Restoration of Investment Actions in Kazakhstan
Let's dive into the investment scene in Kazakhstan in 2020! Last year saw a whopping 90% of foreign investment pouring into this Central Asian nation from a handful of 14 donor countries, according to the Ministry of Foreign Affairs.
In a bid to further boost investment activity, the Ministry introduced a clever three-tier system. This system creates country-specific investment programs for all diplomatic missions, valid for a cool five years. These programs identify strategic sectors and partnerships, enabling ambassadors to engage with around 150 interested investors each month. The best proposals are narrowed down to a shortlist of about 15 promising companies.
The main contributors to this foreign investment flood included the Netherlands, Switzerland, Belgium, France, Germany, Italy, the USA, the UK, Russia, China, South Korea, Turkey, Japan, and the UAE. A press conference highlighted these key players, but it's worth noting that specific contributors for 2020 may not be detailed in the search results.
Kazakhstan has been a hotspot for cross-border investment in recent times, emerging as a strategic pivot with substantial foreign direct investment inflows. To encourage further investment, the nation launched an online portal - elicense.kz - in 2020, designed to streamline investment processes by allowing investors to conclude contracts online and cut through bureaucratic red tape. Additionally, 14 special economic zones were established, offering incentives such as tax exemptions for up to 25 years.
Targeted sectors for foreign investments in Kazakhstan include metallurgy, petrochemistry, food industry, tourism, and renewable energy. These sectors are frequently supported by Kazakh Invest, the nation's one-stop shop for investors.
Looking ahead, Kazakhstan's focus in attracting investments will be on sectors generating the most interest among foreign investors, such as logistics, digital and “green” technologies, and the exploration of new deposits. Given the current situation, additional efforts are planned in the pharmaceutical, processing, and food sectors, too. As for the future, 2025 saw the introduction of a "golden visa" program, allowing foreign nationals who invest a minimum of $300,000 in Kazakh companies or securities to obtain a residence permit for up to 10 years. However, this newer development aimed at boosting investment attractiveness wasn't emphasized in 2020's initiatives.
- The shortlist of promising companies for potential investments in Kazakhstan in 2020 may include those from the 14 donor countries that contributed significantly to foreign investments.
- Ambassadors from various embassies, including those of the Netherlands, Switzerland, Belgium, France, Germany, Italy, the USA, the UK, Russia, China, South Korea, Turkey, Japan, and the UAE, might have been engaged with around 150 interested investors each month due to the investment programs introduced by the Ministry of Foreign Affairs.
- To encourage further investment in strategic sectors such as metallurgy, petrochemistry, food industry, tourism, and renewable energy, Kazakhstan launched an online portal - elicense.kz - in 2020 to streamline investment processes.
- Foreign investors interested in Kazakhstan business opportunities can consider investing a minimum of $300,000 in Kazakh companies or securities starting from 2025, which will enable them to obtain a residence permit for up to 10 years under the "golden visa" program, although this initiative wasn't emphasized in 2020's investments focus.
