Monthly Market Risk Update: April 2024 [SlideShare]
Astana calling No.477
1. A WEEKLY ONLINE PUBLICATION / WWW.MFA.GOV.KZ
ISSUE NO. 477 / FRIDAY,OCTOBER 7, 2016
Nazarbayev,PutinMeetinAstana,
AddressCooperationForum
Also InThe News
In Focus:
Foreign Policy Priorities
ForeignMinisterAttendsEU-Related
GatheringsinBrussels
KazakhFreestyleWrestlerAkzhurek
TanatarovFightstoWin
2. Nazarbayev,PutinMeetinAstana,AddressCooperationForum
Calling
Astana ASTANA CALLING / ISSUE 477/ 2 Back to Contents
President of Kazakhstan Nursultan Nazarbayev and President of
Russia Vladimir Putin met in Astana to discuss bilateral cooperation
and took part in the Oct. 4 Kazakhstan-Russia Interregional
Cooperation Forum. This forum, the 13th iteration of the meeting,
had the theme “Developing the Transport and Logistics Potential of
the Eurasian Space.”
Nazarbayev called the forum evidence of the high level of the two
countries relations.
“The governments of our states have worked well in order to
implement the agreements reached at the previous forum in Sochi,”
he said. “Today, the forum will bring together 900 businessmen from
the two countries. We have already reached certain agreements as
the result of negotiations between the heads of neighbouring regions
of Kazakhstan and Russia.”
Putin also drew attention to the strategic partnership between the
neighbour states.
“We interact in almost all areas. At this interregional forum, organised
onyourinitiative,Russiaisrepresentedby400businessmenwhowork
directly with Kazakhstan. The theme of the forum is important and
useful for the development of transport and logistics infrastructure in
our region,” Putin noted.
In total, some 1,300 representatives of the government agencies,
public-private entities and business circles of Kazakhstan and Russia
attended the forum to discuss expanding trade and investment.
Addressing the forum, Nazarbayev stressed Russia’s role as an
important strategic, trade and economic partner of Kazakhstan, and
said the current lower levels of trade result from external factors.
“Thisforumcontributestothecontinuationofourmutuallybeneficial,
wide-ranging business cooperation. The volume of bilateral trade in
the first half of this year amounted to nearly $6 billion. At the same
time, this index declined by 30 percent in comparison with the pre-
crisis period. In many ways, such dynamics are associated with a
number of global external circumstances,” he said.
Bilateral economic cooperation remains strong, the President said.
President Nursultan Nazarbayev (right) and President Vladimir Putin at the forum
“There are more than 6,000 joint ventures operating in Kazakhstan. A
large number of bilateral investment projects are being implemented;
in particular, in the petrochemical, mining and metallurgical complex.
At the moment, we have more than 60 projects worth $20 billion, the
promotion of which will be supported,” he informed.
And regional integration brings more opportunities for expanded
cooperation in comfortable settings, he noted.
“We are working within the framework of the Eurasian Economic
Union [EAEU]. A free trade agreement was concluded with
Vietnam. There are similar talks being held with China, South Korea
and Singapore. Countries like India, Egypt, Iran, the Association of
Southeast Asian Nations [ASEAN] member states and others intend
to develop cooperation with the EAEU. We have purposefully formed
the common rules of the game, which are clear to all producers and
investors. By investing in Kazakhstan’s economy, Russian businesses
will almost be able to feel like they are at home.”
Nazarbayev drew attention to Kazakhstan’s efforts to improve its
investment climate, especially through liberalised tax regimes. He
also pointed out the oil-rich nation’s ongoing efforts to diversify its
economy, noting large-scale privatisation programmes, the creation
of innovation clusters in the country’s major cities, the EXPO 2017
project and the creation of the new Astana International Financial
Centre.
Returning to the theme, Nazarbayev highlighted the importance
of the transport economy for both nations. “The mutual interest of
our countries lies in the creation of powerful transport and logistics
infrastructure between Europe and Asia,” he said.
