Kazakhstan of the twenty-first century is a country created from the "scratch" in just two decades by talented, hardworking and tolerant people! This is our baby, we are proud of it! We wholeheartedly love our great work!
We adopted the Strategy 2050 for Kazakhstani people to keep in their hands the helm of the country's future. Today, the long-term plans are being used by many successful countries - China, Malaysia, and Turkey. The strategic planning in the twenty-first century is the rule number one. Indeed, no wind will be favorable, if the country does not know the route and the arrival harbor. Strategy 2050 as a beacon allows us to solve the problems of people, without losing sight of our main goal. This means that we will annually, rather than 30-50 years, improve people's lives.
Strategy is a program of specific practical cases that day after day, year after year will improve country and life in Kazakhstan. However, everyone should understand and know that in market conditions we do not have time to wait for the manna from heaven, we should work effectively. The state's task is to create all the necessary conditions for this. I am convinced that the future of our country is among the most advanced countries of the world, this will help to unite all people of Kazakhstan.
Today I want to introduce our plan with the help of which we will enter the list of 30 developed countries. On my instructions, the Government has drafted a detailed concept. I generally endorsed this document, which was revised in order to fit my instructions and soon will finally be signed. According to many forecasts, the next 15-17 years will be a "window of opportunity» for a large-scale breakthrough of Kazakhstan. During this period, it is important for us to use the favorable external environment, growth in the demand for resources, energy and food, the anticipation of the Third Industrial Revolution. We should use this time.
The goal of 2050 will be achieved in a difficult global competition. The next few decades will pose many challenges, which we already know, and many unexpected situations, new crises in global markets and in world politics. There will be no “easy walk” in the twenty-first century. The midcentury is near. Developed countries will apply their specific strategies. The second third of the twenty-first century will be uniquely difficult, and the number of applicants to the global list of the Top 30 is very limited. I have repeatedly said that the concept of "developed country" is a changeable category. In developed countries, there are radically new quality of life of the people.
Today, the fundamental development indicators are presented by the state members of the Organization for Economic Cooperation and Development (OECD). It includes 34 countries that produce more than 60 percent of global GD. There are still six candidates for accession to the OECD list of countries - Brazil, China, India, Indonesia, Russia and South Africa. All participating countries have gone through deep modernization, have the high rates of investments, scientific researches, productivity, business development, standards of living. Indicators of OECD countries with regard to their future long-term dynamics, this is the basic guidelines of our way among the 30 developed nations of the world.
I set the task to implement the number of principles in Kazakhstan and the OECD standards. They are reflected in the draft of the Concept. The economy is planned to achieve an annual GDP growth of at least 4 percent. It is necessary to provide increased investment from the current 18 percent to 30 percent of the total GDP. Introduction of knowledge-based economy model aims to increase share of non-oil products in Kazakhstan's export potential on 70 per cent.
Creation of new high-tech sectors of the economy will require increased funding of science to the level of not less than 3 percent of GDP. It is important to reduce the energy intensity of gross domestic product by two times. By 2050, the small and medium businesses will produce at least 50 percent of Kazakhstan's GDP, instead of the current 20 percent. The labor productivity should be increased by five times, from the current 24.5 thousand to 126 thousand dollars.
The main guidelines for the development of the social sphere for 2050 are enclosed on the concrete indicative figures. We need to increase the rate of GDP per capita in 4.5 times - from 13,000 dollars to 60,000 dollars. Kazakhstan will become a country with a predominant share of the middle class. Following the global trend of urbanization, the proportion of the urban population will grow from 55 to about 70 percent of the population. The quality roads and high-speed routes for all modes of transport will link cities and towns.
The adoption of a healthy lifestyle and the development of medicine will increase the duration of life in Kazakhstan to 80 years and above. Kazakhstan will become one of the leading Eurasian centers of medical tourism. The formation of advanced national education system will be completed. Kazakhstan should become one of the most safe and comfortable counties for people around the world. Peace and stability, fair and effective justice rule of law this is the foundation of a developed country.
The Concept of emtering into the 30 most developed countries is designated the long-term priorities for future work. We have to solve several problems in the following areas.
First. It is important to adjust and strengthen the innovative trend of industrialization. I gave instructions to the Government on the drafting of the Second Five-Year Plan for Accelerated Industrial and Innovative Development for 2016-2019 years. We need to limit the number of priorities of industrialization.
