Kazakhstan Economic Development Model PDF

Model of economic development of Kazakhstan The radical restructuring of the development of society in the country and the implementation of a market economy took place in several stages over the past eighteen years. The first stage of economic reform covers the period from the proclamation of Kaza...

Model of economic development of Kazakhstan The radical restructuring of the development of society in the country and the implementation of a market economy took place in several stages over the past eighteen years. The first stage of economic reform covers the period from the proclamation of Kazakhstan\'s sovereignty to the introduction of the national currency (1991-1993). Market transformation of the economy of Kazakhstan a radical change in socio-economic relations requires, first of all, the rejection of the administrative-command system of management and centralized planning, replacing it with private subjects of economic management. The state followed the direction of creating a social-market economy based on private property, attracting foreign investment, and collecting international experience in managing the economy. The liberalization of the economy was carried out in combination with radical structural and institutional transformations in all spheres and spheres. It should be noted that the radical reforms of the 90s were carried out in parallel with the laying and strengthening of the foundations of a young sovereign state and overcoming the deep economic crisis that began in the years preceding perestroika. In the 70s and 80s, attempts to improve the economic mechanism, overcome administrative restrictions on the capabilities of the distribution system, and expand the rights and initiatives of commodity producers, which were laid down in the first programs dedicated to the market principles of farming, failed. After Russia, in accordance with its uncritical adoption of the monetary model of managing the economy and finance, market reforms began with price liberalization. On January 6, 1992, tariffs for about 80% of the wholesale price of goods and 90% of the consumer price and most of the services provided were free, determined by market supply and demand. The release of prices in the face of a lack of cash led to a sharp increase in prices, an increase in inflation at an unprecedented rate, both in the sphere of production and in the sphere of consumption. The Consumer Price Index in 1992-3060, in 1993-amounted to 2265. At this time, prices were liberalized (January 1992), private property legalized in the country\'s Constitution (January 1993), a national privatization program was adopted (April 1993), which was gradually implemented in the fields of industry, agriculture, transport and services, the ruble left the zone and the domestic national currency-tenge was introduced (November 1993). The reforms of this period cannot be called qualitative, they are distinguished by the presence of half-measures, especially in the credit and monetary sphere, since Kazakhstan, being in the ruble zone, during this period was completely dependent on the socio-economic and political decisions of Russia. Many of the problems had to be solved by Agreement and by agreement. Here it is necessary to emphasize the role of N. A. Nazarbayev, who, as a true unifier-integrator, consistently and persistently insisted on Kazakhstan\'s membership in the ruble zone. However, in 1993, the Central Bank of Russia introduced a new 50-ruble monetary sign, did not give it to Kazakhstan, and thus the Russian government practically \"pushed\" our country out of the region. In 1991, Kazakhstan, The Last Republic remaining part of the former USSR, became the only post-Soviet country in which the former Soviet ruble was used even after leaving the ruble zone in 1993. In this regard, a huge amount of Soviet money fell from all the former Union republics, which introduced their own national currency earlier. There was terrible inflation, a large amount of goods began to be exported from the country, and there was a situation of economic chaos. In the next second--- during the transit period (1994-1998), which is characterized as a\" slow transition\", an independent macroeconomic policy began to form, which, unfortunately, was implemented inconsistently and not comprehensively.At this stage, the main actions were aimed at macroeconomic stabilization, the development of an alternative legislative framework that regulates relations in the field of taxation, budget, banking, foreign economic activity and the customs system. Foreign capital was widely attracted, conditions were created for the development of markets and market infrastructure. As a result of the preliminary measures, by 1996 the tenge exchange rate had stabilized, the budget deficit had steadily decreased, and production had resumed in a number of export-oriented industrial sectors. As a result of a tough anti-inflationary policy, some stabilization of finances was achieved, the Consumer Price Index fell from 1258 in 1994 to 128 in 1996. At this stage of reforms, systemic market transformations predetermined the irreversible nature of overcoming the command and administration economy, consistently establishing the foundations of a new system of economic management. In 1993-1996, the most important trends and signs characteristic of a market economy were intensively formed and clearly manifested themselves. Signs that this system requires: \* liberalization of the economy by reducing the participation and care of the state in economic life with the introduction of market regulators; liberalization of foreign economic activity and expanding its forms, attracting foreign investment on a large scale, taking measures to stabilize the currency regime in the country, establishing free pricing in conditions of restrictive regulation of prices for certain types of products, works and services provided; \* development of market-oriented economic structures and formation of the foundations of a multi-block economy with the creation of conditions for the functioning of private sectors in the economy; expansion of the base for the development of entrepreneurship, small and medium-sized businesses, market competition; \* development of market economy institutions and infrastructure in connection with the emergence of a two-tier banking system focused on international standards in the