Invest in Almaty
Almaty City
 The President of the Republic of Kazakhstan in his
2014 the State of the Nation Address sets a clear task
to improve the investment climate and scale up
attraction of investments for –industrial-innovative
development.
 In pursuance of the President’s order, the Government
of the Republic of Kazakhstan has developed a
package of legislative initiatives to create incentives
for investment in Kazakhstan.
 Implementation of development investment programs
gains particular importance in the regions at the local
level.
 Almaty is the southern capital of Kazakhstan and plays
an important role for attracting investments to
Kazakhstan as a major financial, logistics, commercial
and cultural centre.
Almaty Development Center
Population: More than 1.6 million people
Currency: Tenge (KZT)
Territory: 683,5 sq.km.
Height above sea level: 500-1700 m.
Climate: sharp - continental
Time zone: GMT+06:00
Postal code: 050000-050063
Area code: 727
website: http://www.almaty.gov.kz
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Social-economic figures of Almaty City
Population, in thousands persons.
GRP, bill. KZT
Industry production volume, bill.KZT
Month salary, KZT
Unemployment rate, %
Export, mln. USD
Import, mln. USD
Regional Budget:
Revenues, mln. KZT
Expenses, mln. KZT
Exchange Rate USD/KZT
Kindergarten amount
Children in Kindergartens, in thousands persons
Schools and Gymnasiums Amount
Schoolboys, in thousands persons.
High School and Universities Amount
Students amount, in thousands persons
Amount of active SME Companies
2009
1391.1
2010
1414
2011
1449.8
2012
1475.4
2013
1507.5
3175,3
3923,4
4896,3
5730
6471,8
353,5
429,5
532,7
584,6
616.2
95139
106597
121674
134378
142310
7.7
6.3
5.6
5.6
5,6
4512,8
4935,3
6283,4
6142,0
11273,0
12385,5
16039,1
20774,2
278336
327319
312423
342609
358242
274051
296096
315719
331388
340701
147,5
147,35
146,62
149,11
152,13
162
178
178
201
217
34,4
36,9
36,9
40,6
39,7
242
241
236
235
238
175,3
173,7
175,2
179,2
187,9
52
52
47
45
43
187,2
15988
186,5
18688
183,2
16177
158,5
13987
148,5
14417
Almaty Development Centre
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Social-economic figures of Almaty City
Gross Regional Product and positive budget fiscal
position suggests growing conditions for future capital
investment in Almaty.
Almaty Development Centre
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Legal framework for investors
(1)




Law on Investments
Cover up to 30% of «Investment subsidy»
Exemption from corporate tax and property tax
Natural Grants
Exemption from customs duties
(2) Law on Concessions
 Payment for accessibility of the object of concession
 Partial compensation of the investment costs
 Partial compensation of operation and maintenance costs
(3) Law on Special economic zones in the Republic of Kazakhstan
 Visa support of foreign nationals
(4) State support program of industrial and innovative activities
 Reimbursement of auditing expenses
 Subsidizing of bank interest rate
 State guarantees for commercial loans
(5) Law on Project financing.
 Securitization support on Stock Exchange
Almaty Development Center
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Why invest in Almaty
According to GFCI (Global Financial Centers Index) rankings
for 2014 Almaty city held 58th place. GFCI rating includes
assessment of business environment, development of financial
sector, infrastructure, human capital and the city reputation.
Gross regional product
of Almaty (bill. KZT)
Introduction of simplified entry to Almaty in visa-free regime
for the citizens of 10 countries: Great Britain, Germany, Italy,
Malaysia, the Netherlands, UAE, Republic of Korea, USA,
France and Japan.
Almaty City will host the International Universiade in 2017.
Also Almaty applied to IOC for holding Winter Olympics
Games in 2022. Estimated capital expenses for Olympic Games
preparation till 2022 is $6,6 billions
Gross Regional Product and positive budget fiscal position
suggests growing conditions for future capital investment in
Almaty.
Almaty Development Centre
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GLOBAL FINANCIAL CENTER INDEX
According to GFCI (Global Financial
Centers Index) rankings for 2014
Almaty city Ranking rose from 58th to
43th place. GFCI rating includes
assessment of business environment,
development of financial sector,
infrastructure, human capital and the
city reputation.