The forum continued with panel discussions on developing the
transport and logistic potential of Kazakhstan and Russia and
eliminating trade barriers.
More than 30 bilateral agreements were signed on projects in priority
sectors like the food industry, chemistry, metallurgy, innovations,
mechanical engineering, pharmaceuticals and the production of
construction materials..
3. ForeignMinisterAttendsEU-RelatedGatheringsinBrussels
Calling
Astana ASTANA CALLING / ISSUE 477/ 3 Back to Contents
After spending the end of September in New York, Kazakh Foreign
Minister Erlan Idrissov travelled to Brussels the first week in October
to attend conferences with European Union (EU) officials.
Working with Slovakian Foreign Minister Miroslav Lajčák, Idrissov co-
chaired the 15th meeting of the EU-Kazakhstan Cooperation Council.
The Oct. 4 session was the first following the signing and provisional
application of the Enhanced Partnership and Cooperation Agreement
(EPCA) between the entities.
“The EPCA has a very big chapter dedicated to trade and economic
cooperation. Europe is our main trade partner and the source of
foreign investments. Therefore, this sphere has been outlined in the
new agreement. Overall, the EPCA covers 29 spheres of interaction,”
said Idrissov.
As its name implies, the Cooperation Council provided an opportunity
to discuss financial collaborations and the role of the newly-formed
cooperation committee trade configuration, which will address
import/export and economic/investment issues. The talks specifically
noted simplifying the visa regime for Kazakh citizens traveling to
the EU, identifying Kazakhstan as a market economy and the future
subcommittee on customs cooperation.
“The potential of trade, economic and investment cooperation
between Kazakhstan and the EU is far from being disclosed. The main
objective of the established structures should be further development
of this potential and assistance for the implementation of the EPCA,”
said Idrissov.
The meetings included representatives of the Kazakh ministries
of National Economy, Investments and Development, Energy and
Justice, the National Security Committee and National Centre for
Human Rights and the discussions touched on each of their areas
of concern – environmental and human rights protection, political
cooperation, the rule of law and good governance, internal reforms
and combating new threats.
SimilartopicsplusAfghanistan,Iran,Ukraineandregionalcooperation
in energy, environment, water resources, border security and
combating drug trafficking were on the agenda when Idrissov and
his counterparts Erlan Abdyldaev (Kyrgyzstan), Sirodjidin Aslov
(Tajikistan), Rashid Meredov (Turkmenistan) and Abdulaziz Kamilov
(Uzbekistan) met with EU High Representative for Foreign Affairs and
Security Policy and European Commission Vice President Federica
Mogherini. The sides discussed relations within the EU Strategy for
Central Asia, initiated in 2007 and renewed in 2015 through 2020.
“Our cooperation with our partners in Central Asia covers a lot of
areas, with an eye also on the security challenges. We share a common
neighbourhood, we share deep links and that is why we are engaged
more than ever in expanding and enhancing our relations,” said
Mogherini, according to eeas.europa.eu.
Idrissov later participated in the 18th Berlin Eurasian Club with the
theme “EU – Central Asia Energy Dialogue.” The talks, involving
German officials and representatives of leading European companies
in conventional and renewable energy, provided a segue for the
Foreign Minister to speak about EXPO 2017, the future energy-
themed international exposition to be held in Astana. He also spoke
about his nation’s socio-economic reforms and priorities with the EU.
The Kazakh delegation participated the following day in the
Brussels Conference on Afghanistan. Arranged by the EU and
Afghan government and attended by representatives of more than
70 countries and 30 international organisations, the conference
reviewed joint international and Afghan efforts to increase sustained
global support and funding based on a new national development
framework. Afghan President Ashraf Ghani and Chief Executive
Abdullah Abdullah presented their vision of the future and track
record on reform.
