K.Sh.Arabbayev

Research supervisor: S.K.Jumambayev

 

Al-Farabi Kazakh national university, Almaty, Kazakhstan

 

Dynamics of changes in the structure of the national economy of Kazakhstan

 

Structure of the economy is crucial to the balance of the national economy, increase economic growth. We can say that successful economic development in most countries of the West in no small part due to deep structural changes that provide a general increase in production and other qualitative changes in the economy [1. 32].

The structure of modern domestic economy was formed for more than two decades. In economic activity services to which share more than a half of GDP falls dominate. The share of manufacturing industry keeps steadily within the last decade, and relative value of agriculture considerably decreased and in 2012 made only 6,5% of GDP in comparison with 16,4% in 2001 [4]. Such process of structural transformation is typical for "catching up" like economy.

The Republic of Kazakhstan receives income from oil revenues. The rise in prices on world commodity markets contributed to higher growth of extractive industries that are traditionally export in Kazakhstan. The structure of industrial production reflects this situation (see. Table 1).

 

Table 1. Structure of industrial production (percent)

 

1995

2010

2011

2012

2013

Industry, total

100

100

100

100

100

Mining industry

25,7

61,3

63,3

60,8

60,4

Manufacturing industry

51,4

31,8

30,2

32,3

32,4

Power supply, supply of gas, couple and air conditioning

22,9

6,9

6,5

6,9

7,2

 

Source: Agency of the Republic of Kazakhstan on Statistics. http://www.stat.gov.kz/

 

The greatest share in structure of the industry is the share of the mining industry of 60,4%, manufacturing industry of 32,4%, of power supply – 6,3% and for water supply – 0,94%.

On structure of production the share of manufacturing industry still remains low. Thus, the raw material orientation of the economy still remains.

Analysis of the data showed that in 2013 in Kazakhstan's economy experienced relatively high growth rate. According to the operative data of gross domestic product amounted to 231.9 billion. Dollars. United States, which is 6% higher than in 2012 in comparable prices [4]. In the GDP share of manufacturing goods was 39.7%, services - 53.3%. In the dynamics compared to the previous year the volume index of commodity sector increased from 98.7% to 103.3%, while the services sector has slowed the growth of 110% to 107% due to the decrease in the rate of growth of volume in all directions activities (trade, communications, financial services, transport, etc.). The largest share in the GDP accounts for the manufacturing sector services - 53.3%, and the production of goods - 39.7%, and taxes on products and imports - 7%. (See. Table 2).

Table 2. Structural changes and the proportion of GDP by industry and spheres of activity of Kazakhstan for 2005-2013., as a percentage.

 

2005

2010

2012

2013

GDP

Including:

     1.Production of goods

 

 

43,5

 

 

43,8

 

 

40,7

 

39,7

2. Agriculture, forestry and fishing

6,4

6,6

6,5

4,5

3. Industry 

29,7

32,9

30,5

29,3

4. Building 

7,4

8,9

6,6

5,9

     5. Production services

52,7

54,8

52,9

53,3

     6. Trade

18,5

14,7

15

17

     7. Transport

9,6

11,6

11,3

8

     8. Connection

2,1

2,2

2

2

 

 

 

 

 

 

 

 

 

 

 

 

Source: Agency of the Republic of Kazakhstan on Statistics. http://www.stat.gov.kz/

 

Now the predominance of the primary sector usually shows a very low level of economic development of the country or region. An example of this are the many African countries, where there is still a large part of the population is engaged in agriculture. But there are exceptions. The primary sector (oil) is the backbone of the economy of the rich countries of the Persian Gulf (Saudi Arabia, Qatar). However, many experts believe that such a development is not normal, and in the end does more harm than good.

At the current stage of development of Kazakhstan has an important task to overcome the backward economic structure and negative trends that emerged in recent years. In this regard, the Government of the country implemented various programs to rationalize the structure of the national economy.

The country has been developed and is now completed the first phase GP FIIDK for 2010-2014.

Today the second phase identified priority areas and key performance indicators of economic diversification in the years 2015-2019.

Successful diversification of the economy associated with the sustainable development of the republic, including by:

a) the introduction of modern technologies based on renewable resources and energy;

b) optimizing the management of sustainable development and implementation of "green" policy of low-carbon economy [2; 25].

Diversification of the economy will be linked with plans to build centers of economic growth in order to create a rational territorial organization of economic potential and favorable conditions for the population.

Kazakhstan, with its vast land resources has long term comparative advantage in the development of agricultural production. The industrialization of agriculture is associated primarily with increased efficiency, increasing the competitiveness of the industry. Given that live in rural areas 45.9% of the population in the long term development of the agricultural sector will be a key factor in improving the quality of life of the rural population.

The second phase involves GP FIIDK (Governmental Program  Forcing industrial-innovative development of Kazakstan) doubling GDP. The total investment is projected to be $ 45 billion. dollars. In this case, a significant portion of investment is foreign direct investment.

It is expected that by 2020, domestic and foreign investment in non-primary sectors of the economy (manufacturing, agro-processing, services) will increase by at least 30%. The share of foreign direct investment (FDI) to GDP will increase by ten percentage points. The share of small and medium-sized enterprises (SMEs) in the GDP will increase by 7-10%. Diversifying the sources of investment (10 major investor countries with a share of each country 5% or more).

Analysis of the results achieved during the years of the first stage GP FIIDK showed that the growth rate of GDP Kazakhstan already today ahead of the target indicator of GDP growth in nominal terms by 39%, and in real - by 7.5%. The share of innovative enterprises in the period of 2008-2014 years have seen increased - from 4% in 2008 to 8% in 2014. In particular, it can be noted a sharp increase in the number of innovative enterprises in the engineering industry (from 6% to 36%) in the sector of information and communication technologies (from 5.6% to 19%), chemical industry (from 12.5% ​​to 28%), in the oil and gas sector (from 1.5% to 9%).

A huge responsibility for the quality of the implementation of strategic goals and objectives of the new decade rests on the system of public administration. This requires improving the efficiency of government and public institutions, personnel policy, and to fight corruption, the development of the legal system of Kazakhstan and increase the quality of public services.

 

 

References

 

1.       Обзор инновационного развития Казахстана, Организация Объединенных Наций, Нью-Йорк и Женева, 2012 год.- с. 32-34

2.       Стратегический план развития Республики Казахстан до 2020 года: Утвержден Указом Президента Республики Ка¬захстан от 1 февраля 2010 г. № 922 // Мысль. — 2010. — № 3. — С. 15-42.

3.       Агентство по статистике РК. http://www.stat.gov.kz/

4. Программа индустриально-инновационного развития Казахстана: первые итоги реализации. Категория: Экономика/кризис   1407 25.11.2013. http://www.kp.kz/