Kazakhstan trims GDP forecast as industrial output plunges

ASTANA. September 13. KAZINFORM Kazakhstan lowered its 2012 economic-growth forecast as data showed industry in the Central Asian nation contracted the most since March 2009 last month.

photo: QAZINFORM

Gross domestic product may advance 5.8 percent this year, the Economic Development and Trade Ministry said in materials distributed today in the capital, Astana, trimming a February forecast for 6 percent growth.

Output at factories, mines and utilities fell 3.7 percent from a year earlier in August after a 0.5 percent decline in July, the state statistics agency today said on its website. That's more than the 1 percent drop predicted by the median estimate of seven economists in a Bloomberg survey. Oil production plunged 14.6 percent and natural-gas output fell 4.7 percent, the data showed.

GDP rose 5.6 percent from a year earlier in the first half of 2012, the State Statistics Agency said Aug. 14. President Nazarbayev had predicted May 23 that the economy would expand 7 percent this year. Policy makers cut the benchmark refinancing rate by a half-point to a record-low 5.5 percent last month, Kazinform has learnt from Bloomberg.