Economy of Kazakhstan - Реферат

ECONOMY Kazakhstan is important to world energy markets because it has significant oil and natural gas reserves. Within the next decade Kazakhstan would become one of the worlds largest oil producers and exporters. But Kazakhstan’s strategic aspiration is to become a modern, diversified economy with a high value added and high-tech component, well integrated into the global economy. Energy sector is viewed as a good basis to achieve this goal. The future of the Kazakhstan economy is closely connected with further integration into international economic relations, efficient disposal of unique reserves of hydrocarbon and mineral resources, export of industrial and agricultural products, optimum employment of countrys transit potential and also with availability of highly qualified human resources in different spheres. During the Soviet period Kazakhstan was an agrarian country and raw materials supplier of the former Soviet economy, where the military industry played the dominant role. The main economic content of 19 years of independence has become transition from a centrally planned economy to a market economy. During years of independence Kazakhstan has made considerable progress in implementing complex political, economic and social reforms to establish a politically stable market economy. The first 10 years of Kazakhstan’s independence were characterized by numerous economic, social and environmental challenges. Due to the destabilizing force of disintegration of the Soviet Union real GDP by 1995 dropped to 61,4% of its 1990 level. This economic deterioration exceeded the losses experienced during the Great Depression of the 1930s.The wide-ranging inflation observed in the early 1990s peaked at annual rate of up to 3000% in mid-nineties. Nevertheless, since 1992 Kazakhstan has actively pursued a program of economic reforms designed to establish a free market economy through privatization of state enterprises and economic decentralization. Successful implementation of reforms resulted in general recognition of Kazakhstan in 2001 as the country with the market economy (first in CIS countries). Western countries have highly appreciated Kazakhstan’s reforms in the areas of currency convertibility, inflation targeting, foreign investment policy, demonopolization and reallocation of resources. Being the most successful reformer in the CIS and based on its strong macroeconomic performance and financial health, Kazakhstan became the first former Soviet republic to repay all of its debt to the International Monetary Fund (IMF) in 2000 (7 years ahead of schedule). This contributed to receiving an investment-grade credit rating from major international credit rating agencies. Today Kazakhstan is rated as follows: BBB-/Stable from Standard&Poors, Baa2/Stable from Moodys Investors Service and BBB-/Stable from Fitch Ratings. Global financial crisis which started at the end of 2007 had multiple implications on Kazakhstan’s economy and exposed underlying vulnerabilities. With lower oil and commodity prices and adverse conditions in international capital markets new challenges for emerging economy have surfaced - declined public revenue, liquidity shortages, national currency’s stability, dependence of financial institutions on external funding, negatively affected investors’ confidence and capital outflows. In these circumstances the Government quickly stepped in to regulate and stabilize the situation. A set of policies has been introduced under the Anti-Crisis Program to help mitigate economic vulnerabilities and establish a basis for the resumption of strong growth. As a part of the policy Kazakhstan has devalued its currency and vastly expanded its role in the financial sector by entering into the capital of the four largest banks. As of April 2, 2010, Kazakhstan is in the 5th group of risks according to the country risk classification by Organization for Economic Cooperation and Development, OECD. In the 5th group, except Kazakhstan, there are also Azerbaijan, Croatia, Macedonia, Paraguay etc. Holding significant resources of oil and gas, coal and uranium, Kazakhstan is an important energy player in the world. In the 1st quarter 2010 Kazakhstan has produced 19.7 mln. metric tons of oil and gas-condensates ( 8.8% in comparison with the 1st quarter 2009), 27.4 mln. metric tons of coal ( 12.4%) and 9.7 bln. cubic meters of natural gas ( 11.5%). However, bearing in mind recent fluctuations in the world commodities market, the Government targets its energy policy on further diversification of energy resources, efficient energy use, stimulation of R&D in renewables and raising a profile of environment component. Today investments in natural resources constitute 72% of all investments in economy. 73% of investments in natural resources come from overseas and the rest is generated by the national economy. Being an integral part of energy sector, a system of pipelines and infrastructure are key elements of a viable