Kazakhstan to allocate funds to support local business amid coronavirus spread

Business Materials 16 March 2020 14:24 (UTC +04:00)
Kazakhstan to allocate funds to support local business amid coronavirus spread

BAKU, Azerbaijan, March 16

By Nargiz Sadikhova - Trend:

No less than 300 billion tenge ($739.6 million) will be allocated in Kazakhstan to support local entrepreneurs and to create new jobs amid coronavirus spread, Kazakhstan’s President Kassym Jomart Tokayev said, Trend reports with reference to the president’s press office.

Tokayev made the statement during his speech made on introduction of an emergency state in the country.

On March 15, 2020, Kazakhstan’s President Kassym Jomart Tokayev signed a decree introducing an emergency state in Kazakhstan due to coronavirus outbreak, which will be relevant from 08:00 (GMT +6) on March 16 till 8:00 on April 15, 2020.

“We are witnessing coronavirus negatively affecting global economy. In essence, we are talking reformations of the entire global economic system. Kazakhstan is feeling results of the colossal crisis,” Tokayev said.

However, Tokayev said that all necessary measures in order to avoid increase of social tension, unemployment will be taken in the country.

“Thanks to the policy of Kazakhstan’s First President Nursultan Nazarbayev, country’s foreign exchange reserves have reached $90 billion. This is a serious guaranty to maintain country’s economy’s stability and carry out social liabilities of the country,” he said.

Tokayev added that the budget funds will be reoriented on those needs which will provide for maximal employment and business.

“In order to support local entrepreneurs and to create new jobs no less than 300 billion tenge will be allocated. Decrease of lending to business cannot be allowed. In order to meet the demand on the local market and to promote manufacturing, funding of ‘economy of simple things’ will be increased,” he said.

Tokayev added that the speculative increase of prices is unacceptable and thus the country’s government and local authorities will take this issue onto especial control.

Tokayev also added that within the framework of the ‘On measures to ensure the stability of country’s functioning’ decree, the efficiency of state bodies will be enhanced, the vertical of power will be strengthened and the opportunity will be created to promptly take all necessary decisions in crisis, including in the tax sphere, if the need arises.

“The decree gives the right to carry out necessary procurement of medicine and other drugs in a simplified way, mainly from local manufacturers. Thus, we will save valuable time and money, which is very important in the current emergency situation,” Tokayev said.

On March 13, 2020, first two cases of coronavirus infection have been detected in Kazakhstan among those who arrived in Almaty city from Germany. The latest data said that the overall number of coronavirus cases in Kazakhstan is 9.

The outbreak in the Chinese city of Wuhan - which is an international transport hub - began at a fish market in late December 2019. The number of people killed by the disease has surpassed 6,500. Over 169,000 people have been confirmed as infected. Meanwhile, over 77,000 people have reportedly recovered.

The World Health Organization (WHO) declared COVID-19 a pandemic on March 11.


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