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Corporate Social
   Responsibility
   in Kazakhstan:
tendencies, obstacles,
    opportunities.


                 Rinad Temirbekov
                Executive Director
 Eurasia Foundation of Central Asia


                       April 26, 2012
About us

Eurasia Foundation of Central Asia (EFCA) is a non-profit organization founded in the
region in 2005 to promote civic engagement and support local initiatives in private
enterprise, education, and public administration in Central Asia based in Almaty,
Bishkek, Osh and Dushanbe.
                             OUR PROGRAM AREAS

    Developing civil society and improving quality of services for citizens
    Improving the quality of education and supporting youth
    Developing entrepreneurship and supporting economic growth
    Promoting Corporate Social Responsibility (CSR)
    Providing consulting services for companies in the area of CSR




         Professional and innovative solutions for social issues!
CSR in Kazakhstan development stages
     «Infant» stage         «The Formation» stage      «The Awareness» stage
      USSR – 2000                2000 – 2008                 2008 – 2011
• Soviet patronage and     • First CSR research        • Regional CSR public
  mentorship in place        done by EFCA and            committees formed
  as first CSR practice      UNDP                        and MoU signed
• Sponsorship and          • CSR working groups        • National companies
  charity terms              formed by AmCham,           start to integrate some
  introduced by foreign      UNDP                        CSR practices in
  companies                • Global UNDP                 business
• NGOs start to appear       agreement signed by       • First CSR website and
  to pick up on social       12 Kazakhstani              CSR Club launched
  issues and partner         companies                 • Some companies start
  with local and           • First CSR forum held in     to report on social
  international business     Zheskazgan in 2008          investments
                           • First CSR competitions    • Increased interest for
                             organized such as           CSR in 2011
                             Paryz and Altyn
                             Zhurek
Major obstacles to the promotion of CSR in Kazakhstan

                        Lack of systematic approach in CSR
                          promotion from government,
                               business and society


Limited awareness of CSR as a              Lack of transparency and access to
          concept                         information about companies’ CSR
                                                 activities (CSR reports)
          Lack of legislative and tax
         mechanisms as incentives to                Business is pressured by local
         stimulate CSR development                authorities to contribute to social
                                                                domain
Poor mass media attention to CSR
                                         Kazakhstan business still does not
                                           have enough interest in CSR
CSR stakeholders interaction model
                              Government




       Business                                              Community


                          Tools for Collaboration:

 Needs assessment        Public hearings            Public committees and MoU
EFCA recommendations to better integrate CSR in Kazakhstan


• Create a government interagency group between responsible Ministries to
 improve coordination on CSR promotion;

• Stop soliciting business for social investments – only on voluntarily basis;

• Develop tax or other incentives for companies to practice CSR;

• Organize awareness campaigns for business, government, mass media and
 NGOs on concept of CSR;

• Introduce social reporting as one of indicators on IPO market and in general;

• Start using a comprehensive approach when solving social issues (needs
 assessment, stakeholder engagement, public monitoring and reporting).
Thank you for your attention

      Any questions?

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Rinad Temirbekov - Corporate Social Responsibility in Kazakhstan

  • 1. Corporate Social Responsibility in Kazakhstan: tendencies, obstacles, opportunities. Rinad Temirbekov Executive Director Eurasia Foundation of Central Asia April 26, 2012
  • 2. About us Eurasia Foundation of Central Asia (EFCA) is a non-profit organization founded in the region in 2005 to promote civic engagement and support local initiatives in private enterprise, education, and public administration in Central Asia based in Almaty, Bishkek, Osh and Dushanbe. OUR PROGRAM AREAS  Developing civil society and improving quality of services for citizens  Improving the quality of education and supporting youth  Developing entrepreneurship and supporting economic growth  Promoting Corporate Social Responsibility (CSR)  Providing consulting services for companies in the area of CSR Professional and innovative solutions for social issues!
  • 3. CSR in Kazakhstan development stages «Infant» stage «The Formation» stage «The Awareness» stage USSR – 2000 2000 – 2008 2008 – 2011 • Soviet patronage and • First CSR research • Regional CSR public mentorship in place done by EFCA and committees formed as first CSR practice UNDP and MoU signed • Sponsorship and • CSR working groups • National companies charity terms formed by AmCham, start to integrate some introduced by foreign UNDP CSR practices in companies • Global UNDP business • NGOs start to appear agreement signed by • First CSR website and to pick up on social 12 Kazakhstani CSR Club launched issues and partner companies • Some companies start with local and • First CSR forum held in to report on social international business Zheskazgan in 2008 investments • First CSR competitions • Increased interest for organized such as CSR in 2011 Paryz and Altyn Zhurek
  • 4. Major obstacles to the promotion of CSR in Kazakhstan Lack of systematic approach in CSR promotion from government, business and society Limited awareness of CSR as a Lack of transparency and access to concept information about companies’ CSR activities (CSR reports) Lack of legislative and tax mechanisms as incentives to Business is pressured by local stimulate CSR development authorities to contribute to social domain Poor mass media attention to CSR Kazakhstan business still does not have enough interest in CSR
  • 5. CSR stakeholders interaction model Government Business Community Tools for Collaboration:  Needs assessment  Public hearings  Public committees and MoU
  • 6. EFCA recommendations to better integrate CSR in Kazakhstan • Create a government interagency group between responsible Ministries to improve coordination on CSR promotion; • Stop soliciting business for social investments – only on voluntarily basis; • Develop tax or other incentives for companies to practice CSR; • Organize awareness campaigns for business, government, mass media and NGOs on concept of CSR; • Introduce social reporting as one of indicators on IPO market and in general; • Start using a comprehensive approach when solving social issues (needs assessment, stakeholder engagement, public monitoring and reporting).
  • 7. Thank you for your attention Any questions?