By Kamila Aliyeva
The European Bank for Reconstruction and Development (EBRD) announced the forecast for the growth of Kazakh economy in 2018, Kazinform reported.
“International forecasts are quite favorable, economic growth in the world, Europe, China [is expected]. Oil prices will be held at the level of more than $60 per barrel. This is a fairly favorable international environment, and we believe that this will lead to an increase in the growth rate of the economy of Kazakhstan, namely real GDP - by 3.5-4 percent,” Deputy Director, chief regional economist of the EBRD Hans Holzhacker said.
The EBRD also forecasts the growth of exports and investments in the economy of Kazakhstan.
“Higher exports, higher investments, real incomes should also grow and support private consumption. The next factor is fiscal restraint and higher imports, because this is also a typical picture when the economy starts to grow after some kind of slowdown,” he explained.
The EBRD also predicts a slight decrease in inflation, according to Holzhacker.
“Inflation is slightly lower, but not particularly, and will be in the corridor given by the National Bank. Although, it will not decrease very much due to the restoration of private consumption, the demand of individuals, which is supported by high oil prices,” he added.
The main result of 2017 for the Kazakh economy was the activation of recovery processes with the country's progressive transition to higher growth rates. According to the results of 2017, GDP growth was 4 percent. Economic growth was balanced with synchronous improvement in virtually all segments of economic activity.
The main catalysts for growth were the expansion of production in the traded sectors, the increase in investment activity and the gradual recovery of domestic demand.
Kamila Aliyeva is AzerNews’ staff journalist, follow her on Twitter: @Kami_Aliyeva
Follow us on Twitter @AzerNewsAz