Kazakhstan Plans Social Infrastructure Focus Despite Budget Constraints

Kazakhstan Plans Social Infrastructure Focus Despite Budget Constraints

Kazakhstan: Kazakhstan has outlined construction priorities for the 2027–2029 period, focusing on hospitals, rehabilitation centres and sports facilities, as part of its budget planning. President Kassym-Jomart Tokayev reviewed economic forecasts and instructed officials to maintain fiscal balance while meeting growth targets. The plan builds on ongoing national projects, including rural healthcare development, where 655 primary care facilities have been completed, serving around one million people. Additional upgrades to hospitals, schools and infrastructure projects continue under broader programmes, including a national infrastructure plan covering 204 projects with an estimated value of KZT 40.1 trillion (USD 87,200 million; EUR 80,200 million), largely reliant on private investment and partnerships.

Audit findings have highlighted implementation challenges, with more than 20% of over 600 planned investment projects in 2025 remaining incomplete and funding gaps reaching 38% of planned levels. Budget adjustments and project revisions have affected delivery timelines, while inefficiencies in public spending have increased. The government aims to reduce the fiscal deficit from 2.5% of GDP to 0.9% by 2028, amid inflation of 10.2% and a base interest rate of 18%. The identified construction priorities also align with ongoing engagement from international contractors, particularly in healthcare and infrastructure sectors.

Source: AJP News Agency