Issue 3010 - 22.06.2018
22.06.2018

Minimum subsistence costs in Kazakhstan rise 14 percent in one year

The subsistence minimum in Kazakhstan reached 26,468 tenge (US$77.8) in May, increasing 14 percent increase within a year, reports finprom.kz. The figure in May 2017 was 23,218 tenge (US$68.26).

The subsistence level corresponds with the population’s minimum consumer basket of goods and services, including food products (55 percent) and non-food products (45 percent), according to the Kazakh law.

The highest subsistence level in Kazakhstan is in the oil rich Mangystau region with 32,300 tenge (US$94.96). Next is the country’s capital Astana, where the figure totals 30,600 tenge (US$89.96), followed by the country’s largest city Almaty with the subsistence minimum reaching 29,900 tenge (US$87.9).

The report indicates the figure increases on average by 9.7 percent each year. Between 2012 and 2017, the subsistence minimum rose 7,000 tenge (US$20.58) from 16,800 (US$49.39) to 23,800 tenge (US$69.97).

The subsistence minimum for children was 21,435 tenge (US$63). The figure reached 31,440 tenge (US$92.43) for men and24,968 tenge (US$73.4) for women.

Basic necessities for retired and elderly people cost 24,753 tenge (US$72.77), said the report.

Within the subsistence minimum structure, spending on meat and fish account for 19.8 percent, dairy and eggs for 15.3 percent, fruits and vegetables for 10.5 percent, bread and grits for 7.3 percent and sugar, tea and spices for 2.1 percent.

Reported by the Astana Times.

Kazakhstan General

22.06.2018

Business Ombudsmen of Kazakhstan and Uzbekistan sign agreement on cooperation

Commissioner for the Protection of Entrepreneurs Rights of the Republic of Kazakhstan Bolat Palymbetov and the Representative under the President of the Republic of Uzbekistan Dilmurod Kasimov signed an agreement of cooperation.

The document was signed within the forum of National Council of Entrepreneurs “Atameken”.

The document envisages cooperation between the two...

Commissioner for the Protection of Entrepreneurs Rights of the Republic of Kazakhstan Bolat Palymbetov and the Representative under the President of the Republic of Uzbekistan Dilmurod Kasimov signed an agreement of cooperation.

The document was signed within the forum of National Council of Entrepreneurs “Atameken”.

The document envisages cooperation between the two...

22.06.2018

Almaty hosts Central Asia on Great Silk Road Conference

Scholars from 20 countries discussed the role of Central Asia on the Global Silk Road, the dialogue of cultures and confessions from antiquity to modernity at the June 13-15 Central Asia on the Great Silk Road International Scientific and Practical Conference in Almaty. The scientists paved the way for the...

Scholars from 20 countries discussed the role of Central Asia on the Global Silk Road, the dialogue of cultures and confessions from antiquity to modernity at the June 13-15 Central Asia on the Great Silk Road International Scientific and Practical Conference in Almaty. The scientists paved the way for the...

22.06.2018

Kazakhstan to send peacekeepers to Lebanon in autumn: Defense Ministry

During a briefing at the Central Communications Service, Deputy Minister of Defense of the Republic of Kazakhstan Talgat Mukhtarov told when Kazakh troops will be deployed to Lebanon as part of the United Nations' peacekeeping mission, Kazinform correspondent reports.

The Deputy Minister of Defense pointed out that the respective decision has...

During a briefing at the Central Communications Service, Deputy Minister of Defense of the Republic of Kazakhstan Talgat Mukhtarov told when Kazakh troops will be deployed to Lebanon as part of the United Nations' peacekeeping mission, Kazinform correspondent reports.

The Deputy Minister of Defense pointed out that the respective decision has...

22.06.2018

Senate OKs agreement with China on dam construction

Kazakhstan’s senators ratified the Agreement between the Government of the Republic of Kazakhstan and the Government of the People's Republic of China on cooperation and construction of the joint mudflow check dam Chukurbulak (Almaly) on the Khorgos River.

The agreement was inked on June 8, 2017 in Astana. 

As per the agreement,...

Kazakhstan’s senators ratified the Agreement between the Government of the Republic of Kazakhstan and the Government of the People's Republic of China on cooperation and construction of the joint mudflow check dam Chukurbulak (Almaly) on the Khorgos River.

The agreement was inked on June 8, 2017 in Astana. 

As per the agreement,...

Oil and Gas Sector

22.06.2018

KazMunayGas offers $3.25 billion Eurobonds

Dechert advised JSC National Company KazMunayGas (“KMG”), the Kazakhstan state-owned oil and gas company, on its issuance of an aggregate of US$3.25 billion Eurobonds under its US$10.5 billion Global Medium Term Notes Programme established by KMG and its finance subsidiary KazMunaiGaz Finance Sub B.V (KMG Finance).

The Eurobonds, which are listed...

Dechert advised JSC National Company KazMunayGas (“KMG”), the Kazakhstan state-owned oil and gas company, on its issuance of an aggregate of US$3.25 billion Eurobonds under its US$10.5 billion Global Medium Term Notes Programme established by KMG and its finance subsidiary KazMunaiGaz Finance Sub B.V (KMG Finance).

The Eurobonds, which are listed...

22.06.2018

Operator of Karachaganak will allocate more than $1 billion to the project to maintain production levels

The cost of the project to maintain the current production level in the Karachaganak field is within the limits of $1.1-1.2 billion, the head of the Ministry of Energy of Kazakhstan Kanat Bozumbayev said on Wednesday.

"This is to maintain the level of extraction. This is more precisely somewhere at $1.1-1.2...

The cost of the project to maintain the current production level in the Karachaganak field is within the limits of $1.1-1.2 billion, the head of the Ministry of Energy of Kazakhstan Kanat Bozumbayev said on Wednesday.

"This is to maintain the level of extraction. This is more precisely somewhere at $1.1-1.2...

