Further measures on attracting investments discussed in Karaganda region
NUR-SULTAN. KAZINFORM Karaganda region is one of Kazakhstan’s leading regions in terms of attracting investments. Thus, during the first half of the year, 2 projects worth $ 139 million in the fields of metallurgy and renewable energy were launched with support of Kazakh Invest. Currently, 4 projects worth $438 million are at the construction and installation phases. Of these, 2 projects worth $ 133 million are planned to be commissioned this year. These are a plant for production of industrial gases by Linde Group (Germany) and renewable energy project by Solarnet (Germany). The projects will create about 1800 jobs, according to Kazakh Invest.
In line with the instructions given bythe Head of State Kassym-Zhomart Tokayev on attracting investments, the CEO ofKazakh Invest Baurzhan Sartbayev paid a working visit to Karaganda region.During the visit, he discussed issues of interaction with investors on currentand future projects, promotion of investment opportunities and enhancement ofthe region’s investment attractiveness.
Baurzhan Sartbayev visited the plant forproduction of industrial gases by Linde Group and a number of enterprises of SaryarkaSpecial Economic Zone, such as the plant for production of industrialexplosives «Berkut» and the plant for production of ball valves «BömerArmatura». The meetings covered a range of issues, including requiredassistance in terms of budget estimates approval, modernization of production,and provision of infrastructure in accordance with the programme «Businessroadmap - 2020».
The Head of Kazakh Invest also met withthe authorities of Karaganda region. To date, the region is one of the leadersin attracting investments. In particular, according to the Deputy Governor ofKaraganda region Almas Aydarov, the region recorded a 25% increase in fixedcapital investments last year. By the end of the year, the goal has been set toattract 550 billion tenge of investments. «From the beginning of the year, 9new investment projects worth 280 billion tenge in the fields of renewableenergy, chemistry, manufacturing, metallurgy and agriculture are beingimplemented. Manufacturing and mining are our priority sectors. We also focuson the logistics and food industries».
Taking into account the instructions ofthe Head of State on investment attraction in agriculture for the next threeyears, Kazakh Invest has been intensifying work in this direction. The mostpromising sectors include production of meat and dairy products, potato starchand confectionery.
«Anentire cluster can be developed within these areas. For instance, by-productsof potato starch production can be an excellent feed for livestock. As such, it isadvisable to establish a feedlot or dairy farm near the plant. Additionally,feed crops are ideal for crop rotation for potato growing. Another niche forattracting investors is the production of poultry meat. There is a positivegrowth in the number of birds in the region (as of January 2019 - 3.9 millionheads). Demand for poultry increases significantly every year. The processbecomes less expensive and more profitable with introduction of moderntechnological developments,» –noted the Head of Kazakh Invest during the meeting with the representatives ofKaraganda region.
To date, Kazakh Invest project pipelineincludes 185 investment projects and initiatives worth $49.4 billion andcreating over 45 thousand jobs. Of these, 4 projects worth $217 million havebeen implemented, 82 projects worth $15.2 billion are currently beingimplemented, and 99 projects worth $34 billion are at the development phase. Ofthese, 15 investment projects worth $2.5 billion are located in Karagandaregion.
Kazakh Invest is working on 6 potentialprojects worth $1.8 billion in the field of mining and metallurgy and machinerybuilding. The company «packaged» 73 investment projects in accordance with theinternational standards (business plan, financial model and market research).Of these, 7 projects in the fields of agriculture, mining and metallurgy arelocated in Karaganda region.
According to Baurzhan Sartbayev, by theend of the year, Kazakh Invest plans to «package» additional number of projectsin mining and metallurgy, including 2 projects for construction of plants forextraction and production of gold and porphyry copper ores. As a result ofjoint efforts of the authorities of Karaganda region and Kazakh Invest, anumber of project initiators are currently having active negotiations withpotential foreign investors.
KazakhInvest, acting as a «single negotiator» on behalf of the Government of thecountry, provides a full range of services for implementation of investmentprojects, including business registration, obtaining various permits andapprovals necessary for conducting investment activities in the Republic ofKazakhstan.