It is crucial for us to increase the effectiveness of traditional mining sectors. They are our natural competitive advantage. We need new approaches to management, production and processing of hydrocarbons, keeping the export potential of the energy sector. It is necessary to decide on the possible scenarios for oil and gas. It is important to increase the development of rare earth metals, given their importance for knowledge-intensive industries - electronics, laser technology, communications and medical equipment.
Kazakhstan should enter the world market in the field of exploration. In this industry, we should attract the investments from the foreign engineering companies by simplifying our legislation system. In general, we should have separate plans for the development of the traditional industries. The concrete result of each five-year period should be the creation of new industry. In the first five-year plan, we created an automobile and aircraft manufacturing, as well as the production of locomotives, passenger and freight cars. They need to be expanded in order to be available on the external markets.
Therefore, remaining time until 2050, will be divided into seven five-year periods, each of which solves the problem to achieve a common goal, to become one of the 30 developed countries.
In the field of the second and subsequent five-year plans, we should establish the mobile and multimedia industries, nano and space technologies, robotics, and genetic engineering, we should locate and open the energy of the future. A key part for the state is to create the most favorable conditions for the development of Kazakhstan's business, mainly small and medium. In the next 10-15 years, it is necessary to create a knowledge-intensive economic base, without which we can not stand on a par with the developed countries. This is decided on the basis of advanced science.
Second. It is important to translate the Agriculture onto the innovative rails. This is our traditional industry. The global demand for food will increase. In this sector, we will invest more. Therefore, the current farmers must take care of the growth of production, and they should not be happy with short achievements related to weather conditions. Competing in the global agroindustry production will increase. On earth should work primarily those people, who introduced the new technologies and improved the performance, who works on the basis of the best international standards.
First, it is important to establish an effective land market, including the transparent pricing mechanisms. It will be possible to lease farmland only when the investments will be attracted and the introduction of advanced technologies will increase the competition. We should remove all barriers for business development in the areas of agriculture, farming cooperative process and the efficient land use.
Our future stands behind the creation of a network of new processing enterprises in the agricultural sector, mainly in the form of small and medium-sized businesses. Here we need to support business loans. Farmers should have the direct access to long-term financing and markets without intermediaries. Another relevant issue is the creation of an effective system of guarantees and insurance of loans to rural producers. Kazakhstan should become a major regional exporter of meat, dairy and other products of agriculture. In crop, we should go towards the reducing of the volume of the unprofitable water-intensive crops cultivation and replacing them with vegetable, pancake feed and products. We need to create a set of measures for the efficient use of agrochemicals and increase their usability in arid regions of modern technology zero tillage and other innovations.
According to the adopted Concept for the transition to a "green" economy by 2030, almost 15 percent of acreage will be converted to the water-saving technologies. We need to develop agricultural science, to create experimental agro-innovational clusters. It is important to keep up with the time, and along with the production of natural food, lead the development of drought-tolerant genetically modified crops. Given the designated tasks, instruct the Government to adjust the planning of the development of agriculture.
Third. The creation of the knowledge-based economy is, above all, the increasing of the capacity of Kazakhstan science. In this area we should improve the legislation on venture financing, intellectual property protection, support research and innovation, as well as the commercialization of research. I instruct the Government, before September 1 of the current year, to develop and submit to the Parliament a package of relevant bills. We need a concrete plan for the phased increase in funding for specific development of science and discovery, working on the country and bring it to the indicators of developed countries.
Attracting of foreign investments should be performed in order to transfer the knowledge and new technologies into our country. We must set up, with the help of foreign companies, the design and engineering centers. We should encourage the leading multinational companies, that operate in the largest oil and gas and mining and metallurgical facilities, to create the branches here, in this country, for their own needs and services. I know that some big companies are willing to do it. Government should work on this issue and, if necessary create all conditions. We do not need to import equipment from abroad when it can be produced in our country.
It is important to improve the efficiency of the national innovation system, its basic institutions. Their activities should be aimed at supporting start-ups and early stages of venture deals. It is necessary to intensify the technological parks, especially in large urban areas, especially in Almaty and Astana. First intellectual innovation cluster is successfully operating in Astana on the basis of the Nazarbayev University. In Almaty, it is the Information Technology Park "Alatau". It is also important to consider the measures for stimulation the process of placing additional production of large local companies.
