UN Economist Expresses Optimism in Kazakhstan’s Economy Prospects this year
Kazakhstan, Astana, 15 February /corr. Trend K.Konirova / The current problems in Kazakhstan's economy are significantly provoked by the global upheavals in the world finance market, Economic expert of UNDP, Ben Sly, briefed the media in Astana.
According to him, the level of the external borrowings by Kazakh banks is a potentially destabilizing factor, due to Country's dependence on the foreign markets and growing amount of out-flow of capital from Kazakhstan.
Sly considers that the development rate of Kazakhstan's economy still remains at a high level - nearly 5% growth of GDP, which in many cases exceeds the expectations of the countries of Western Europe and USA. " Kazakhstan must be prepared for the realities of considerable growth, which will determine the situation of the Country in the coming two-three years," he said.
According to him, most probably further world oil price increase will not take place because the world demand for this product has decreases considerably, due to the fall in the US economy.
"Therefore, the overheating in Kazakhstan's economy will change into measured economic growth in the country, and it will positively affect the inflation," Sly said.
With regards to the possible devaluation of Kazakh tenge in relevance to the leading world currencies, the expert said that the principal policy of the National Bank and Government of Kazakhstan will have a stabilizing impact on its rate, after considering the resources of the National Fund.