22.06.2018

Rompetrol Bulgaria seeks regulatory nod to acquire Synergon Petroleum

Bulgaria's competition regulator said on Thursday that fuel retailer Rompetrol Bulgaria is seeking approval to acquire local peer Synergon Petroleum for an undisclosed price. The deal is expected to affect the fuel retail market segment in Bulgaria, according to a statement, published on the website of the Commission for Protection...

Bulgaria's competition regulator said on Thursday that fuel retailer Rompetrol Bulgaria is seeking approval to acquire local peer Synergon Petroleum for an undisclosed price. The deal is expected to affect the fuel retail market segment in Bulgaria, according to a statement, published on the website of the Commission for Protection...

22.06.2018

Chinese researchers planning drill rig capable of boring 15 km hole

Researchers plan to develop a drilling rig capable of boring a hole 15,000 meters deep, following up on the success of a domestically developed rig that reached 7,018 meters last month.

The development of the new rig will be based on knowledge gained from the Crust-1 10K ultradeep scientific rig, currently...

Researchers plan to develop a drilling rig capable of boring a hole 15,000 meters deep, following up on the success of a domestically developed rig that reached 7,018 meters last month.

The development of the new rig will be based on knowledge gained from the Crust-1 10K ultradeep scientific rig, currently...

22.06.2018

Rosneft plans to increase annual oil production to over 250 mln tonnes by 2022

Russia's oil major Rosneft, which has shared operatorship with Kazakhstan in several Caspian upstream projects as well as downstream business in Kyrgyzstan, said on Thursday its oil production may exceed a forecasted figure of 250 million tonnes a year by 2022.

"By the year 2022, the company plans to increase its...

Russia's oil major Rosneft, which has shared operatorship with Kazakhstan in several Caspian upstream projects as well as downstream business in Kyrgyzstan, said on Thursday its oil production may exceed a forecasted figure of 250 million tonnes a year by 2022.

"By the year 2022, the company plans to increase its...

22.06.2018

Urals differentials hit 1-month low in NWE before OPEC meeting

Kazakhstan’s benchmark Urals crude’s differentials in northwest Europe lost 20 cents a barrel on Thursday and hit the lowest level since May 15 ahead of a meeting of OPEC and its allies this week, as some industry players expect Russia to boost oil supplies as soon as July.

The Urals provisional...

Kazakhstan’s benchmark Urals crude’s differentials in northwest Europe lost 20 cents a barrel on Thursday and hit the lowest level since May 15 ahead of a meeting of OPEC and its allies this week, as some industry players expect Russia to boost oil supplies as soon as July.

The Urals provisional...

22.06.2018

Oil price falls 2% as Opec nears deal to raise production

Oil prices fell on Thursday as crude exporters in Opec appeared to be nearing a deal to increase production.

Benchmark Brent crude fell $1.76 a barrel, or more than 2%, to a low of $72.98 before recovering slightly to $73.34, down $1.40, by 9.45am GMT. US light crude was $1.00 lower...

Oil prices fell on Thursday as crude exporters in Opec appeared to be nearing a deal to increase production.

Benchmark Brent crude fell $1.76 a barrel, or more than 2%, to a low of $72.98 before recovering slightly to $73.34, down $1.40, by 9.45am GMT. US light crude was $1.00 lower...

Finance and Investment

22.06.2018

Expenditures of the state budget on salaries increased by 6.7% on-year

Expenses of the state budget for January-April 2018 in all segments amounted to 3.3 trillion tenge, which is 11.7% more than in the same period of the previous year when it amounted to 2.9 trillion tenge.

In 4 months of the current year, the main areas of budget expenditures were social...

Expenses of the state budget for January-April 2018 in all segments amounted to 3.3 trillion tenge, which is 11.7% more than in the same period of the previous year when it amounted to 2.9 trillion tenge.

In 4 months of the current year, the main areas of budget expenditures were social...

22.06.2018

Kazakh government keen on boosting tax income

Tax collection in Kazakhstan will grow to 25 percent from the GDP in 2025, maintaining comfortable conditions for business, Minister of Finance of Kazakhstan Bakhyt Sultanov said at a press conference, Kazakh media outlets reported.

"In this regard, the ministry is implementing initiatives aimed at increasing tax collection by digitizing the...

Tax collection in Kazakhstan will grow to 25 percent from the GDP in 2025, maintaining comfortable conditions for business, Minister of Finance of Kazakhstan Bakhyt Sultanov said at a press conference, Kazakh media outlets reported.

"In this regard, the ministry is implementing initiatives aimed at increasing tax collection by digitizing the...

22.06.2018

Overall plan of privatisation executed for 77%

The implementation of the Comprehensive Privatisation Plan for 2016-2020, taking into account the reorganised and liquidated facilities at the current date, is complete for 77%. On 275 objects, the decision on reorganisation and liquidation is accepted. There are two reasons for this, which are the economic inexpediency of bidding or...

The implementation of the Comprehensive Privatisation Plan for 2016-2020, taking into account the reorganised and liquidated facilities at the current date, is complete for 77%. On 275 objects, the decision on reorganisation and liquidation is accepted. There are two reasons for this, which are the economic inexpediency of bidding or...

22.06.2018

Kazakh government to change method of assigning basic pensions

Beginning July 1, the Kazakh government will change the method of assigning basic pension payments. The figure will depend on the duration of the individual’s participation in the pension system, reported the Government for Citizens press service.

The base pension will be appointed only if a citizen reaches the general established...

Beginning July 1, the Kazakh government will change the method of assigning basic pension payments. The figure will depend on the duration of the individual’s participation in the pension system, reported the Government for Citizens press service.

The base pension will be appointed only if a citizen reaches the general established...

22.06.2018

NB head told about collateral in 7-20-25 programme

Chairman of the National Bank of the Republic of Kazakhstan Daniyar Akishev believes that banks should have the right to freely sell collateral if the borrower does not fulfill credit terms. He stated this during the plenary session of the Senate. 

"The mortgage institution must be fully-fledged, for this, the pledgee...

