Kazakhstan News: Energy Security, Economic Growth, and New Air Routes

Kazakhstan's Energy Security Strategy

• 💡 President Tokayev outlined a broad plan to reboot Kazakhstan's energy sector, emphasizing it as a matter of national security.
• ⚡ Major projects include reinforcing power grids in western Kazakhstan to link them into a unified national system and building new power units to eliminate electricity deficits.
• 🌱 Kazakhstan plans to add over 26 gigawatts of new generating capacity by 2035, aiming to eliminate electricity imports and modernize power plants for reduced air pollution.
• 🚀 The country is investing $2.5 billion in clean energy over five years, pushing renewables past 7% of the energy mix, and considering a nuclear power plant for economic development.

Economic Growth Forecasts

• 📈 The Eurasian Development Bank (EDB) forecasts Kazakhstan's economy to grow by nearly 6% in 2025 and maintain momentum at around 5.5% in 2026.
• 💰 This growth is primarily driven by significant investment, including government-backed programs and $15 billion in state-supported financing for over 100 new projects in manufacturing and agroindustry.
• 🛢️ The Tengiz oil field reaching full production capacity is expected to provide an additional boost to GDP growth.
• 🏗️ A national infrastructure plan through 2029 is underway, focusing on large-scale upgrades in energy and utilities to drive jobs and long-term investment.

Central Asia's Economic Momentum

• 🌍 Central Asia as a whole is experiencing its strongest economic momentum in over a decade, with EDB forecasting 6.6% regional growth in 2025.
• 📊 Specific country forecasts include Kazakhstan at 5.9%, Kyrgyzstan at 10.3%, Tajikistan at 8.3%, and Uzbekistan at 7.4%, positioning the region among the fastest-growing globally.
• ✅ EDB's chief economist highlighted Central Asia as a major success story, growing at an average rate of 6% over the last 25 years and becoming a strategically important economic region.

Investment and EDB's Role

• 💡 Investment remains the core growth driver across Central Asia, particularly in manufacturing, extractive industries, energy, and construction.
• 🏦 The EDB has invested $8.8 billion over the past four years, representing 41% of non-sovereign development bank financing in the region.
• 🤝 Uzbekistan joined as the seventh member of the EDB, expanding cooperation, and the bank opened a representative office in Abu Dhabi to connect Gulf capital with Central Asian investment opportunities.

Expanding Air Connectivity

• ✈️ Kazakhstan's Ministry of Transport announced new international flights, with SCAT Airlines launching direct routes from Shymkent to Bangkok and Tbilisi.
• domestically, 100 extra flights are being added for the holiday season to handle rising passenger demand on busiest routes like Astana-Almaty and Almaty-Shymkent.
• 🎯 These expansions aim to provide more destinations abroad and more seats at home, easing travel for residents.