Fourth. It is necessary to ensure the dynamic development of the infrastructure of the triad, the agglomerations, transport and energy. Agglomeration is the frame of the knowledge-based economy of Kazakhstan. Their creation and development is an important issue regarding the vast territory of the country and the low population density. The largest cities of Kazakhstan, Astana and Almaty, hereinafter, Shymkent and Aktobe will become the first modern urban centers. They should also become the centers of science and attraction of investment and population, to provide quality education and health, as well as the social and cultural services.
Transport infrastructure is the circulatory system of our industrial economy and society. I have said many times that the quality of a developed country could not be achieved without the modern highways. In addition, the communication lines are of a great importance for Kazakhstan in terms of the location of our country, between Europe and Asia, North and South. To create a network of roads in the country, we began to build the motorway "Astana- Almaty - Karaganda", "Astana - Pavlodar - Ust-Kamenogorsk", "Almaty - Kapchagai Ust-Kamenogorsk". We already have the trains with double speed for these same roads.
We also need to develop the sector of logistics services. First, it is about maximizing the use of the Customs Union to transport our goods. Soon, we will complete the construction of the corridor "Western Europe - Western China», moreover, we already built the railway parh to Turkmenistan and Iran, with access to the Persian Gulf. In the future, Kazakhstan willing to invest in the establishment of logistics centers in countries with access to the sea. We need to reduce the time of entry of goods, improve the capacity of border crossings, strengthen the capacity of the port in Aktau, simplify the procedures for export and import operations.
We are building a new railway with the length of about 1200 kilometer "Zhezkazgan Shalkar-Beyneu." It will directly connect the East and West of the country, enlivening many areas of the center. This grand building will be completed in 2015. This railway will allow our people to travel to Europe through the Caspian Sea and the Caucasus. In addition, in the east to the port of Lianyungang on the Pacific Ocean, as there is an agreement with the PRC.
We will develop the energy in its traditional forms. It is necessary to support researches on the cleaning of the TPP emissions, on the widespread energy savings based on the latest technologies in the workplace and at home. Recently, the top ten largest companies in the European Union publicly opposed the EU energy strategy adopted by well-known concept of a green economy. During the four years of its implementation of the EU lost about 51 gigawatts of generating capacity. Therefore, we need to give attention to these errors while working on the program of the green economy.
The preparation for the World Expo 2017 in Astana, should be used for the establishing of a center on the study and implementation of the best international practices in search, future energy and the green economy. A team of specialists under the auspices of the Nazarbayev University is expected to start this work. We need to create the conditions for the transfer of public transport on clean fuels, electric vehicles and introduce them to create the appropriate infrastructure. The country needs a high-volume production of the gasoline, diesel, and aviation kerosene. We must build a new refinery.
At the same time, we must not forget about the prospects of nuclear energy. In the near future, the need for cheap nuclear power will only grow. Kazakhstan is the world leader in uranium mining. We have to develop our own production of fuel for nuclear power plants and build nuclear power station
Fifth. The development of small and medium-sized businesses is the main tool of the industrial and social modernization of Kazakhstan in the 21th century. This is my position, as you know, is unambiguous, and I expressed it many times. The greater the share of small and medium-sized businesses in our economy, the more stable will be the development of Kazakhstan. We have more than 800,000 of small and medium-sized businesses; they employ almost 2.4 million of Kazakhs. The volume of production in this sector has grown over the four years for 1.6 times and now it is more than 8.3 billion tenge.
According to the global rating, Kazakhstan is among the group of countries with the most favorable conditions for doing business, and we must build this trend. Small and medium business are the main economic basis of our society of universal labor. For its development, we need the comprehensive solutions for the legislation and strengthen the private property. It will be necessary to cancel all the inert laws that preventing the development of business. Small business should become a family tradition, passed on from generation to generation.
It is important to take measures to promote the specialization of small businesses, with a view to its transition into the medium category. We should adopt a clear mechanism for the participants of the bankruptcy sector. Small and medium business needs to grow around new innovative enterprises. I instructed the Government to combine the second five-year plan of industrialization with the roadmap "Business 2020". Government, in conjunction with the National Chamber of entrepreneurs will need to create the effective mechanisms of guidance for the novice businesspersons.
Sixth. Our path to the future is linked to the creation of new opportunities for realizing the potential of Kazakhstan. The developed country in the twenty-first century is active, educated and healthy citizens. What we need to do for this?
