Kazakhstan has declared its commitment to improved transparency for extractive resource revenues, but authorities face two major challenges to growth and responsible revenue management: the impact of massive natural resource windfalls and the need for reform in the country's fragile banking sector.

Transparency Snapshot

Kazakhstan has declared its commitment to improved transparency for extractive resource revenues, but authorities face two major challenges to growth and responsible revenue management: the impact of massive natural resource windfalls and the need for reform in the country's fragile banking sector. In 2007, efforts on both fronts were hampered by a lack of transparency in public spending and contract disputes with the international oil companies operating locally. Read more ...

Extractive Industries

Kazakhstan's main natural resources are petroleum, natural gas, and coal. In 2006, oil production reached 1.3 mill bbl/d, accounting for almost two-thirds of the region's daily production (2 mill bbl/d). Oil revenues generated approximately 38% of total government revenues and represented roughly 11% of the country's GDP. Domestic oil consumption rates remain low, with exports averaging over 1 million bbl/d, making Kazakhstan a significant player in world oil markets. Kazakhstan is also a net exporter of natural gas, and holds the largest known reserve of recoverable coal in Central Asia. Read more ...