Almaty Development Centre
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Points of Growth
 Industrial zone in Alatau district – industrial territory designated for development of
production capacities for: food processing, light industries, engineering, construction and
pharmaceutical industries.
 Free economic zone «Park of innovative technologies» was created for technological
development in the following spheres: information technologies and telecommunications;
electronics and renewable sources of energy.
 Development of international alpine tourism in the suburbs of Almaty Estimated revenue
from the tourists of alpine cluster may be $3 billion per year. Within the range of 40 km from
Almaty there are several winter sport resorts, such as: Shymbulak, Kokzhailau, Akbulak,
Turgen, Almatau, Kaskelen , Almarasan, Ushkonyr.
 Transport infrastructure development Local authorities have ambitious plans for the
development of the city infrastructure including: new airport, subway, the light rail transport,
paid highway BAKAD, Almaty-Kapchagai highway.
Almaty Development Centre
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Official mandate of Almaty Development Centre
JSC «Almaty Development Centre» (ADC) was established in 2008 by Almaty Municipal Authorities as a
Regional Development Institution.
«ADC» mission: Assistance to Municipal Authorities in strategic development of social, economic and
cultural infrastructure of Almaty city.
According to its Charter and Local Authorities Mandate «ADC» was authorized to implement following
functions:
ORIGINATION AND STRUCTURING :
OF MUNICIPAL INVESTMENT
PROJECTS:
Public financial support to private investment
projects on risk sharing basis
ECONOMIC EXPERTISE AND CONSULTING
SERVICES
Expertise of Municipal investments in form of
budget lending and direct equity investment
REGIONAL PRIVATE PUBLIC
PARTNERSHIP DEVELOPMENT
Financial advisory services and acting as PIU for
Municipal PPP projects.
“ONE STOP” INVESTOR SERVICES
CENTER
Informational support to potential investors and
implementation of Government Support
instruments
Almaty Development Center
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One stop - Investor Services Centre
JSC «Almaty Development Center» is authorized as «onestop» Investor Services Center by Almaty Municipal decree
#4/1133 in December 2013.
«One stop» Investor Services Centre includes follow
official functions:
 Informational support for potential investors
 Risk sharing project structuring based on Public-private
partnership legislation
 Promotion and implementation of Government Support
 Consulting services (development of feasibility studies
and business plans for investors)
 Database management of perspective and existing
investment projects in Almaty
 Event management for investors in Almaty
Almaty Development Center
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City Projects
 Video fixation
system of traffic
violations. Project
volume: 1bln. KZT
 Private bus fleet
modernization,
loan facilities for
200 new buses: 2,5
bln. KZT
 Light Rail
Tramway building,
Concession
volume: $500 mln
 Municipal sport
playground
management. Project
volume: $600.000
 New recycling
plant
 Public lightning
system renovation,
Project volume:
$34 mln.
 Intellectual transport
system of traffic light,
project volume: $15
mln
Almaty Development Centre
 Electronic
ticketing in
public transport
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Islamic finance
Kazakhstan was the first country in CIS that introduced Islamic finance
legislation
Almaty city positioning as a regional financial center for Islamic Finance
«Almaty Development Center» in cooperation with «Islamic Development
Bank» and «Islamic Corporation for Development of the Private Sector» are
searching for perspective projects in Almaty like:
Building of Islamic Finance Tower
Halal meat production hub
Almaty Development Centre
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Big Almaty Ring Road - «BAKAD»
 BAKAD is high priority project under
personal control of the President.
 BAKAD is part of Big Transport Route
«West China – West Europe».
 Length of road – 65.4 km (4/6 road lines)
 Estimated capital expenses of the project
amount $740 mln.
 Project Time Duration – 30 years
 Building period - 3 – 4,5 years
 Contract structure – BTO concession «Build
– Transfer – Operate»
Almaty Development Centre
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EXPO 2017
 Kazakhstan is hosting «Expo 2017»
exhibition of innovative, information
and industrial technologies.
 Almaty city, as Part of Expo 2017, is
preparing to implement a project
portfolio to focus on green energy
solutions.
 Local Authorities with the support of
EBRD have created subsidiary as an
operator for green energy projects
with estimated value of $35 mln.
Almaty Development Centre
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Thank you for Attention!
Almaty Development Center
Almaty Development Centre
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