First, all developed countries have a unique quality educational system. We have to do a lot of work in order to improve the quality of all parts of national education. By 2020, we planned to provide the 100 per cent coverage of the Kazakh children from three to 6 years of preschool education. Therefore, it is important to give them a modern training programs and methods, as well as qualified personnel. In secondary education, it is necessary to pull the secondary schools to the level of teaching in Nazarbayev Intellectual Schools. School graduates should know Kazakh, Russian and English languages. In the end, the students should master their critical thinking skills, independent research and in-depth analysis of information.
Over the next three years, until 2017, it is necessary to eliminate the problem of lack of training places and convert all schools in the country to the two-shift training where necessary. Government and governors should provide the budgetary allocations for this task. In the next 2-3 years, it is necessary to form the nucleus of a national system of dual technical and vocational education. In the future, it is necessary to plan such transition in order to guarantee the young people with the receiving of state technical education. I instruct the Government to make the concrete proposals on this issue until June 1, 2014.
We also need to start the transition of the leading universities to the academic and administrative autonomy. Consider it necessary to establish an effective system to support students with high achievements. I instruct the Government to provide the boost of the amount of scholarships by 25 percent, until January 1, 2016.
Second. A top priority the in health care is the development of primary health care. We should consider the introduction of compulsory health insurance. Joint and several liability of the state, the employer and the employee for his health is the main principle of the entire health care system. Sports, proper diet, regular check-ups, this is the foundation of the disease prevention.
Third. We must give the new impetus to the development of Kazakhstan culture. We should develop a long-term concept of cultural policy. It is necessary to identify the measures aimed at creating a competitive cultural mentality of Kazakhs, the development of modern cultural clusters.
Fourth. We should revise the social packages of educators, health and social security. I instruct the Government to develop and implement until July 1, 2015, a new model of wages for civil servants. It should provide an increase in the salaries of health care - up to 28 percent, education - up to 29 per cent, social protection - up to 40 percent.
Fifth. We must pay attention to our citizens with disabilities. For them, Kazakhstan should become a barrier-free zone. We need to take care of these people. Every single country of the world does it. People with disabilities can work on consumer services, food industry, and agriculture. I once again appeal to all our business to assist them in finding employment. You can also consider the possibility of introducing a special quota for 5-10 people.
We engage them in an active life; they will not only receive the benefits, but they will be aware of themselves as members of society and helpful employees. All our social institutions, non-governmental organizations, "Nur Otan" should take the job. If necessary, the government should work on this issue with all the companies and take appropriate actions. I instruct the Government from July 1, 2015 to increase the amount of social benefits, disability and loss of a breadwinner by 25 percent. We should improve the legal framework for associations of disabled persons.
It is important to strengthen the work with them of all public bodies, from the Government to the local mayor. We must continue to reduce the poverty and to curb unemployment. It is important not to allow the growth of dependent moods. We should introduce a rule for mandatory participation in employment programs and social adaptation for all recipients of state allowances
Seventh. Improving the performance of state institutions. In order to enter the number of 30 developed countries in the world, we need the atmosphere of fair competition, justice, rule of law and high legal culture. We need updated tools of interaction between state and non-governmental sector business.
The equality before the law must become the real basis of law. The judiciary system should be based on the transparent and accessible practice it should resolve any disputes in easy and quickly way. It is necessary to raise the quality of the entire law enforcement system. The people in uniform should have the impeccable behavior and high professionalism.
The most important task is to continue the formation and implementation of the new anti-corruption strategy. Administrative reforms should not be a tedious and unnecessary paperwork and documentation. We need to give more autonomy to local governments, while enhancing their accountability for results, increasing their accountability to the public. I instruct the Government, together with my Administration, to make a set of proposals on all these issues before July 1 of this year.
We need to continue the implementation of the principles of meritocracy in the personnel policies of public enterprises, national companies and public offices. I instruct the Government to provide higher wages to civil servants corps "B" from 1 July 2015 - 15 per cent, and from July 1, 2016 - by another 15 percent.
These are the specific challenges for out state and society on the way to the number 30 developed countries. We will bring them to the letter of the laws and specific solutions.
Dear deputies and members of the Government!
Our movement towards the entering the list of 30 developed nations of the world must be carried out in two stages.
The first phase covers the period until 2030, when we will need to make a modernization breakthrough using a "window of opportunity" in the twenty-first century. At this time, Kazakhstan will have to do what the developed countries have committed during the industrial boom of the last century. This is entirely feasible. Similar path passed South Korea and Singapore. At this stage, we will provide the dynamic growth of our traditional industries and create a strong industrial processing sector.
