Public sector and state investments cannot ensure growth of Kazakhstan’s economy in future – WB

Almaty. June 15. Silkroadnews – The state sector and public investments will not be able to serve as Kazakhstan’s economic growth drivers in the future, Cyril Muller, vice president of the World Bank (WB) for the regions of Europe and Central Asia, believes, KazTAG reported.
“The government of the Republic of Kazakhstan faces a task of supporting the medium term growth level at 5% and the objective to enter the top thirty of the world’s leading economies in 2050. The systematic diagnostics of Kazakhstan allow us to study what is required to achieve the growth rates of 3%. Our diagnostics shows the growth drivers will have to change dramatically and the public sector and state investments cannot serve as the growth major forces”, C. Muller said during the Astana Economic Forum on Thursday.
The global financial crisis and the end of the commodities super-cycle imply that now Kazakhstan is moving along a trajectory of a smaller economic growth rate of 2-3% per year, the WB representative noted.
According to him, very large investments into infrastructure over the past 15 years have provided Kazakhstan with the opportunity to integrate into international markets and use its strategic geographical location.
“The challenge for the Kazakhstani economy is to effectively use these assets as a foundation for future growth. Thus, the success of Kazakhstan will be connected not with using the infrastructure only for transit purposes, but in the form of integration with fast-growing dynamic regions”, he specified.