Kazakhstan's Economy

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  • Topic: Kazakhstan, Petroleum, Caspian Sea
  • Pages : 1 (305 words )
  • Download(s) : 17
  • Published : December 9, 2012
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Kazakhstan’s economy.
Kazakhstan is the ninth largest country in the world and also it has the largest level of economy in Central Asia. Kazakhstan has huge reserves of mineral resources such as fossil fuel, natural gas, coal and etc. Mining, machinery manufacture, the production of petro-chemicals and agriculture are important sectors of the economy. Agriculture supplies grain, fruit, cotton, tobacco and meat. The south of Kazakhstan provides well-known “Aport” apples. As well, Kazakhstan is developed in space infrastructure; the first satellite was shot into space from the Baikonur space center. Nowadays the Cosmodrome has close ties with country’s leading research institutions, industrial enterprises and designers. Kazakhstan's industrial sector deals with extraction and processing of natural resources. And also the country has a large machine building sector specializing in construction equipment, tractors and agricultural machinery. Collapsing years of 1990-1995 showed a great annual decline of the economy. The economic reforms of 1995-97 fastened the results of economy development, especially in the private sector due to privatization. In December 1996 was signed the Caspian Pipeline Consortium agreement for building a new pipeline from western Kazakhstan's Tengiz Field to the Black Sea, this increased chances for considerable oil exports for future years. Kazakhstan's economy declined in 1998 with a 2.5% decrease in GDP(Gross Domestic Product) because of sharp oil price downturn and the August financial crisis in Russia. But in 1999 the economy recovered thanks to international petroleum prices, tenge devaluation and a great grain harvest. Beginning from 2000 Kazakhstan's economy developed greatly due to increased prices on world markets for metals and grain. GDP grew 9.6% in 2000, up from 1.7% in 1999. Since 2001, GDP has been among the highest in the world. In 2006, extremely high GDP growth had been sustained, and grew by...