In the second phase between 2030 and 2050 it will be necessary to ensure the sustainable development of the country on the principles of knowledge-based economy. We will form a strong manufacturing industry. A transition to the production of high value products will be implemented in the traditional industries, moreover the engineering sources will be developed as a basis for the knowledge economy.
Now I want to focus on the exact needs that’s need to be during this year, given that a lot depends on the start. I give specific instructions to the Government and the National Bank for this year
First. The government needs to ensure the economic growth in this year at the point of 6-7 percent. With GDP per capita at the end of this year should be no less than 14,500 dollars.
Second. I instruct the Government and the National Bank to create a package of measures to reduce inflation to 3-4 percent in the medium term until May 1, 2014.
Third. The government should work together with the National Bank until June 1, 2014 in order to develop a comprehensive program of the financial sector development until 2030.
Fourth. The government, in conjunction with the Fund "Samruk-Kazyna", to analyze all state-owned companies, to determine the list of enterprises to be transferred to the private sector. The same work is necessary for the rest of the public sector. In the first quarter of the current year a comprehensive privatization program for 2014-2016 years must be adopted.
Fifth. By the end of this year, the government should develop a draft of the strategy of forming the agglomerations in the cities of Astana and Almaty for the period until 2030.
Sixth. Prior to September 1, 2014, the government should develop a program for the development of transit potential of Kazakhstan for the period up to 2030, regarding the questions of the removal of barriers in international trade.
Seventh. Before the end of the first quarter of this year, the government should decide on the issues of placement, the sources of investment and timing of construction of the fourth refinery and nuclear power.
Dear people of Kazakhstan!
All our actions towards the achievement of the main goal of the Strategy-2050 should follow the clear principles..
First, the principle of pragmatic and evolutionary nature of all decisions. We cannot allow any jumps, reckless experiments and adventures in the economy, politics and social life. Our country and society must also change as quickly as the whole world around us.
Secondly, the principle of mutual openness. We will be fully involved in our economy, foreign investment, technology and innovation. For investors, we will create the favorable conditions for the work. An important mechanism of entering the top 30 developed countries in the world will be the greater integration of our economy into the regional and global economic systems. This is primarily due to our participation in the formation of the Eurasian Economic Union and the accession to the World Trade Organization.
Thirdly, the principle of strengthening of the welfare of people. The social well-being of ordinary people should be a key indicator of our progress towards the main goal.
Fourth, the importance of the principle of popular support. My message to the people is the main explanation of our goals and objectives. Each minister, mayor, head of the company should lead this activity to explain and connect people to the work. Concrete measures to implement the goals and objectives of the Message should be brought to every citizen of Kazakhstan. I am sure this will be one of the main issues of the "Nur Otan". To do this, first of all, the civil servants will need to know themselves and feel the ideas of our Strategy.
The work of Administration of the President and all members of the Government and the local government offices of all levels should be directed to perform all these tasks. In general, the structure of public authorities must comply with the decision of the challenges ahead and to ensure the realization of the objectives of the Strategy - 2050.
In Kazakhstan we are one nation! In addition, common fate for us is our Mәңgіlіk El, our worthy and great Kazakhstan! "Mәңgіlіk El" is a general idea of our national Kazakh home, the dream of our ancestors. The core values that unite all Kazakhs and constitute the foundation of the future of our country were created during the 22 years of sovereign development. They are not taken from the transcendental theories. These values are the experience of Kazakhstani Way, withstood the test of time.
Firstly, it is the independence of Kazakhstan and Astana. Secondly, is a national unity, peace and harmony in our society. Thirdly, it is a secular society and high spirituality. Fourth, the economic growth through the industrialization and innovation. Fifth, the society of universal labor. Sixth, common history, culture and language. Seventh, it is national security and global participation of our country in addressing the global and regional issues. With these values, we will always win, strengthen our country, and multiply our great successes. These national values are the ideological foundation of the New Kazakhstan patriotism.
I instruct the Administration of the President, the Government and the Assembly of People of Kazakhstan to organize, jointly with the National Movement "Kazakhstan - 2050", the development and adoption of the Patriot Act "Mәңgіlіk El". We set great goals for the benefit of our people, and therefore I call on all political parties, public associations and all Kazakhstan citizens to actively participate in the achievement of the main goals of the Strategy -2050! Particularly appeal to our youth. This strategy was made for you. You participate in its implementation and you reap the benefits of its success. Included in the work, each at their workplace. Do not be indifferent. Create fate of the country together with all the people!