Economic trends
Kazakhstan became the first ex-Soviet Republic to repay its entire debt to the International Monetary Fund (IMF) before the deadline, in 2000.
GDP growth rate was 10.6% in 2006, 8.7% in 2007 and 3.2% in 2008. However, the country went into recession at the beginning of 2009, due to the effects of the international financial crisis, combined with the drop of oil prices. In effect, the economy is carried by oil exports which generate 40% of the country's total revenue.
Consumption prices rose to over 8% in 2008 (9.5% in December) despite the Kazakhastan National Bank's (the central bank) efforts to fight against inflation. In January-April 2009, it reached almost 9%. Real Kazakh income was therefore less in 2008 (+3.3%) than in 2007 (+18.%).
According to the ILO Governing Body, the unemployment rate was at nearly 7% of the active population in June 2009.
Main branches of industry
The agricultural sector contributes to about 5% of the GDP and employs around 30% of the active population. Kazakhstan, with its 22.2 million hectares of agricultural land, is the 6th biggest global producer of cereals, despite low yields per hectare. Livestock farming is also an important activity. Kazakhstan is self-sufficient, except for poultry, of which 60% is imported.
Kazakhstan is rich in natural resources: hydrocarbons, coal, copper, zinc, uranium and silver. The industry represents 30% of the GDP in 2009. It showed a significant production drop in November-December 2008 as well as in January-May 2009. June 2009 showed a rise of 7% compared to June 2008. The mining industry's volume progressed by 1.8% during the first quarter of 2009. The production of hydrocarbons progressed by almost 10% in the first five months of 2009, compared to the same period in 2008. Construction developed considerably until August 2007. At the beginning of 2009, production in this sector was less than production at the beginning of 2008. Manufacturing activities are limited to textiles, chemical products, fertilizers and pharmaceutical products.
The tertiary sector is growing and contributes more than half of the GDP.
International trade
Kazakhstan is open to international trade. Main export goods are oil, petroleum products, coal, iron and steel, chemical products, machinery, cereal, wool and meat. Its main export partners are firstly China, followed by Russia and Germany.
The country mainly imports machinery, electric and electronic equipment and food products. Russia is an important partner of Kazakhstan, both politically and economically. The two countries have undertaken common projects in many fields including energy. Kazakhstan's main import partners are Russia, China, Germany and France (significant contracts were signed in 2009 with France: Thales, EADS, Spie Capag, Areva, Alstom, Total, and BNP Paribas) for the contruction of an oil pipeline, the management of a hydrocarbon deposit and particularly cooperation in the space sector).
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