country; investment and insurance companies, exchanges, audit firms were created in these years; \* creating a more balanced consumer market; \* financial stabilization, characterized by a sharp decrease in the level and pace of inflation; a multiple increase in gold currency reserve reserves, a decrease in the budget deficit; production stabilizes in a number of industries. The implementation of the TRACECA program opens up great prospects for Kazakhstan. Kazakhstan faces the task of developing cooperation in the provision of transport services together with other states of Central Asia and foreign countries of the Caucasus, coordinating planned activities in the field of trade and transport at the regional level by establishing its own actions, cooperation, including cooperation with the European Union. The TRACECA program has already gone beyond purely technical cooperation, and has become a strategic concept for the development of not only economic cooperation, but also political cooperation of the former Union republics with Europe and Asia. Kazakhstan\'s cooperation with the UN is carried out not only within the walls of this organization in New York, but even on the territory of the Republic. Since February 1992, representative offices of a number of special institutions, foundations and programs of the UN system have been opened and are actively functioning in Kazakhstan. Their activities are aimed at providing Kazakhstan with extensive technical, advisory and financial assistance. For example, promoting the training of National Personnel and providing advisory assistance to the Government of Kazakhstan on market reforms and transformations in various sectors of the economy are the main directions of the work of the UN Development Program (UNDP). In October 1994, an agreement on cooperation between the Government of the Republic of Kazakhstan and UNDP was signed, which covered the priority areas of the program\'s activities in Kazakhstan. During its activities in Kazakhstan, UNDP provided significant support to the Government of the Republic of Kazakhstan in the amount of assistance provided in solving various social, environmental and other problems that arose especially acute in the first years of the country\'s independence. This is the participation of UNDP and other specialized institutions of the UN system in the development and implementation of intergovernmental and donor projects on socio-economic recovery of affected regions in Semey and Aral Sea, solving problems related to water supply in remote settlements, reproductive health of the population living in disadvantaged areas of Kazakhstan, the spread of viral infectious diseases, including HIV/AIDS and others. On February 10, 1993, the law of the Republic of Kazakhstan \"on Higher Education\" was adopted. Higher education has been declared the most important structural link in the continuing education system. The special article\" state policy of the Republic of Kazakhstan in the field of Higher Education \" states that the policy is aimed at training highly qualified specialists working in a market economy, providing state support to universities, regardless of their forms of ownership. A qualitatively new stage of reforms of higher schools of Kazakhstan began in 1999. Key points of the new stage of reforms: \* transition to a new system of student composition; \* nationalization and privatization of many higher education institutions. On May 18, 1992, an agreement was concluded between the Republic of Kazakhstan and the American Chevron Corporation on the creation of a joint venture \"Tengizchevroil\". The Cabinet of Ministers of the Republic of Kazakhstan adopted Resolution No. 260 of April 5, 1993 \"on approval of agreements and contracts for the creation of a joint venture\" Tengizchevroil\". Next, the decree of the president of the Republic of Kazakhstan dated April 6, 1993 No. 1168 \"on the activities of the joint venture\" Tengizchevroil\" was published. Relations between Kazakhstan and Switzerland are characterized by the main approaches, priorities and prospects of bilateral cooperation; issues in this direction were identified and discussed during the meeting of the president of the Republic of Kazakhstan N. A. Nazarbayev with P. Delamuir and F. Cotti during their tenure as presidents of the conference in 1996 and 1998. The first official visit of the vice-president of Switzerland, Federal Adviser to the economy Pascal Kushpen to Kazakhstan on May 1-6, 2002, was held in Astana by the president of the Republic of Kazakhstan N. A. The meetings with Nazarbayev, Prime Minister I. Tasmagambetov, Secretary of state-minister of Foreign Affairs K. Tokayev and others became significant events in bilateral relations. On January 20-21, 2003, the president of the Republic of Kazakhstan paid an official visit to Switzerland, following which two intergovernmental documents were signed: the agreement on international passenger and cargo transportation and the agreement on the project \"integration of Central Asian countries into the multilateral trade system\". As part of the visit in Zurich, an investment conference \"business opportunities for Swiss companies when doing business in Kazakhstan\" was held. The visit of the economic delegation headed by Deputy Secretary of State for the economy of Switzerland J. Reading to Kazakhstan on June 27-30, 2005 gave an additional impetus to bilateral relations in the field of trade. Meetings of the Swiss delegation with the heads of a number of ministries and departments of the Republic of Kazakhstan were organized. Within the framework of the visit, a business forum \"Kazakhstan---Switzerland\" was held. There are about 40 representative offices of Swiss firms and joint ventures with the participation of Swiss capital in Kazakhstan. In order to develop bilateral economic ties, the Kazakh-Swiss Commission on trade and economic cooperation operates. Dutch companies operate in various sectors of the economy of Kazakhstan, which include oil and gas, transport and agricultural industries. 