GOVERNMENT Weekly Review: Eurasian Media Forum held in Almaty. Road Map program discussed. Kazakh PM Massimov on trip in China

The assessment of FITCH International Rating Agency that affirmed BB+ investment rating of the city proves this fact. In particular, the President got familiarized himself with the first stage of subway construction at Rayimbek station in total KZT 26.7 bln were utilized in 2009 for the construction site. This year KZT 19.6 bln were allocated, and KZT 8.57 bln of them have already been utilized. President Nazarbayev visited the new building of Halyk Bank of Kazakhstan JSC where he was presented the financial results of the Bank over 2009. As earlier reported the assets of the Bank grew by 22.5% last year. Net profit rose by 9.1%.

Almaty hosted the IX Eurasian Media Forum on April 27-28. One of the major topics was the current Kazakhstan's chairmanship in the OSCE: importance, expectations and opportunities. Another topic of the Forum was named "Pandemic of Fear". There are many questions on mass media ability to give coverage to some events adequately and in a responsible manner in connection with a tendency of stirring up of various kinds of global news sensations. The Forum participants also discussed the issues of Internet zone regulation, the phenomenon of social networks development and the issues of political image. "As you know, we have proposed to hold the OSCE Summit in Astana and this idea was supported by all member states. We are grateful for this support", the Head of the State noted. It was noted that such event has not been held since 1999, after the Istanbul Summit. According to him, it is necessary to discuss the most topical security issues in the OSCE responsibility area, situation in Afghanistan and the tolerance issues. Therefore Kazakhstan seeks and creates new formats, structures of cooperation and security based on European experience, in particular, on practical achievements of the OSCE. One of them is the Conference on interaction and Confidence Building Measures in Asia which is notable for dynamic development and which has got the recognition on the Asian continent.

"Today the CICA can become a prototype of the system of collective security in Asia the aims of which coincide with the aims of the OSCE", President Nazarbayev said in his opening speech at IX Eurasian Media Forum. The Head of the State noted that in 2011 Kazakhstan would chair the Organization of Islamic Conference. As the country with dominating Muslim population Kazakhstan promotes rapprochement of the Islamic and Christian civilizations. According to him, Kazakhstan overcame all difficulties of the world crisis using means of the National Fund and relying on its own strength. Our economy finished the year 2009 with positive growth. And now this tendency strengthens. Following the results of the first quarter the country's GDP increased by 6.6 percent, export - by 60 percent, industry and trade - by 11.5 percent. Owing to timely measures restructuring of the national banks debts was completed, and the banking sphere was stabilized. President assured that "Kazakhstan is a reliable bridge to the economic space of the CIS, the Customs Union, Caspian region and Central Asia for investors".

Later that day Head of the State held a session where chairmen of the National Bank of Kazakhstan, Financial Supervision Agency and Agency on Regulation of Activities of the Regional Financial Center of Almaty city presented reports on their work in 2009; The major part of funds allocated by the National Fund for the support of priority economy sectors within the framework of antirecessionary measures was utilized. The financial system was stabilized. After the debriefing the President welcomed the results of the activity of monetary and financial agencies and gave a number of instructions regarding further development of the country's financial sector and implementation of monetary policy. It was noted that successful post-crisis development of Kazakh economy and realization of a five-year industrialization plan would depend on the state's capability to mobilize all necessary financial resources and rationally apply them in the economy. The stock market development is another important factor for the formation of a new business environment involving the development of new productions. The financial system and regulation bodies should promote accelerated economic diversification. This is a key task for the financial bodies and Government of Kazakhstan. As a whole, the country's development in 2010 is progressing. As a result of the first quarter of the year the country's GDP increased by 6.6%, industry and trade - by 11.5 and 10.5 per cent respectively.

This week Prime Minister held a discussion on The Road Map program 2009 results. The program directed on ensuring employment, especially, in the regions, has a special place in the package of the Government's anti-crisis measures. The Road Map-2009 allowed preserving stability in the country, preventing unemployment and reduction of the people's income. In his Address to the Nation New Decade-New Economic Growth-New Opportunities of Kazakhstan the Head of the State charged the Government to continue reconstruction of the facilities of housing-utilities sector which had been started under the Road Map 2009. Around 5, 300 projects were implemented last year under this program. About 248, 000 people were provided with jobs due to it. 125, 000 people found additional jobs due to the program of creation of social jobs and youth procurement. 97, 700 people passed training and retraining courses. The total number of employed population in 2009 made 146, 000. More than 56, 000 people were provided with work by employment authorities. At the Cabinet's last session in 2009 PM Masimov also noted that the KZT 132 bln has been allocated in 2010 for repair, reconstruction and construction of facilities in all investment directions. 3, 224 projects have been approved in total. 95 out of them relate to state property - the facilities of the ministries of healthcare, education and culture. 3, 062 projects (or 95%) are realized within state procurement.

As it was informed at the Government's telephone conference on April 26, KZT 16 703 mln had been utilized in the first quarter of 2010 while implementing the projects under the Road Map. 5 820 mln out of them was provided by the local budgets which makes 12.6% of the total sum for the year. In whole, 17, 000 jobs (13.3% of the plan) have been created countrywide. 5, 704 people or 33.6% have been employed. In total KZT 5 545, 1 mln has already been utilized as of April 1, 2010 that is 11% of the allotted funds. 6, 400 jobs were provided at the housing-utilities facilities. The Road Map-2010 provides for also staff training and retraining programs, 15, 604 people were sent to 352 educational institutions of the regions for retraining courses. In 2010 the retraining courses under the Road Map will be oriented on the needs of the projects and state industrialization program. During discussion Prime Minister noted that all administrators of budgetary programs must take utilization of budgetary funds under strict control within implementation of the Road Map 2010.

On April 29 Kazakh Premier Karim Massimov left with working visit for China. He is expected to open a national pavilion of Kazakhstan at the EXPO-2010, which is held in the city of Shanghai, China from May 1 to October 31, 2010. The theme of the exposition is called "Better City - Better Life". More that 190 countries and 50 international organizations confirmed their participation in the Shanghai World Expo. Familiarizing with exposition of the two-storeyed Kazakh pavilion, the Premier highly appreciated its design and performance. Mr. Massimov surveyed exhibition pavilions of Japan and China as well. "I think that EXPO-2010 in Shanghai demonstrates that economic development of the whole world is on a new technological stage. Hence in accordance with the Kazakh President's instructions, over which the Government works, it is necessary to study and introduce IT for competitiveness of Kazakhstan and our companies", PM Massimov said. Leader of the People's Republic of China Hu Jintao congratulated Kazakhstan on success in overcoming the consequences of the global financial crisis and achievement of economic growth in the first quarter of 2010. The parties expressed satisfaction with dynamic development of the Kazakh-Chinese relations and mutually beneficial cooperation over 19 years since establishment of diplomatic relations. High level of political dialogue and strategic partnership allows Kazakhstan and China to be optimistic on future of bilateral relations, H. Jintao and K. Massimov emphasized.