts from tourism double in Almaty
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In three quarters of last year, 1.7 million tourists travelled to Almaty, a 14.2% increase year-on-year, Kazinform News Agency correspondent reports.
In 11 months, Almaty’s tourism sector generated 85.5 billion tenge, double the figure of last year, said the local authorities.
Investment in fixed capital of the city totaled 92.9 billion tenge, rising by 12% compared to a year before. Last year, the city saw 35 new accommodation facilities, including 20 hostels, four glamping sites, eight hostels and three guest houses, open, adding an additional 836 rooms.
In a bid to become Central Asia’s top tourist destination, the city is to attract more investors, promote tourist infrastructure and enhance its global position in 2025, added the city authorities.
According Almaty mayor Yerbolat Dossayev, 1.7 million tourists, including 507,000 foreign guests, visited the city in 9 months of 2024.
Earlier it was reported that Uzbekistan and Iran would establish a joint tourism committee.
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Gross agricultural output increased by 13.4% in Kazakhstan
Deputy Minister of Agriculture Azat Sultanov at the Government session reported that for the first 11 months of this year, the volume of gross agricultural output increased by 13.4% with an annual plan of 11.6% and amounted to 7.8 trillion tenge, primeminister.kz reports.
He noted that this growth was ensured by increasing production in crop production by 19.9%, in livestock production by 3.2%.
In crop production with an average yield of 16.1 centners per hectare threshed 26.7 million tonnes of cereals, including wheat - 19.8 million tonnes, rice - 563 thousand tonnes. Also, 2.9 million tonnes of potatoes, 3.9 million tonnes of vegetables, 3.2 million tonnes of oilseeds and 300 thousand tonnes of cotton were harvested. In the livestock sector, there was an increase in production of meat in slaughter weight by 4%, cow's milk by 4.4% and chicken eggs by 1.2%," Azat Sultanov said.
According to the agency, food production for the first 11 months of this year increased by 2.1% and totalled almost 3 trillion tenge.
There was an increase in the production of such types of import-dependent products as: cheese and cottage cheese by 8.7%, sausages by 4.1%, butter by 2.9% and vegetable oil by 12%.
We see growth in this industry for the rest of the year due to the processing of cereals, oilseeds and sugar production. In order to prevent a slowdown in the growth of the industry next year, the volume of financing of spring field and harvesting work will be brought to 700 billion tenge, preferential leasing of agricultural machinery to 200 billion tenge. It is planned to introduce 1.9 million tonnes of mineral fertilisers and increase the share of elite seeds to 10.5%," Azat Sultanov added.
Deputy Minister stressed that the growth of production in agriculture was ensured due to timely measures taken by the Government on financial and logistical support of field work and favourable climatic conditions.
For the first time the volume of concessional lending for spring field work has increased 3 times and reached a record 580 billion tenge at a net 5% per annum. Thanks to these measures of financial support, along with the high yield obtained, the volume of mineral fertilisers application amounted to 1.2 million tonnes, which exceeds the level of last year by 2 times, and the level of agricultural machinery renewal will be brought to 5.5%.
This year also achieved a record harvest of sugar beet, harvesting of which is at the stage of completion, which will contribute to the growth of gross agricultural output," Azat Sultanov said.
Deputy Minister emphasised that the Ministry of Agriculture is taking all necessary measures to achieve the planned indicators.
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