Idrissov noted that Kazakhstan continues to provide political and
practical support to Kabul. KazAID, the nation’s official development
assistance agency, focuses on Afghanistan, including a pilot project to
improve the economic independence and rights of women launched
inAugustwiththeUnitedNationsDevelopmentProgramme(UNDP)
and Japan International Cooperation Agency (JICA). Kazakhstan also
provides university grants to young Afghans within the educational
programme initiated by President Nursultan Nazarbayev in 2009.
Following the meeting, Idrissov announced Kazakhstan will allocate
$2 million to support the projects of Afghan security forces, adding
the country intends to focus on solving the problems of Central
Asia, including the stabilisation of Afghanistan, during its 2017-2018
membership on the UN Security Council.
The meeting of the Berlin Eurasian Club
4. KazakhFreestyleWrestlerAkzhurekTanatarovFightstoWin
Calling
Astana ASTANA CALLING / ISSUE 477/ 4 Back to Contents
Twenty-nine-year-old freestyle wrestler from the Zhambyl region
Akzhurek Tanatarov is known far beyond the borders of Kazakhstan.
The athlete gained international fame when he won the bronze medal
at Summer Olympic Games in London four years ago.
Tanatarov’s athletic achievements at the international level are the
result of his countless workouts, which began almost 20 years ago.
The success he has achieved is largely thanks to his teacher Shokan
Nadyrbekov, who brought up a number of successful athletes,
including Olympic medalist Islam Bayramukov. Bayramukov was the
first to note Tanatarov’s talent and insisted the boy to continue doing
sports.
Akzhurek achieved his first success in 2003 winning the grand prize
of the championship of Kazakhstan. Thereafter, he has not descend
from the pedestal of national championships and tournaments. His
name has always been among the list of winners. Five years after the
first gold medal, the young and promising athlete went under the
guardianship of Adilet Sarybaev, who by that time had proven to be
a good coach. Success did not make him wait long. Tanatarov was
quickly winning awards regularly.
Tanatarov has many titles. He is a seven-time champion of
Kazakhstan, winner of the 2011 Kazakhstan Cup, bronze medalist of
the international tournament for the Takhti Cup in Iran and winner of
the international tournament among junior athletes in France.
His performance at the International Asian tournament in Astana in
the weight category to 66 kg added another silver to his collection and
allowed him to take part in the Olympic Games in London in 2012.
For his achievements, Tanatarov was awarded the title of Merited
Master of Sports of Kazakhstan and received the Order of Kurmet
(Honour).
Right after the Olympic Games on the advice of experts, Tanatarov
took a long break to recover and was not visible for almost a year.
During that period, changes were made in weight categories, so he
had to adjust to the new standards. Thus, he decided that the 74 kg
category would be appropriate for him.
In his new category, Tanatarov participated in the world championship
in Hungary in 2013. However, he did not succeed. Later, in 2014-
2015 the athlete managed to win several international tournaments.
For example, with a victory he ended his performance at the regular
tournament in Taraz. Tanatarov took gold at the Munich tournament
in Germany and won bronze at the international tournament in Iran.
Akzhurek Tanatarov (second from right) among medalists from the 2012 Summer Olympics in London
Taking part in two major competitions at that time, he injured his legs
and underwent two surgeries. He has fully recovered and trains with
Honoured Coach of Kazakhstan Baurzhan Nurmahanov in Almaty.
Unfortunately, this year Tanatarov failed to gain the needed weight
to take part in the Olympics Games in Rio. Therefore, he set a goal
to compete at the upcoming world championship for athletes in his
category in Turkey in December.
As for next year, Tanatarov plans to test himself in a new sphere –
ultimate fighting.
Today,heworksasDeputyDirectorofAlmatySchoolchildren’sPalace.
He is married and has a son and a daughter.
Tanatarov is known as goal-oriented, strong-minded, however, kind,
modest and trustworthy.
