Baku, Azerbaijan, June 8
By Ali Mustafayev – Trend:
The reduction of the shadow sector’s share may be a potential driver of higher economic growth in Kazakhstan, the Eurasian Bank of Development (EBD) said in a message.
“The share of the shadow economy in Kazakhstan amounts to 32.8 percent of GDP, in the Kyrgyz Republic - 30.1 percent of GDP, in Belarus - 32.4 percent of GDP, in Tajikistan - 37.8 percent of GDP, in Armenia - 36 percent of GDP, in Russia - 33.7 percent of GDP. The results of evaluations differ from those of statistical agencies of countries, due to differences in approaches and methods,” EBD said.
In 2016, the share of the non-observed economy in Kazakhstan amounted to 25.8 percent of GDP, in Kyrgyzstan - 23.8 percent of GDP.
“With any variant of calculations, the level of shadow economy in EBD countries remains high, but now they have all prerequisites for the reduction of this indicator. Reducing the share of the shadow sector will help stabilize budget revenues, evenly distribute revenues, and to improve the investment climate and economic dynamics in general,” according to the bank’s message.
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