EDB forecasts growth of Kazakhstan’s economy

inbusiness.kz

2021 will be the year of active recovery for the economies of the Eurasian region. The Eurasian Development Bank predicted how the Eurasian Economic Union member states will develop in the next three years. Analysts calculated that Kazakhstan’s GDP will grow by 4 percent this year. According to experts, business activity will boost in many ways due to reduction of the pandemic’s negative impact. The baseline scenario implies a gradual easing of sanitary requirements inside the country and abroad. This, in turn, will help restore the global supply chains of domestic and foreign demand, the bank experts noted. The creation of new capacities will also improve the country’s indicators. The largest jump will be in the second quarter of this year. The analysts also forecasted that the service sector, including wholesale and retail trade as well as restaurant business will receive the new impetus to the development.

“Kazakhstan will reach the pre-crisis level and overcome it by the end of this year, while Russia and the region as a whole – in the beginning of 2022. According to our forecasts, inflation will drop by the end of the year and will reach the aggregate level of 4.5 percent in the Eurasian region,” said Yevgeny Vinokurov, chief economist, Eurasian Development Bank.

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