Chairman of the National Bank of the Republic of Kazakhstan Daniyar Akishev believes that banks should have the right to freely sell collateral if the borrower does not fulfill credit terms. He stated this during the plenary session of the Senate. 

"The mortgage institution must be fully-fledged, for this, the pledgee...

22.06.2018

AIX appoints Chief Executive Officer, prepares for launch

The Astana International Exchange (AIX) administration has appointed Timothy Bennett to the position of Chief Executive Officer. Arman Tastanbekov was named Chief Legal Officer and a member of the management committee and Jean-Philippe Louvancour will serve as head of regulation and compliance.

Bennett was most recently the CEO of NZX, which...

The Astana International Exchange (AIX) administration has appointed Timothy Bennett to the position of Chief Executive Officer. Arman Tastanbekov was named Chief Legal Officer and a member of the management committee and Jean-Philippe Louvancour will serve as head of regulation and compliance.

Bennett was most recently the CEO of NZX, which...

22.06.2018

US dollar settles at KZT341.32 on Thursday

Based on the results of trades on the spot-market:

- weighted average US dollar rate with settlements T+0 in tenge (USDKZT_TOD) made KZT341.32 per US dollar at the trades volume USD72,250 th.;

- on US dollar with settlements Т+1 and Т+2 in tenge no deals were made, at the session close quotes...

Based on the results of trades on the spot-market:

- weighted average US dollar rate with settlements T+0 in tenge (USDKZT_TOD) made KZT341.32 per US dollar at the trades volume USD72,250 th.;

- on US dollar with settlements Т+1 and Т+2 in tenge no deals were made, at the session close quotes...

22.06.2018

Dollar drops off 11-month peak after weak Philly Fed data

The dollar fell off an 11-month high on Thursday against a basket of major currencies as the Philadelphia Federal Reserve’s gauge of U.S. Mid-Atlantic business activity fell to a near 1-1/2 year low, spurring profit-taking on the greenback.

The euro recovered from its weakest level since July 2017 which was tied...

The dollar fell off an 11-month high on Thursday against a basket of major currencies as the Philadelphia Federal Reserve’s gauge of U.S. Mid-Atlantic business activity fell to a near 1-1/2 year low, spurring profit-taking on the greenback.

The euro recovered from its weakest level since July 2017 which was tied...

Metals and Minerals

22.06.2018

RCC to invest 300 million dollars in the mining sector of Kazakhstan

In the course of 2018-2020, Russian Copper Company will invest more than 300 million dollars in copper and zinc deposits development and refinery capacity development in Kazakhstan. The holding’s investment projects were presented at the 25th World Mining Congress in Astana.

As RusBusinessNews has been informed by the...

In the course of 2018-2020, Russian Copper Company will invest more than 300 million dollars in copper and zinc deposits development and refinery capacity development in Kazakhstan. The holding’s investment projects were presented at the 25th World Mining Congress in Astana.

As RusBusinessNews has been informed by the RCC Press Service,...

22.06.2018

Analyzing EVRAZ and ArcelorMittal

EVRAZ (OTCMKTS: EVRZF) and ArcelorMittal (NYSE:MT) are both basic materials companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, valuation, earnings, profitability, risk, analyst recommendations and dividends. EVRAZ has a beta of -3.37, suggesting that its share price is 437% less volatile than the S&P 500. Comparatively, ArcelorMittal has a beta of 2.36, suggesting that its share price is 136% more volatile than the S&P 500. 4.9% of ArcelorMittal shares are held by institutional investors. 0.1% of ArcelorMittal shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth. This table compares EVRAZ and ArcelorMittal’s revenue, earnings per share and valuation.
Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
EVRAZ $10.83 billion 0.85 $681.36 million $0.48 13.50
ArcelorMittal $68.68 billion 0.47 $4.57 billion $5.34 5.94
ArcelorMittal has higher revenue and earnings than EVRAZ. ArcelorMittal is trading at a lower price-to-earnings ratio than EVRAZ, indicating that it is currently the more affordable of the two stocks. This is a summary of current ratings for EVRAZ and ArcelorMittal, as reported by MarketBeat.com.
Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
EVRAZ 0 0 0 0 N/A
ArcelorMittal 1 2 7 0 2.60
ArcelorMittal has a consensus target price of $37.33, suggesting a potential upside of 17.66%. Given ArcelorMittal’s higher possible upside, analysts plainly believe ArcelorMittal is more favorable than EVRAZ. This table compares EVRAZ and ArcelorMittal’s net margins, return on equity and return on assets.
Net Margins Return on Equity Return on Assets
EVRAZ N/A N/A N/A
ArcelorMittal 6.63% 11.85% 5.53%
ArcelorMittal pays an annual dividend of $0.09 per share and has a dividend yield of 0.3%. EVRAZ does not pay a dividend. ArcelorMittal pays out 1.7% of its earnings in the form of a dividend. ArcelorMittal beats EVRAZ on 12 of the 15 factors compared between the two stocks. EVRAZ plc, together with its subsidiaries, produces and distributes steel and related products. The company operates through four segments: Steel; Steel, North America; Coal; and Other Operations. Its products include construction products, industrial products, railway products, vanadium products, and pipes, as well as raw materials, such as iron ore, coal, and limestone products. The company is involved in the extraction of vanadium ore; iron ore mining and enrichment; and coal mining and enrichment, as well as energy-generation, shipping, and railway transportation businesses. It has operations in the Commonwealth of Independent States including Kazakhstan, America, Asia, Europe, Africa, and internationally. The company was founded in 1992 and is headquartered in Moscow, Russia. EVRAZ plc is a subsidiary of Lanebrook Limited. ArcelorMittal, together with its subsidiaries, owns and operates steel manufacturing and mining facilities in Europe, North and South America, Asia including Kazakhstan, and Africa. It operates through NAFTA, Brazil, Europe, ACIS, and Mining segments. The company produces finished and semi-finished steel products with various specifications. Its principal steel products include semi-finished flat products, such as slabs; finished flat products comprising plates, hot- and cold-rolled coils and sheets, hot-dipped and electro-galvanized coils and sheets, and tinplate and color coated coils and sheets; semi-finished long products, such as blooms and billets; finished long products, including bars, wire-rods, structural sections, rails, sheet piles, and wire-products; and seamless and welded pipes and tubes. The company's principal mining products comprise iron ore lump, fines, concentrate, pellets, and sinter feed; and coking, pulverized coal injection, and thermal coal. It provides its steel products to the automotive, appliance, engineering, construction, energy, and machinery industries. The company sells its products in local markets and through a centralized marketing organization to customers in approximately 160 countries. It has iron ore mining activities in Brazil, Bosnia, Canada, Kazakhstan, Liberia, Mexico, Ukraine, and the United States; and coal mining activities in Kazakhstan and the United States. The company was founded in 1976 and is headquartered in Luxembourg City, Luxembourg. By Anthony Miller for The Lincolnian.

