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Kazakhstan in «Doing Business» rating Printable version

Last update: 02.09.2021

business growth scaleDoing Business. Group of analysts of the World Bank every year holds the researches on favorable conditions for doing business in 190 worldwide countries. Analysis is performed for 10 indicators. Analysis is included into the report which is usually published in autumn in the oldest English language economic and scientific journal. «The Quarterlu Journal of Economics» (QJE is published since 1886).   

Analysis is performed by comparing of businessmen’ opinion participating in the head count of World Bank experts with the reforms, implemented by countries’ governments. Such an objective analysis allows to determine the level of competitive advantages and economy investment attractiveness of a particular country.      

Besides the analysis researches show the reasons, preventing the development of business, recommendations to their overcoming, ways of further development of business climate.       

For governments of different countries this points to the necessity of legal acts review, which regulate the activity of small and medium business and their law-enforcement order. 

From May 2, 2018 to May 1, 2019, 115 countries implemented 294 reforms aimed at regulating business activities in 10 areas measured by the Doing Business project. Most of these reforms have been implemented in areas such as business start-ups, building permits, electricity connection and taxation. The smallest number of reforms was registered in the area of insolvency resolution. The most common reforms included improving the functionality of credit bureaus and registries, developing or improving online compliance platforms, increasing the reliability of electricity supply, lowering some taxes, enhancing minority investor protection, streamlining property registration processes and automating international trade logistics. Low-income countries account for 11 percent of all reforms, with Togo leading the number of reforms (five). Since the Doing Business 2005 report, more than 3,800 reforms of business regulation in 190 countries have been implemented, evaluated by the Doing Business report. Most of these reforms have been implemented in middle-income countries.

Doing Business in Kazakhstan 2019 is the second subnational study in Kazakhstan. The study considers the issues of regulation on 4 indicators affecting the activities of small and medium-sized businesses: registration of enterprises, obtaining construction permits, connection to power grids and registration of property in 16 regions of Kazakhstan: Akmola region, Aktobe region, Almaty region, Almaty city, Atyrau region, East Kazakhstan region, Zhambyl region, West Kazakhstan region, Karaganda region, Kostanay region, Kyzylorda region, Mangystau region, Nur-Sultan city, Pavlodar region, North Kazakhstan region and Shymkent city. 

  • In general, in the four areas of regulation considered, the most favorable for business regulation is in Almaty, and the least favorable one is in Zhambyl region. As in Doing Business in Kazakhstan 2017, Almaty leads the rating on three indicators: "Obtaining construction permits", "Connection to power grids", "Registration of property". East Kazakhstan and Pavlodar regions share the first place in the rating on the indicator "Registration of property".
  • Eight regions included in Doing Business in Kazakhstan 2017 improved the business environment, with Nur-Sultan making the most of the improvements.
  • The lower performing regions of Kazakhstan are approaching the better performing regions for three of the indicators under consideration, with the "Connection to power grids" and "Obtaining construction permits" indicators reducing the gap between the regions by more than half.
  • Between 2016 and 2018, 24 reforms facilitating the conduct of business were recorded in eight regions, including several reforms initiated by the central executive bodies and implemented at the local level.­
  • Best practices in the areas of regulation under consideration are found throughout Kazakhstan. Reform-oriented officials can make tangible improvements by implementing reforms that have already been successfully implemented in the country.

The higher position in ranking the better regulatory climate in doing business.

Country index – is a middle mark in 10 indicators, each of which has equal value.

Kazakhstan took 7th place among 190 rating countries by «Protecting monitory investors» indicator. The second year the republic enters the first 10 countries by «Enforcing contracts» indicator (4th place). In terms of «Registering property» the country took 24th position.

Thus, according to the criteria «Resolving insolvency» Kazakhstan took 42th place, «Starting a business» - 22, «Paying taxes» - 64, «Dealing with construction permits» - 37, «Getting electricity» - 67, «Getting credit» - 35 and «Trading across borders» - 105.  

In our Republic much attention is paid to the business condition. By the efforts of Government, businessmen, country citizens our republic is supposed to be included into 30 competitive worldwide countries. First of all this goal is aimed to the improvement of Kazakhstan citizens’ life.    

«Doing Business» rating, formed by the World Bank is an objective external reform assessment, accepted for the improvement of country business-climate.    

Rating is performed on 10 indicators:

  1. Starting a business
  2. Dealing with construction permits
  3. Registering property
  4. Getting credit
  5. Protecting minority investors
  6. Paying taxes
  7. Trading across borders
  8. Enforcing contracts
  9. Resolving insolvency
  10. Getting electricity

In general, «Doing Business» ranking allows to analyze the whole life cycle of entrepreneurship, starting from the opening of business and ending with its liquidation.

Number of countries participating in «Doing Business» assessment is regularly increases. All data of «Doing Business» is updated and published every year in the report and on www.doingbusiness.org web-site.

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