KAZAKHSTAN: PROBLEMS OF DEVELOPING THE OIL AND GAS SECTOR AND IMPROVING THE SYSTEM FOR TAXING SUBSURFACE USERS

Bulat KHUSAINOV
Kanat BERENTAEV

---

Bulat Khusainov, Ph.D. (Econ.), Senior Manager, Center of Strategic Planning, JSC National Innovation Fund (Almaty, Kazakhstan)

Kanat Berentaev, Ph.D. (Econ.), Deputy Director, Public Policy Research Center (Almaty, Kazakhstan)

---

In recent decades, the role of the oil and gas industry in the economic development of many states has significantly grown. This also stands true for our republic. The increase in its oil production and export, the country’s main source of revenue, is prompting it to put up an increasingly active fight to conquer energy markets.

According to the Ministry of Energy and Mineral Resources, the proven reserves of oil and gas condensate in the republic amount to 4 billion tonnes. In terms of these indices, Kazakhstan is currently one of the leading oil and gas states in the world. But this does not guarantee the country prosperity. It still needs to find its niche on the world markets offering the best operating performance and political dividends.

At present, the oil and gas sector accounts for approximately 14% of the gross domestic product (GDP). This is essentially the same as the total contribution of the republic’s transportation and construction sectors to the GDP, whereby in the past five years the share of the oil and gas industry in the GDP grew 2.1-fold (see Table 1). Throughout industry as a whole, it amounts to 10.2%, increasing in these same years by 2.4-fold, and in construction it has risen by more than 1.5-fold, which shows the intensive introduction of……………………..

---

Please fill subscription form to obtain full text of this jounal