EVRAZ (OTCMKTS: EVRZF) and ArcelorMittal (NYSE:MT) are both basic materials companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, valuation, earnings, profitability, risk, analyst recommendations and dividends.

EVRAZ has a beta of -3.37, suggesting that its share price is 437% less volatile than the S&P 500. Comparatively, ArcelorMittal has a beta of 2.36, suggesting that its share price is 136% more volatile than the S&P 500.

4.9% of ArcelorMittal shares are held by institutional investors. 0.1% of ArcelorMittal shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

This table compares EVRAZ and ArcelorMittal’s revenue, earnings per share and valuation.

Gross Revenue

Price/Sales Ratio

Net Income

Earnings Per Share

Price/Earnings Ratio

EVRAZ

$10.83 billion

0.85

$681.36 million

$0.48

13.50

ArcelorMittal

$68.68 billion

0.47

$4.57 billion

$5.34

5.94

ArcelorMittal has higher revenue and earnings than EVRAZ. ArcelorMittal is trading at a lower price-to-earnings ratio than EVRAZ, indicating that it is currently the more affordable of the two stocks.

This is a summary of current ratings for EVRAZ and ArcelorMittal, as reported by MarketBeat.com.

Sell Ratings

Hold Ratings

Buy Ratings

Strong Buy Ratings

Rating Score

EVRAZ

0

0

0

0

N/A

ArcelorMittal

1

2

7

0

2.60

ArcelorMittal has a consensus target price of $37.33, suggesting a potential upside of 17.66%. Given ArcelorMittal’s higher possible upside, analysts plainly believe ArcelorMittal is more favorable than EVRAZ.

This table compares EVRAZ and ArcelorMittal’s net margins, return on equity and return on assets.

Net Margins

Return on Equity

Return on Assets

EVRAZ

N/A

N/A

N/A

ArcelorMittal

6.63%

11.85%

5.53%

ArcelorMittal pays an annual dividend of $0.09 per share and has a dividend yield of 0.3%. EVRAZ does not pay a dividend. ArcelorMittal pays out 1.7% of its earnings in the form of a dividend.

ArcelorMittal beats EVRAZ on 12 of the 15 factors compared between the two stocks.

EVRAZ plc, together with its subsidiaries, produces and distributes steel and related products. The company operates through four segments: Steel; Steel, North America; Coal; and Other Operations. Its products include construction products, industrial products, railway products, vanadium products, and pipes, as well as raw materials, such as iron ore, coal, and limestone products. The company is involved in the extraction of vanadium ore; iron ore mining and enrichment; and coal mining and enrichment, as well as energy-generation, shipping, and railway transportation businesses. It has operations in the Commonwealth of Independent States including Kazakhstan, America, Asia, Europe, Africa, and internationally. The company was founded in 1992 and is headquartered in Moscow, Russia. EVRAZ plc is a subsidiary of Lanebrook Limited.

ArcelorMittal, together with its subsidiaries, owns and operates steel manufacturing and mining facilities in Europe, North and South America, Asia including Kazakhstan, and Africa. It operates through NAFTA, Brazil, Europe, ACIS, and Mining segments. The company produces finished and semi-finished steel products with various specifications. Its principal steel products include semi-finished flat products, such as slabs; finished flat products comprising plates, hot- and cold-rolled coils and sheets, hot-dipped and electro-galvanized coils and sheets, and tinplate and color coated coils and sheets; semi-finished long products, such as blooms and billets; finished long products, including bars, wire-rods, structural sections, rails, sheet piles, and wire-products; and seamless and welded pipes and tubes. The company's principal mining products comprise iron ore lump, fines, concentrate, pellets, and sinter feed; and coking, pulverized coal injection, and thermal coal. It provides its steel products to the automotive, appliance, engineering, construction, energy, and machinery industries. The company sells its products in local markets and through a centralized marketing organization to customers in approximately 160 countries. It has iron ore mining activities in Brazil, Bosnia, Canada, Kazakhstan, Liberia, Mexico, Ukraine, and the United States; and coal mining activities in Kazakhstan and the United States. The company was founded in 1976 and is headquartered in Luxembourg City, Luxembourg.

By Anthony Miller for The Lincolnian.

22.06.2018

KAZ Minerals given buy rating at Citigroup

Citigroup reiterated their buy rating on shares of KAZ Minerals (LON:KAZ) in a research report released on Monday, June 11th. They currently have a GBX 1,040 ($13.85) price objective on the copper miner’s stock.

A number of other equities research analysts have also recently weighed in on the stock. Credit Suisse...

Citigroup reiterated their buy rating on shares of KAZ Minerals (LON:KAZ) in a research report released on Monday, June 11th. They currently have a GBX 1,040 ($13.85) price objective on the copper miner’s stock.

A number of other equities research analysts have also recently weighed in on the stock. Credit Suisse...

22.06.2018

Gold hits six-month low as investors sell, dollar climbs

Gold prices sank to six-month lows on Thursday as investors sold holdings in the physical market and the dollar climbed due to expectations of higher interest rates in the United States.

