Kazakhstan offers Turkish investors unlimited growth opportunities

Sibling Türkiye went down in history as the first country in the world to recognize the independence of our country. Based on the common language, history, culture and traditions, the relations between our countries are expanding and strengthening.

During this period, the realization of a constructive dialogue between Kazakhstan and Türkiye and the continuous high level of bilateral cooperation accelerate our relations.

With the mutual state visits of our Presidents this year, concrete steps were taken for the "extended strategic partnership" agreement, which symbolizes the new era of bilateral relations. As a result of these visits, 20 intergovernmental agreements were signed in various fields. In addition, 20 private investment agreements worth 1.4 billion dollars and 10 memorandums of understanding were signed between the entrepreneurs of the two countries.

In addition, during the visit of the President of Kazakhstan Kassym-Jomart Tokayev to Türkiye on May 10-11, 2022, a special meeting was held with the executives of Türkiye’s 40 largest holdings and business circles with the joint participation of the Vice President of Türkiye, Fuat Oktay.

The meeting of the Kazakhstan-Türkiye 4th High Level Strategic Cooperation Council (YDSK), which accepted the documents that will take bilateral relations to a new level in various fields as a result, took place on 12-13 October 2022 during the visit of Turkish President Recep Tayyip Erdoğan to Kazakhstan. Within the scope of YDSK, the steps towards expanding the cooperation between the two countries from political and economic issues to military and defense industry, cultural and human fields were discussed.

Türkiye is Kazakhstan's 5th lar gest trading partner

Türkiye is Kazakhstan's reliable economic partner. It should be noted that from 2007 to 2022, the total trade between the two countries was 34.9 billion dollars, the export of Kazakh products was 23.8 billion dollars, and the imports were 11.1 billion dollars.

In 2021, the bilateral trade volume between our countries increased by 33 percent and reached 4.1 billion dollars. As a result of 9 months of this year, our trade volume has exceeded 4.7 billion dollars. Türkiye is currently the 5th country with which Kazakhstan has the most foreign trade after Russia, China, Italy and South Korea.

In line with the national development plan of our country, our global target is to reach the level of 41 billion dollars in processed goods exports by 2025. Our common goal with Türkiye is to increase bilateral trade to 10 billion dollars.

Meetings to increase cooperation continue

In March of this year, the 12th KEK meeting and Kazakh-Turkish Business Forum were held in Kazakhstan. Working groups between the ministries of the two countries meet regularly in order to expand cooperation and remove existing obstacles in important fields such as trade, agriculture and transportation in the margins of the JEC.

Airline connection between Kazakhstan and Türkiye is also getting stronger. This year, flights between Kazakhstan and Türkiye were increased from 40 to 93. From the beginning of November, Almaty-Ankara flights were launched. In December, our capitals will be connected by direct flight. In the upcoming period, direct flights are planned from Ankara to our cities of Aktau and Shymkent.

The most important reason for this success is the political and economic stability in the domestic and foreign policy of the country, and the liberalization of the economy with the right policies. Thanks to such steps taken in recent years, our country has become the new center of industry, technology, trade and transportation in the region.

Efforts to attract investment to our country are actively carried out every year. To date, 400 billion dollars of foreign investment has been attracted to Kazakhstan from more than 120 countries of the world.

Prime minister works as investment ombudsman

In addition, Kazakhstan is an associate member of the OECD Investment Committee and a participant in the International Investment Declaration. “Foreign Investors Council” under the President, “Investment Attract Coordination Board” and “Investment Environment Improvement Council” under the Government of the Republic of Kazakhstan are operating. The Prime Minister works as an investment ombudsman. The Astana International Financial Center (AIFC) operates in Kazakhstan. The legal status of the center is determined by constitutional law and the working language is English. Companies that are members of the center are offered tax relief, simplified foreign exchange, visa and work regimes for up to 50 years. Astana International Financial Center is the only center in the region whose work is carried out according to English law. The Center's Independent Court and International Arbitration Center ensure justice and guarantee the rights of Turkish investors. The Shanghai Stock Exchange and the American NASDAQ Stock Exchange took part in the creation of the center's high-tech exchange.

Duty-free access to the $2 trillion market

Along with a reliable investment environment and protecting the rights of foreign investors in world conditions, Kazakhstan offers unlimited growth opportunities to its fellow Turkish investors. Kazakhstan, known as the industry, technology, trade and transportation center of Eurasia, located in the geography where east and west, south and north intersect, nowadays provides access to the markets of Russia, China, Central Asian countries and the Caspian region with its over 1 billion population to its sister Turkish investors.

Co-production opportunity in 5 areas

It is aimed to attract Turkish investments to the country in the following areas for the joint production of export-oriented products with high added value to third countries: the first is the implementation of projects in manufacturing industries such as chemical and petrochemical, mechanical engineering, metallurgy, construction and new material production, light and textile industry, woodworking.

The second is cooperation in the field of the agro-industrial complex and the food industry. There are 210 million hectares of arable land in Kazakhstan.

Third, Kazakhstan attaches great importance to the 'green economy' and the development of renewable energy. As part of the state program for the development of this sector, it is planned to gradually increase clean energy to 50% in the country's energy balance by 2050.

Fourth, drugs and medical products. Pharmaceuticals and medical products have the highest share in our imports from Turkey in 2022. Considering that pharmaceuticals are in the leading position in the structure of trade volume between our countries, it is very attractive for Turkish pharmaceutical companies to localize production in Kazakhstan. The fifth is the 'simple economy of objects'. Kazakhstan; gives importance to the development of sectors such as furniture, leather, textile products, food industry.

Sixth, Kazakhstan and Türkiye are the largest agricultural countries. The potential of this industry is huge. One of the priority tasks of the agro-industrial complex of Kazakhstan today is the processing of agricultural raw materials.

In this context, we invite Turkish investors, who aim to expand abroad and become a global leader in the safe investment climate of Kazakhstan, to invest in our country and develop trade.