Tanatarov has many titles. He is a seven-
time champion of Kazakhstan, winner of
the2011KazakhstanCup,bronzemedalist
of the international tournament for the
Takhti Cup in Iran and winner of the
international tournament among junior
athletes in France.
5. InFocus: Foreign Policy Priorities
Slovakia confirms EXPO 2017 participation
Slovakia officially confirmed Oct. 5 participation in EXPO 2017 with
the presentation of a letter given to EXPO 2017 Commissioner Rapil
Zhoshybayev during a meeting with Slovak Embassy representatives
in Astana.
Slovakia became the 104th state to confirm participation. Seventeen
international organisations have confirmed their participation, 99
commissionershavebeenappointedand82participationagreements
have been signed.
Welcoming Investment
Kazakhstan, EDB sign exports agreement
An export promotion cooperation agreement was signed Oct. 4 in
Astana during the 13th Interregional Cooperation Forum between
Kazakhstan and Russia.
Chairperson of the Board of Kazakh National Holding Baiterek
Yerbolat Dossayev and Chairperson of the Board of the Eurasian
Development Bank (EDB) Dmitry Pankin signed the agreement.
According to the agreement, Kazakh Export Credit Insurance
Corporation KazExportGarant and the EDB will support Kazakh
exporters in terms of insurance of export risks of products, works
and services within the framework of the Eurasian Economic Union
(EAEU) and beyond its borders. To this end, the EDB earmarked
some $100 million.
“We have enormous potential for cooperation. Nowadays, there are
new opportunities related to export promotion and creation of joint
ventures. It is high time to use new approaches, specific products
and reciprocal credit lines. Our holding is ready to render all-round
support,” Dossayev said. (inform.kz)
Calling
Astana ASTANA CALLING / ISSUE 477/ 5
Strengthening UN & Int’l Security
Ministry of Foreign Affairs expresses regret over termination of
US-Russia Syria talks
In an Oct. 5 statement, the Ministry of Foreign Affairs of Kazakhstan
expressed its “deep regret” regarding the termination of cooperation
between the United States and Russia on the settlement of the
situation in Syria.
“Such scenario is fraught with further bloodshed and human losses in
this long-suffering country, it jeopardises all the previous agreements
and prospects for achievement of a settlement in the foreseeable
future. We are very anxious about disagreements between the two
major powers, such as Russian and the U.S. and deepening break in
finding solutions on regulation of Syrian crisis. This circumstance will
not be helpful in de-escalation of the conflict and achieving stability
in the whole region of the Middle East,” the statement said.
“As noted in the Sept.10, 2016 statement of the Foreign Ministry,
Kazakhstan supported the agreement between Russia and the U.S.
on development of the general settlement plan on Syrian crisis. We
are deeply concerned that this plan, which gave hope for peace in
Syria, was not implemented,” it continued.
According to the announcement, the Kazakh Ministry of Foreign
AffairscalledfortheresumptionofnegotiationsbetweenRussianand
the U.S. on the issue to prevent further escalation of the humanitarian
crisis, as well as end the suffering of the Syrian people.
Russia and the U.S agreed Sept. 9 in Geneva on a new plan to
reduce violence in the Syrian conflict. The agreement was reached
after 10 months of unsuccessful attempts to halt the fighting and of
suspended efforts to reach a political settlement to an increasingly
complex conflict that began more than five years ago.
MFA Ambassador-at-large participates in IPB World
Congress
Ambassador at Large of the Ministry of Foreign Affairs of Kazakhstan
Erbolat Sembaev participated in the International Peace Bureau
(IPB) World Congress in Berlin Oct. 1-2 on the theme “Disarmament
for Sustainable Development.” Sembaev spoke on behalf of
Kazakh Foreign Minister Erlan Idrissov about President Nursultan
Nazarbayev’s nuclear non-proliferation and disarmament initiatives.
MeetingparticipantsweregivenasoverviewareportoftheStockholm
International Peace Research Institute (SIPRI) on the issue.