Spot gold was down 0.2 percent at $1,265.4 an ounce at 1501 GMT but off a low...

Gold prices sank to six-month lows on Thursday as investors sold holdings in the physical market and the dollar climbed due to expectations of higher interest rates in the United States.

Spot gold was down 0.2 percent at $1,265.4 an ounce at 1501 GMT but off a low of $1,261.36, its...

22.06.2018

Copper rebounds from 3-wk low as China looks to spur growth

London copper rebounded from a three-week low on Thursday after China said it was eyeing cuts in banks' reserve requirement ratios (RRR) and other measures to spur economic growth, which could support copper demand in the world's top user.

Nickel cut intraday gains, trading near its lows, after 23 of 27...

London copper rebounded from a three-week low on Thursday after China said it was eyeing cuts in banks' reserve requirement ratios (RRR) and other measures to spur economic growth, which could support copper demand in the world's top user.

Nickel cut intraday gains, trading near its lows, after 23 of 27...

Manufacturing industry

22.06.2018

Omsk offers N Kazakhstan to set up cross-border industrial cluster

North Kazakhstan region Governor Kumar Aksakalov met with Governor of Omsk region Russia Alexander Burkov in Petropavlovsk.

Aksakalov told the Russian side about the projects and potential opportunities of the region, in particular, cooperation in agriculture sector. North Kazakhstan for the first time planted 1 million ha of oil-bearing crops. In...

North Kazakhstan region Governor Kumar Aksakalov met with Governor of Omsk region Russia Alexander Burkov in Petropavlovsk.

Aksakalov told the Russian side about the projects and potential opportunities of the region, in particular, cooperation in agriculture sector. North Kazakhstan for the first time planted 1 million ha of oil-bearing crops. In...

Trade and Consumer Goods

22.06.2018

40% annual growth of e-commerce expected in Kazakhstan

Minister of Information and Communications of Kazakhstan Dauren Abayev announced this during a meeting of the Community Council at Kazmediacenter.

"This year we have embarked upon the active phase of implementing the Digital Kazakhstan Governmental Programme. To this end, we have created necessary conditions including the Digitalization Commission. In five governmental...

Minister of Information and Communications of Kazakhstan Dauren Abayev announced this during a meeting of the Community Council at Kazmediacenter.

"This year we have embarked upon the active phase of implementing the Digital Kazakhstan Governmental Programme. To this end, we have created necessary conditions including the Digitalization Commission. In five governmental...

22.06.2018

Meat products consumption in Kazakhstan on the increase

Demand for meat and meat products in Kazakhstan increased in January-May 2018, Kazakh media outlets reported.

In five months, Kazakh meat producers provided 107,700 tons of meat products to local market, has grown by 14.5 percent, compared to the previous year.

The largest volumes of meat products were provided by the Almaty...

Demand for meat and meat products in Kazakhstan increased in January-May 2018, Kazakh media outlets reported.

In five months, Kazakh meat producers provided 107,700 tons of meat products to local market, has grown by 14.5 percent, compared to the previous year.

The largest volumes of meat products were provided by the Almaty...

Agriculture

22.06.2018

China to increase quotas for wheat deliveries from Kazakhstan

Kazakhstan. Sowing progress, June 15, 2018
Crops Planned area, Th ha Planted, Th ha % complete Lag in sowing vs 2017 (%)
2018 2017
Spring grains 14131 14237 14385 100.8 -1
Corn 155 145 130 93.8 +12
Rice 96 101 102 105.6 -1
  China is ready to increase its quotas for wheat imports from Kazakhstan to 500 KMT in 2019 and 1 MMT in 2020, the Kazakh Ag Ministry reports. In addition, the Chinese party proposed to distribute the above quota, 95% of which is now accounted for by the state-owned COFCO, among other participants of China’s domestic grain market. According to UkrAgroConsult, Kazakhstan boosted wheat exports to China by more than 47% in the first seven months of MY 2017/18 (September-March) against the same period in MY 2016/17 (213.3 KMT and 144.7 KMT, respectively). As for Kazakh 2018 crop wheat prospects, winter wheat is mostly in good condition, locally fair, reports UkrAgroConsult. The south and south-east of Kazakhstan, where winter wheat is cultivated, enjoyed favorable conditions for grain formation and ripening on June 1-10, minor rainfalls somewhat replenished soil moisture supply. Moderately warm weather with showers was observed all over Kazakhstan during the first ten days of the month.  Precipitation rates were above normal in spots across the northern, western, central and eastern regions. These weather conditions favored growth and development of spring crops. Spring wheat is mostly in excellent and good condition, but locally it is fair. Spring barley condition is rated excellent and good, locally fair. According to the Agriculture Ministry of Kazakhstan, 14237 Th ha had been seeded by June 15, 2018 (100.8% of the forecast area of 14131 Th ha). 14385 Th ha was seeded by the same date in 2017. Reported by UkrAgroConsult.

Kazakhstan. Sowing progress, June 15, 2018

Crops

Planned area,

Th ha

Planted, Th ha

%

complete

Lag in sowing vs 2017 (%)

2018

2017

Spring grains

14131

14237

14385

100.8

-1

Corn

155

145

130

93.8

+12

Rice

96

101

102

105.6

-1

 

China is ready to increase its quotas for wheat imports from Kazakhstan to 500 KMT in 2019 and 1 MMT in 2020, the Kazakh Ag Ministry reports.

In addition, the Chinese party proposed to distribute the above quota, 95% of which is now accounted for by the state-owned COFCO, among other participants of China’s domestic grain market.

According to UkrAgroConsult, Kazakhstan boosted wheat exports to China by more than 47% in the first seven months of MY 2017/18 (September-March) against the same period in MY 2016/17 (213.3 KMT and 144.7 KMT, respectively).

