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Foreign investment in Kazakhstan’s economy. July 2016

08 September 2016

The Kazakh economy attracted over KZT1.3tn in foreign investment, or 25% up year on year, in January-July of 2016. In July alone KZT181bn was injected into the economy (up 5.3% year on year). However, in total investment in fixed capital foreign investment accounted only for 28%. The highest share of foreign investment since 2014 was 46.8% in January 2015.

 

The main target for investment chosen by foreigners was the oil and gas industry which could be seen from the geographical distribution of foreign investment. Over 50% of all investment in Kazakhstan was placed in Atyrau Region in the period studied. Moreover, Atyrau Region is one of four regions where the share of foreign investment exceeds 50%. A higher figure is only in West Kazakhstan Region bordering Russia.

The least attractive to foreign investors are two other border regions – Kostanay Region and North Kazakhstan Region, with foreign investors placing less than 0.5% of total foreign investment in these regions.

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