Participants concluded that the future of the planet is unthinkable
without successful anti-nuclear policy in all countries. It was noted
that Kazakhstan’s promotion of anti-nuclear initiatives is an example
for other countries.
Hosting Astana Expo 2017
Back to Contents
6. Also InThe News...
• President visits Pavlodar region
President of Kazakhstan Nursultan Nazarbayev visited agricultural
and industrial complexes, launched the Bozshakol mining and
processing plant and met with local farmers during a Sept. 29 visit
to the Pavlodar region. “A 7,000-kilometre-long highway will be
constructed for our children, grandchildren and great grandchildren
in five years. The government helps its citizens during economic
crisis. New apartments, utilities, bridges, roads and cities will be
constructed under the Nurly Zhol programme,” Nazarbayev said.
The Bozshakol mining and processing plant has a capacity of 30
million tonnes of mined ore and can produce 100,000 tonnes of
copper concentrate. The plant will employ approximately 1,500
people. The plant’s performance is believed to be 15 times higher
than that of similar plants through the use of advanced equipment
and a powerful mining fleet. “Construction work is almost
completed and now we are focused on increasing production levels
and reaching 100,000 tonnes of copper [production annually].
The company is coming closer to its strategic goal – to become a
long-term manufacturer, which will produce 80 percent of the ore
in large-scale, low-cost open pits,” said Chairman of KAZ Minerals
Group Oleg Novachuk. The President visited the construction
site of the largest arch bridge in Central Asia, which will be part of
Kazakhstan’s Centre-East highway. The bridge will provide transit
flows bypassing Pavlodar city. It is planned to put the bridge into
operation Dec. 16. (astanatimes.com)
• Light rail tram coming to Astana in 2018
A light rail tram will be introduced in Astana in 2018, Astana Akim
(Mayor) Asset Issekeshev announced. “The launch of the light
rail tram is one of the city’s important projects. In the first stage,
a 22.4-kilometre route will connect the international airport, the
expo area, Nazarbayev University, Abu Dhabi Plaza and the House
of Ministries and go on to a final stop at the new railway station. The
system includes 18 closed stations with passenger turnover capacity
of up to 150,000 people a day,” Issekeshev said. “The population has
tripled and exceeded 1 million, and the number of cars increased as
the city became the capital of Kazakhstan. The rate of motorisation
is more than double annual population growth. Today, there are
more than 350,000 cars in Astana. This number reaches half a
million when coupled with transit vehicles. It puts a huge burden
on the infrastructure system and causes major traffic congestion,”
Issekeshev informed. Astana’s transport system is being updated
now, and includes the development of public transport and
information technology systems to support traffic management,
as well as the introduction of prohibitions and restrictions (on the
entry of freight transport, for example). Priority in transport will
be given to pedestrians, cyclists and public transport users and
only then to car drivers, in keeping with international trends.“We
plan to construct and reconstruct about 50 infrastructure objects,
including 25 roads, six bridges and nine road junctions, as part of the
road network development. Currently we are collaborating with the
government on funding,” the Mayor said. (astanatimes.com)
• KIOGE conference held in Almaty
The Kazakhstan International Oil and Gas Exhibition and
Conference (KIOGE) was held in Almaty Oct. 5. Kazakhstan’s Vice
Minister of Energy Magzum Mirzagaliyev said that development
of the Kashagan oil field will be profitable for the government of
Kazakhstan no matter how low oil prices are. “Pre-commissioning
works are currently underway at Kashagan. In late October, we
plan to produce at least 75,000 barrels per day and to increase
this figure in the future. This project is profitable for us no matter
how low oil prices are, because we will get royalties and taxes,”
Mirzagaliyevsaid.General DirectorofBRBInvestGalimKhussainov
stressed that Kazakhstan often neglects small and medium oil
fields.b“Kazakhstan bets on the development of large oil fields
such as Tengiz and Karachaganak and often neglects small and
medium oil fields. However, they create more workplaces and hire
local specialists and oilfield service companies. After the 2015 crisis,
small and medium companies in Kazakhstan’s oil industry found
themselves in the hot seat,” he noted. Khussainov added that over
the past three years, oil production in Kazakhstan dropped to 75–77
million tons per year. (inform.kz)
• South Kazakhstan making fine wool and cashmere products
A garment factory in South Kazakhstan region has begun making
women’s wool and cashmere coats. Previously, the factory
specialised in male and female clothing; now, it has diversified
its production range to include coats. At the moment the work is
underway on a new design using Kazakhstan’s national ornaments.