As for Kazakh 2018 crop wheat prospects, winter wheat is mostly in good condition, locally fair, reports UkrAgroConsult. The south and south-east of Kazakhstan, where winter wheat is cultivated, enjoyed favorable conditions for grain formation and ripening on June 1-10, minor rainfalls somewhat replenished soil moisture supply. Moderately warm weather with showers was observed all over Kazakhstan during the first ten days of the month.  Precipitation rates were above normal in spots across the northern, western, central and eastern regions. These weather conditions favored growth and development of spring crops.

Spring wheat is mostly in excellent and good condition, but locally it is fair. Spring barley condition is rated excellent and good, locally fair.

According to the Agriculture Ministry of Kazakhstan, 14237 Th ha had been seeded by June 15, 2018 (100.8% of the forecast area of 14131 Th ha). 14385 Th ha was seeded by the same date in 2017.

Reported by UkrAgroConsult.

22.06.2018

State programme encourages family farms, more subsidies, meat exports

Export refunds for processed agricultural products will be $2.2 billion in 2021, 2.3 times higher than the $945 million recorded in 2015, reported Minister of National Economy Timur Suleimenov at a June 19 meeting.

Asian and Middle Eastern countries including China, Iran, Saudi Arabia and Vietnam are identified as attractive export...

Export refunds for processed agricultural products will be $2.2 billion in 2021, 2.3 times higher than the $945 million recorded in 2015, reported Minister of National Economy Timur Suleimenov at a June 19 meeting.

Asian and Middle Eastern countries including China, Iran, Saudi Arabia and Vietnam are identified as attractive export...

22.06.2018

New agro-insurance regime proposed in Kazakhstan

A new model of agricultural products’ insurance will significantly facilitate the process of agricultural insurance in Azerbaijan, said the leading specialist of the Insurance Market Supervision Department of the Financial Markets Supervision Chamber of the country Firdovsi Agashirinov.

He made the remarks at the conference "Insurance in Azerbaijan: New Prospects".

He noted...

A new model of agricultural products’ insurance will significantly facilitate the process of agricultural insurance in Azerbaijan, said the leading specialist of the Insurance Market Supervision Department of the Financial Markets Supervision Chamber of the country Firdovsi Agashirinov.

He made the remarks at the conference "Insurance in Azerbaijan: New Prospects".

He noted...

22.06.2018

Hesitant grain market weighs trade risks, crop weather

Chicago grain and soybean futures were little changed on Thursday as investors waited to see whether a U.S.-Chinese trade dispute would escalate and watched for more indications on harvest prospects.

A broadly stronger dollar also weighed on grain prices, making U.S. commodities more expensive overseas.

Grain markets were also watching for weekly...

Chicago grain and soybean futures were little changed on Thursday as investors waited to see whether a U.S.-Chinese trade dispute would escalate and watched for more indications on harvest prospects.

A broadly stronger dollar also weighed on grain prices, making U.S. commodities more expensive overseas.

Grain markets were also watching for weekly...

Communications and Transportation

22.06.2018

Kazakhstan vows to complete its part of One Belt- One Road (OBOR) in 2018

Kazakhstan will be the first country to complete construction of its part of Chinese project known as One Belt- One Road.

According to Russia media, most of One Belt One Road (OBOR) transport corridor passes through the territory of Kazakhstan for linking China with Russia and as far as Europe.

Completion of...

Kazakhstan will be the first country to complete construction of its part of Chinese project known as One Belt- One Road.

According to Russia media, most of One Belt One Road (OBOR) transport corridor passes through the territory of Kazakhstan for linking China with Russia and as far as Europe.

Completion of...

22.06.2018

Kazakhstan involves Azeri enterprises in Caspian port development

Operators of Kazakhstan's Kuryk port attract various international companies, including companies from Azerbaijan to cooperation, within the framework of the port development, the director of DARYN Partners Nurzhan Marabaev told Trend.

"The first object in the development of the port was the Ferry Complex, which was constructed in partnership with Kazakhstan...

Operators of Kazakhstan's Kuryk port attract various international companies, including companies from Azerbaijan to cooperation, within the framework of the port development, the director of DARYN Partners Nurzhan Marabaev told Trend.

"The first object in the development of the port was the Ferry Complex, which was constructed in partnership with Kazakhstan...

22.06.2018

Online registration of mobile phones using IMEI and IIN

It will be possible to register mobile phones under the new rules via SMS or online, binding the IMEI-code of the device to the individual identification number of the owner. This was reported by the Minister of Information and Communications of Kazakhstan Dauren Abayev at a meeting of the public...

It will be possible to register mobile phones under the new rules via SMS or online, binding the IMEI-code of the device to the individual identification number of the owner. This was reported by the Minister of Information and Communications of Kazakhstan Dauren Abayev at a meeting of the public...

Regional News

22.06.2018

4 countries create Economic Council of Greater Altai Regions

A delegation of East Kazakhstan region took part in the 15th session of the International Coordinating Council "Altai: Our Common Home". The meeting was held in Khovd, Mongolia, Kazinform correspondent reports.

The meeting was also attended by delegates from the Altai Republic of Russia, the Xinjiang Uygur Autonomous Region of China,...

A delegation of East Kazakhstan region took part in the 15th session of the International Coordinating Council "Altai: Our Common Home". The meeting was held in Khovd, Mongolia, Kazinform correspondent reports.

The meeting was also attended by delegates from the Altai Republic of Russia, the Xinjiang Uygur Autonomous Region of China,...

22.06.2018

Turkmen head of state proposed UN supervision, arbitration for Central Asia’s regional water management

President of Turkmenistan Gurbanguly Berdimuhamedov, speaking at the international high-level conference in Dushanbe June 20, proposed to establish a specialized UN structure on water issues for Central Asia, the state agency “Turkmenistan Dovlet Khabarlary” reported.

The capital of Tajikistan hosts a forum dedicated to the UN Decade of Action "Water for...

President of Turkmenistan Gurbanguly Berdimuhamedov, speaking at the international high-level conference in Dushanbe June 20, proposed to establish a specialized UN structure on water issues for Central Asia, the state agency “Turkmenistan Dovlet Khabarlary” reported.

