bs-preloader__icon
ru kz en

The economy contraction in Kazakhstan has been minimal since the beginning of the coronavirus crisis

The economy contraction in Kazakhstan in the 1st Q this year was the lowest since the beginning of the coronavirus crisis and amounted to 1.6%. Stimulated by the government incentives and inflow of pension savings, a significant growth was demonstrated by the economic sectors oriented to domestic demand, according to the Halyk Finance report.
The economy contraction in Kazakhstan has been minimal since the beginning of the coronavirus crisis

A faster economic recovery is restrained by quarantine restrictions and the situation in the country's energy sector, where the reduction in oil production under the OPEC+ agreement (-10% y/y) remains and a strong decline in investments (-48% y/y) is observed.

With the global demand recovery, oil production in the country slightly increased in the first quarter of 2021 compared to the previous quarter, while the decline in production in annual terms is still measured by a double-digit figure of 10%.

During the first quarter, the National Bank was keeping the base rate and interest rate corridor of liquidity management at the same level. The current monetary policy terms were primarily kept due to the fact that inflation on foods remained at a high level. Besides, the regulator noted a rise in prices for fuels and lubricants and high inflation rates in the countries-trading partners. An increase in budget expenditures and targeted transfer growth will create pro-inflationary pressure on the economy and restrain the National Bank from softening its monetary policy throughout 2021.

Photos are from open sources.

Share
read also
Guideline to life insurance for parents of children with disabilities
Guideline to life insurance for parents of children with disabilities

Life insurance can be a useful tool to provide financial security for your family in ...

An online life insurance company offers insurance policies for a term from 2 to 20 years
An online life insurance company offers insurance policies for a term from 2 to 20 years

Bestow is an online life insurance company that provides two to ten year life insuran...

The most interesting materials of the site you have in the mail! Subscribe to the newsletter.

ASK A QUESTION TO THE EXPERT
ASK A QUESTION TO THE EXPERT
Submit your application