122 joint ventures have been registered in Kazakhstan, most of them work in the field of processing and production of agricultural products, introduction of new technologies, processing of consumer goods and provision of services. The great achievements of the countries of northern Europe in various industries create the basis for establishing mutually beneficial cooperation in such areas as mechanical engineering (including oil and Gas Engineering), Shipbuilding, chemical, pulp and paper and metallurgical industries, construction, new technologies, agriculture, fishing and processing. Kazakhstan can effectively use its position as a \"bridge-state\" (Transasia corridor, north-south transit corridor) as a transport and communication lifeline connecting the countries of Northern Europe with South, East and Southeast Asia. The Norwegian company \"Statoil\" and the largest Danish concern \"A. P. Meller-Group\" participate in the oil and gas projects of the Republic. In 1997, Italian President O. L. Scalfaro and Prime Minister R. Prodi visited Kazakhstan. In the economic sphere, Kazakh-Italian cooperation is developing more actively. Trade and economic cooperation between the two countries is developing in almost all areas: development of mineral mines, agriculture, food processing, agricultural machinery, heavy industry, energy, light industry, consumer goods, processing. Italy is one of the largest foreign trade partners of Kazakhstan and occupies the 4th place (after the United States, the Netherlands and the United Kingdom) in terms of the volume of foreign direct investment in the Republic of Kazakhstan. During the working visit of the president of the Republic of Kazakhstan N. A. Nazarbayev to Xinjiang (September 2004), a limited agreement on the establishment of the International Center for border cooperation \"Khorgos\" was signed. The creation of this center will regulate cross-border trade, strengthen quality control of supplied goods, increase the effectiveness of measures against the supply of smuggled and counterfeit products, and also increase the attractiveness of Khorgos as a center of trade and economic activity in the region. Currently, the oil and gas sector has become one of the main areas of cooperation, in which the largest share of Chinese investment is concentrated. For example, Chinese oil workers are successfully working in Aktobemunaigas, and in 2005 the Chinese national oil and Gas Corporation acquired a stake in Petro-Kazakhstan. On December 15, 2005, the construction of the Atasu-Alashaikou oil pipeline section, which is part of the Kazakhstan-China pipeline network, was completed. In September 2004, President of the Republic of Korea no Mu Hyun paid a state visit to Kazakhstan. South Korea, which is a major investor and an important trade partner, occupies an important place in the system of foreign economic priorities of Kazakhstan. The legal basis for the development of economic partnership consists of the convention on trade, scientific and technological cooperation, on the promotion and mutual protection of investments, on the avoidance of double taxation on income tax from agreements on lending through the Fund for the promotion of Economic Development (EDSE). For 10 years (1995-2005), South Korea has invested more than 1.6 billion US dollars in the economy of Kazakhstan (7% of the total inflow of foreign investment). 339 companies with the participation of Kazakh-Korean capital were registered. Since the April elections, the entire year 2015 has been marked by five institutional reforms outlined in the National Plan\" 100 concrete steps\". This document made it possible to create the entire state machine, public institutions and all Kazakhstanis for the systematic promotion of the goals set by the Strategy 2050. It was, in fact, a master plan for the entire population. On April 29, 2015, at the inauguration ceremony, the president gave his assessment of this large-scale document and stressed that reforms are the work of the people, not just the state apparatus. His plan was to start implementing the national plan as soon as possible. On May 5, 2015, an expanded meeting of the government dedicated to five reforms was held. Officially, on May 20 of the same year, the National Plan\" 100 concrete steps to implement five institutional reforms \" was announced. The approval of the national plan meant that Kazakhstan is carrying out reforms in accordance with the standards of the organization for Economic Cooperation and development. This was an important recommendation for joining the OECD. The features of the\" 100 steps \" made a huge impression on foreign politicians and experts. Kazakhstan was the first of the CIS countries to develop such a detailed plan, which Chairman of Sberbank of Russia G. Gref called \"one of the largest programs in the world\" at the VIII Astana Economic Forum. Also, in the opinion of the president, the opinion of Tiberio Graziani, president of the Higher Institute for Geopolitical Studies, deserves attention. \"Analyzing the plan\" \"100 concrete steps\", he noted that such reforms are necessary not only for Kazakhstan, but also for all countries of the world in a critical century.\" In his opinion, a new successful model of radical reforms appeared in the theory of modernization. \"100 steps\" as an example of inclusive modernization is Kazakhstan\'s know-how in the practice of modernization processes. T. Graziani recalled important projects of the 18th-21st centuries. Against this background, the Kazakh model, he noted. Work on the creation of legislative and organizational foundations for reforms coordinated by the National Commission began intensively in the second half of 2015. It is built taking into account the changing global situation -- both new opportunities and potential risks of global development. Five institutional reforms served as the basis for large-scale systematic measures taken by the state during this period in order to restore normal economic growth rates and provide the population with reliable social protection. This was especially important in the face of strong external pressure on the economy suffering from global economic difficulties. Roadmaps of action for each of the five reforms were developed and consistently implemented. In his 2015 address, N. Nazabayev compared the changes made in the country in the 1990s with \"100 concrete steps\" in scale. By the end of the year, the first results of five reforms were seen. In the article \"The National Plan -- the path to the Kazakh Dream\", published in January 2016, the president made his analysis of the work done and the planned activities. List of used literature: - Nazarbaev N. A. Era nezavısımostı. -- Astana: Atamura, 2017 - QAZAQSTAN tarıhy KÓNE ZAMANNAN BÚPNGE DEIIN - 5 tom