The capital of Tajikistan hosts a forum dedicated to the UN Decade of Action "Water for...

22.06.2018

China’s key figures indicate positive real economy, says NDRC

China's real economy remains stable and positive since the beginning of this year amid the deepening of structural adjustment, transformation and upgrading, according to the latest report by the National Development and Reform Commission (NDRC), China's top economic planner. New industries and products witnessed rapid growth, contributing to revenue growth...

China's real economy remains stable and positive since the beginning of this year amid the deepening of structural adjustment, transformation and upgrading, according to the latest report by the National Development and Reform Commission (NDRC), China's top economic planner. New industries and products witnessed rapid growth, contributing to revenue growth...

22.06.2018

Audit exposes China's central SOEs flaws, weaknesses

A recent audit of central State-owned enterprises (SOEs) has exposed problems such as declining asset values, excessive vehicle purchases and substandard assessment procedures for investments and mergers. 

Experts told the Global Times on Thursday that the SOEs are being held back because of contradictions between government administration and corporate management.

According to...

A recent audit of central State-owned enterprises (SOEs) has exposed problems such as declining asset values, excessive vehicle purchases and substandard assessment procedures for investments and mergers. 

Experts told the Global Times on Thursday that the SOEs are being held back because of contradictions between government administration and corporate management.

According to...

22.06.2018

Russian oil producers ready to boost output

As Russia and Saudi Arabia plan to propose a crude production increase of 1.5 mln barrels per day for stabilizing output and bring the market to balance, Russian oil companies support the trend and are ready to contribute to the boost, Izvestia says. "There are various outlooks on oil demand....

As Russia and Saudi Arabia plan to propose a crude production increase of 1.5 mln barrels per day for stabilizing output and bring the market to balance, Russian oil companies support the trend and are ready to contribute to the boost, Izvestia says. "There are various outlooks on oil demand....

22.06.2018

Draft project on Russia’s investment development in progress

Russia’s Economic Development Ministry submitted its proposals on the acceleration of economic growth and increase of investment share in GDP to 25% by 2024 to the government on Tuesday, June 19, Kommersant says. The ministry’s draft project that has three stages, is planned to be implemented by the end of...

Russia’s Economic Development Ministry submitted its proposals on the acceleration of economic growth and increase of investment share in GDP to 25% by 2024 to the government on Tuesday, June 19, Kommersant says. The ministry’s draft project that has three stages, is planned to be implemented by the end of...

22.06.2018

Uzbekistan, IMF hold seminar on budget transparency and assessment of fiscal risks

On 19 June 2018, the Ministry of Finance of the Republic of Uzbekistan jointly with the members of a mission of the International Monetary Fund held a seminar "Budget Transparency and Assessment of Fiscal Risks".

The seminar was attended by deputies of the Legislative Chamber of Oliy Majlis, senators, employees of...

On 19 June 2018, the Ministry of Finance of the Republic of Uzbekistan jointly with the members of a mission of the International Monetary Fund held a seminar "Budget Transparency and Assessment of Fiscal Risks".

The seminar was attended by deputies of the Legislative Chamber of Oliy Majlis, senators, employees of...

22.06.2018

Uzbekistan, World Bank discuss reform of the tax system

Deputy Prime Minister, Minister of Finance of Uzbekistan Jamshid Kuchkarov received a World Bank mission on reforming the tax system of the country for technical discussions.

According to the press service of the Ministry of Finance, the parties discussed the current state of the tax system and the need for tax...

Deputy Prime Minister, Minister of Finance of Uzbekistan Jamshid Kuchkarov received a World Bank mission on reforming the tax system of the country for technical discussions.

According to the press service of the Ministry of Finance, the parties discussed the current state of the tax system and the need for tax...

22.06.2018

Azerbaijan posts 2.7bnm3 in gas exports in 5 months

Azerbaijan exported 2.7 billion cubic meters of natural gas worth $498.84 million in January-May 2018.

The State Customs Committee said that during this period natural gas exports fell by 11.46 percent year-on-year and cost by 3.17 percent.

The export of natural gas amounted to 6.77 percent of total exports for 5 months of...

Azerbaijan exported 2.7 billion cubic meters of natural gas worth $498.84 million in January-May 2018.

The State Customs Committee said that during this period natural gas exports fell by 11.46 percent year-on-year and cost by 3.17 percent.

The export of natural gas amounted to 6.77 percent of total exports for 5 months of...

22.06.2018

Financial turnover of SOCAR Romania hits $181M

The authoritative financial and analytical newspaper of Romania “Ziarul Financiar” wrote an article about SOCAR Petroleum SA, a subsidiary of SOCAR in Romania.

The newspaper reported that that last year the financial turnover of the company, which is included in the first ten of the Romanian fuel market, amounted to 731...

The authoritative financial and analytical newspaper of Romania “Ziarul Financiar” wrote an article about SOCAR Petroleum SA, a subsidiary of SOCAR in Romania.

The newspaper reported that that last year the financial turnover of the company, which is included in the first ten of the Romanian fuel market, amounted to 731...

22.06.2018

Tajik, Turkmen presidents hold talks in Dushanbe to discuss cooperation

On Wednesday June 20, Tajik President Emomali Rahmon met here with his Turkmen counterpart Gurbanguly Berdimuhammedov on the sidelines of the International High-Level Conference on International Decade for Action, “Water for Sustainable Development, 2018-2028.”

According to the Tajik president’s official website, Rahmon and Berdimuhammedov discussed a broad range of issues related...

On Wednesday June 20, Tajik President Emomali Rahmon met here with his Turkmen counterpart Gurbanguly Berdimuhammedov on the sidelines of the International High-Level Conference on International Decade for Action, “Water for Sustainable Development, 2018-2028.”

According to the Tajik president’s official website, Rahmon and Berdimuhammedov discussed a broad range of issues related...