It is expected that the coats will start selling in October. German
designers have helped make the first models. Factory representative
Anatoly Kim said that eight models are ready for production. So
far, material for the coats will be brought from Italy and Turkey.
However, the coats will be 20–30 percent cheaper than imported
ones. In addition, the designers are planning to launch production
of men’s outerwear. “I think that this company has a great future.
People here work hard and make quality clothing. I think they will
succeed,” German designer Yatta Haydelman said. (kazpravda.kz)
• Silk Road International Music Festival underway
Astana Opera is presenting a programme encompassing a roster
of national and international performances, instrumental music
concerts and acclaimed ballet productions from Sept. 22–Nov.
15 as part of the third Silk Road International Musical Festival.
“Abai,” a national operatic masterpiece created by distinguished
composers Akhmet Zhubanov and Latif Khamidi, was staged on
the opening evening. Presented in collaboration with production
groups from Italy and Kazakhstan, the play wowed the audience
with its rich decoration, beautiful costumes, 3D effects and
excellent performances. Puccini’s “Madame Butterfly” featuring
People’s Artist of Belarus Nina Sharubina and Boris Asafiyev’s “The
Fountain of Bakhchisarai” with the participation of international
competition laureate Lyudmila Khitrova and Honoured Artist of
Belarus Oleg Eromkin were also staged the first week. The most
anticipated production, Verdi’s “La Traviata” starring Honoured
Artist of Ukraine Zoya Rozhok, Belarusian Bolshoi Theatre soloist
Yuri Gorodetsky and local vocalists, will be held Oct. 7. “Carmina
Burana,” one of the most popular works by Carl Orff, will premiere
Oct. 18 as part of the Spiritual Culture World Forum. The choral
piece, grouped into “Spring,” “In the Tavern” and “The Court of
Love,” will be performed by Astana Opera’s soloists, chorus and
symphony orchestra under the guidance of Honoured Worker of
Kazakhstan Abzal Mukhitdinov. Virtuoso South Korean pianist
Kun-woo Paik will give a concert Nov. 4 with the assistance of the
Korean Embassy. “The Venetian Sounds of the Oboe,” highlighting
international competition laureate and La Scala Opera House
orchestra first oboe Gianfranco Bortolato and the Astana Opera
Chamber Orchestra, will be held Oct. 30. (astanatimes.com)
• FilmfestivalinBucharestcelebratesKazakhstan’sindependence
A film festival dedicated to the celebration of the 25th anniversary
of Kazakhstan’s independence was held in Bucharest Sept. 29–Oct.
1. The event was organised by Kazakhstan’s embassy in Romania
with support from KMG International, the Kazakhfilm studio and
the French Culture Institute in Bucharest. During the festival,
five famous films from Kazakhstan were screened in the city.
Ambassador of Kazakhstan to Romania Daulet Batyrashev noted
that presenting his nation’s cinematography to Romanian audience
could be a good tradition to generate interest in Kazakhstan’s
culture. The film festival offers Romanians a unique opportunity to
discover the Land of the Great Steppe and get acquainted with its
rich history and culture, he said.
ASTANA CALLING A WEEKLYONLINE PUBLICATION /
WWW.MFA.GOV.KZ
Please send comments and questions to pressa@mfa.kz
Calling
Astana ASTANA CALLING / ISSUE 477/ 6 Back to Contents