ADB expects Kazakhstan's economy to grow
By Kamila Aliyeva
The Asian Development Bank (ADB) forecasts growth of Kazakhstan's gross domestic product (GDP) at 3.2 percent in 2018, and 3.5 percent in 2019, the ADB's Asian Development Outlook 2018 (ADO) report said.
“Following a strong pickup in growth last year, Kazakhstan is projected to slow to 3.2 percent in 2018 but bounce back to 3.5 percent in 2019 as investment quickens,” according to the report.
A more stable exchange rate almost halved inflation in Kazakhstan, trimming average inflation in the subregion to 9.2 percent in 2017 from 10.6 percent in 2016, even though inflation accelerated in the other seven economies, particularly in Uzbekistan, ADB analysts noted.
As recent currency devaluations slip further into the past, inflation is projected to settle at 8.5 percent in 2018 and 7.9 percent in 2019.
It is expected that in Kazakhstan inflation will slow to 6.8 percent in 2018 and 6.2 percent in 2019, provided the exchange rate stability remains, according to the report.
Average growth in the subregion rose to 4.3 percent from 2.7 percent a year earlier as recession ended in Azerbaijan and expansion accelerated in six other economies, particularly in predominant Kazakhstan.
Growth slowed only in Uzbekistan, where sharp currency devaluation to unify the exchange rate and other economic reform forfeited some expansion last year for future growth.
Growth in Central Asia is forecast to slow to 4.0 percent in 2018, picking up somewhat to 4.2 percent in 2019.
The Asian Development Outlook is the main annual publication of the ADB.
GDP growth in Kazakhstan in 2018 was to be 3.3 percent, according to the previous forecast of the ADB, published in mid-December last year.
The Asian Development Bank was founded in 1966. The mission of the bank is to reduce poverty in the Asia-Pacific region (APR) through inclusive economic and environmentally sustainable growth, as well as regional integration. The head office of ADB is located in the capital of the Philippines - the city of Manila. The bank's shareholders are 67 countries, 48 of which are located in the Asia-Pacific region.
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Kamila Aliyeva is AzerNews’ staff journalist, follow her on Twitter: @Kami_Aliyeva
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