Prices and Statistics

22.06.2018

Commodities

Date: June 22, 2018; Source: Bloomberg.com Energy
INDEX UNITS PRICE CHANGE %CHANGE CONTRACT TIME (EDT) 2 DAY
CL1:COMWTI Crude Oil (Nymex) USD/bbl. 66.35 +0.81 +1.24% Aug 2018 1:04 AM
CO1:COMBrent Crude (ICE) USD/bbl. 73.88 +0.83 +1.14% Aug 2018 1:05 AM
XB1:COMRBOB Gasoline (Nymex) USd/gal. 202.88 +1.65 +0.82% Jul 2018 6/21/2018
NG1:COMNatural Gas (Nymex) USD/MMBtu 2.99 +0.01 +0.40% Jul 2018 1:05 AM
HO1:COMHeating Oil (Nymex) USd/gal. 208.83 +1.82 +0.88% Jul 2018 12:44 AM
Precious and Industrial Metals
INDEX UNITS PRICE CHANGE %CHANGE CONTRACT TIME (EDT) 2 DAY
GC1:COMGold (Comex) USD/t oz. 1,269.30 -1.20 -0.09% Aug 2018 1:05 AM
XAUUSD:CURGold Spot USD/t oz. 1,267.63 +0.44 +0.03% N/A 1:15 AM
SI1:COMSilver (Comex) USD/t oz. 16.32 -0.01 -0.04% Sep 2018 1:04 AM
HG1:COMCopper (Comex) USd/lb. 305.05 +0.70 +0.23% Sep 2018 1:05 AM
XPTUSD:CURPlatinum Spot USD/t oz. 859.35 -4.30 -0.50% N/A 1:14 AM
Agriculture
INDEX UNITS PRICE CHANGE %CHANGE CONTRACT TIME (EDT) 2 DAY
C 1:COMCorn (CBOT) USd/bu. 367.75 +1.25 +0.34% Sep 2018 12:59 AM
W 1:COMWheat (CBOT) USd/bu. 505.75 -1.00 -0.20% Sep 2018 1:04 AM
CC1:COMCocoa (ICE) USD/MT 2,513.00 -40.00 -1.57% Sep 2018 6/21/2018
CT1:COMCotton #2 (ICE) USd/lb. 84.49 +0.20 +0.24% Dec 2018 12:50 AM
LC1:COMLive Cattle (CME) USd/lb. 106.13 -0.52 -0.49% Aug 2018 6/21/2018

Date: June 22, 2018; Source: Bloomberg.com

Energy

INDEX UNITS PRICE CHANGE %CHANGE CONTRACT TIME (EDT) 2 DAY
CL1:COMWTI Crude Oil (Nymex) USD/bbl. 66.35 +0.81 +1.24% Aug 2018 1:04 AM
CO1:COMBrent Crude (ICE) USD/bbl. 73.88 +0.83 +1.14% Aug 2018 1:05 AM
XB1:COMRBOB Gasoline (Nymex) USd/gal. 202.88 +1.65 +0.82% Jul 2018 6/21/2018
NG1:COMNatural Gas (Nymex) USD/MMBtu 2.99 +0.01 +0.40% Jul 2018 1:05 AM
HO1:COMHeating Oil (Nymex) USd/gal. 208.83 +1.82 +0.88% Jul 2018 12:44 AM

Precious and Industrial Metals

INDEX UNITS PRICE CHANGE %CHANGE CONTRACT TIME (EDT) 2 DAY
GC1:COMGold (Comex) USD/t oz. 1,269.30 -1.20 -0.09% Aug 2018 1:05 AM
XAUUSD:CURGold Spot USD/t oz. 1,267.63 +0.44 +0.03% N/A 1:15 AM
SI1:COMSilver (Comex) USD/t oz. 16.32 -0.01 -0.04% Sep 2018 1:04 AM
HG1:COMCopper (Comex) USd/lb. 305.05 +0.70 +0.23% Sep 2018 1:05 AM
XPTUSD:CURPlatinum Spot USD/t oz. 859.35 -4.30 -0.50% N/A 1:14 AM

Agriculture

INDEX UNITS PRICE CHANGE %CHANGE CONTRACT TIME (EDT) 2 DAY
C 1:COMCorn (CBOT) USd/bu. 367.75 +1.25 +0.34% Sep 2018 12:59 AM
W 1:COMWheat (CBOT) USd/bu. 505.75 -1.00 -0.20% Sep 2018 1:04 AM
CC1:COMCocoa (ICE) USD/MT 2,513.00 -40.00 -1.57% Sep 2018 6/21/2018
CT1:COMCotton #2 (ICE) USd/lb. 84.49 +0.20 +0.24% Dec 2018 12:50 AM
LC1:COMLive Cattle (CME) USd/lb. 106.13 -0.52 -0.49% Aug 2018 6/21/2018
22.06.2018

Exchange Rates

Date: June 22, 2018; Source: the National Bank of Kazakhstan
1 US DOLLAR USD / KZT 341.18
1 EURO EUR / KZT 392.97
1 RUSSIAN ROUBLE RUB / KZT 5.34
1 CHINESE YUAN CNY / KZT 52.5
1 KYRGYZIAN SOM KGS / KZT 5.01
1 GREAT BRITAIN POUND GBP / KZT 447.12
1 CANADIAN DOLLAR CAD / KZT 256.03
1 AUSTRALIAN DOLLAR AUD / KZT 251.11

Date: June 22, 2018; Source: the National Bank of Kazakhstan

1 US DOLLAR

USD / KZT

341.18

1 EURO

EUR / KZT

392.97

1 RUSSIAN ROUBLE

RUB / KZT

5.34

1 CHINESE YUAN

CNY / KZT

52.5

1 KYRGYZIAN SOM

KGS / KZT

5.01

1 GREAT BRITAIN POUND

GBP / KZT

447.12

1 CANADIAN DOLLAR

CAD / KZT

256.03

1 AUSTRALIAN DOLLAR

AUD / KZT

251.11