Region • 14 February, 2020

Turkestan: Economy, employment, tourism development in 2019

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Turkistan region was created on June 19, 2018 as a result of renaming of the South Kazakhstan region. The center of the Turkistan region was the city of Turkistan, which, according to the First President of Kazakhstan – Elbasy Nursultan Nazarbayev, for centuries has been the heart of the political and spiritual life of the Kazakh Khanate and the entire Turkic world. How is the region developing today and what are the main results of socio-economic growth for 2019? The Government prepared a review on this topic.

Turkistan region is located in the south of Kazakhstan. The territory of the region is 116.1 thousand km². The region includes three cities of regional significance, 13 districts, 836 settlements, 177 towns and aul (rural) districts. The region’s population was a little more than 2 million as of Dec. 1, 2019.

The main pride and pearl of the region is Turkistan — the spiritual capital of the Turkic world, with a rich history, dynamic and interesting future. The city is located in the heart of the Great Silk Road.

Today, life in the region is in full swing: extensive construction is underway, infrastructure is developing rapidly, and trade is developing. It is not without reason that the region is called a region of great opportunities. Indeed, the potential for economic development of the region is very large.

Work in the region is focused on four major areas: the development of small and medium-sized enterprises, attracting investment, increasing exports and the large-scale implementation of the tourism potential of the region.

 

SMEs are the main driver for development of regional economy

Small, especially micro-business, plays an important role in the socio-economic and political life of not only the Turkistan region, but the whole country. Specific goals and objectives for the development of small and medium-sized enterprises were set by the President Kassym-Jomart Tokayev, in his Address to the People “Constructive Public Dialogue – the Basis of Kazakhstan's Stability and Prosperity.” As noted in the akimat of the Turkistan region, work is currently underway in the region to create the necessary conditions for the development of small and medium-sized businesses, remove administrative barriers, and simplify business processes. As a result of the measures taken, the region is among the leaders in the number of SMEs — 141.9 thousand entrepreneurs are working in the region (as of Jan. 1, 2020). Over the year, they increased by 8.5%.

The output of goods (goods and services) by small and medium-sized enterprises in January-September 2019 amounted to 449.3 billion tenge, or 132.8% of the corresponding period in 2018.

It is worth noting that the development of entrepreneurship solves an important social problem — new jobs have been created in the region. The number of employees in small medium-sized enterprises as of Oct. 1, 2019 amounted to 214.8 thousand people, which is 7.2% higher than the level of the corresponding date in 2018.

To develop entrepreneurship in the Turkistan region, state programs Business Roadmap 2020, Enbek, agricultural development, support for young specialists “Zhas Kasipker” and preferential financing of large families “Kasipker Ana” are being implemented. Also in 2019, the launch of a new program of preferential lending “the Economy of Simple Things” was launched.

 

Measures to increase the investment attractiveness of the region

Turkistan region is attractive for foreign investors. The main advantages of the region are its favorable geographical location and logistics, the presence of the Western Europe – Western China highway, rich natural resources, human capital and low labor costs, high potential for the development of agriculture and tourism.

On the territory of the Turkistan region there are sites with a ready-made infrastructure and the possibility of providing investment preferences. This is a special economic zone Turkistan and industrial zones in the districts. Work is underway to create a new “Architecture for working with investments” in order to consolidate the activities of all interested participants in this process. Thus, the special investment company TURKISTAN INVEST is already operating in the region, which provides a full range of services to investors on a “one-stop-shop” basis with support at all stages of the project’s life cycle 24/7. Work is also underway to create a single information portal containing information on the potential of the region and an interactive investment map with the display of free land and the availability of the necessary infrastructure. In addition, the oblast akimat is working on the issue of creating an Invest House, on the site of which all organizations will be located, designed to facilitate the entry of investors.

As a result of the work done in 2019, the total volume of investments in fixed assets, including revaluation, amounted to 441.2 billion tenge, which is 38.5% more than in the same period last year.

State budget funds amounted to 198.5 billion tenge, the share — 45%, equity — 199.2 billion tenge, the share — 45.1%. The share of borrowed funds amounted to 9.9%, or 43.5 billion tenge.

The priority investment sectors are industry, real estate operations, as well as agriculture, forestry and fisheries, whose share in the total investment amounted to 34%, 16.6% and 12.6%, respectively.

 

Developing Tourism Potential

Turkistan, being the golden cradle of historical tourism, is very popular among tourists, both domestic and foreign. Tourism of the region has tremendous potential. Turkistan, since ancient times considered the spiritual capital, can receive more than a million tourists a year.

In Turkistan, there are entertainment centers, modern hotels, cultural and historical centers, a drama theater, restaurants, celebration houses, a water park, sports facilities, bazaars and supermarkets, which are necessary for citizens and city guests. The city can provide quality services to tourists.

Located in the area and included in the cultural heritage of UNESCO, the mausoleum of Khoja Ahmed Yassavi ancient Otrar and Sauran located in Otrar district Arystan Baba mausoleum, mausoleums Baidibek Ata Domalak Ana Cave Akmechet in Baidibek district, the unique nature of Tulkubas district reserves Aksu-Zhabagyly , Karatau, Sairam-Ogem State National Natural Park fascinate travelers with its beauty.

Defining Turkistan as a regional center is a new page in the country’s history.

In accordance with the draft State Program for the Development of the Tourism Industry in the Republic of Kazakhstan until 2023, the region is included in the “Cluster of the Great Silk Road Revival.” The city of Turkistan is defined as the main object of the cluster. Every year the flow of tourists visiting the region is increasing.

 

Industrial production volumes grow in Turkistan region

At the end of 2019, the volume of industrial production in the Turkestan region amounted to 500 billion tenge. Of these, 245 billion tenge are related to manufacturing. Manufacturing indicators have increased in areas such as food production, light and chemical industries, mechanical engineering, pharmaceutical manufacturing and other non-metallic mineral products.

As noted in the regional akimat, in order to increase the growth rate of industrial production in 2019, fruitful work was done to support entrepreneurship. In particular, 22 billion tenge was allocated within the framework of the State program of industrial and innovative development. In total, more than 800 jobs were created. By 2020, it is planned to implement another 11 projects.

The government has been instructed to increase the share of local content in public sector procurement. In this regard, the target indicators for the share of local content in the procurement of goods in the field of “Saving Simple Substances” by state organizations were significantly increased last year. In particular, consumer goods were 60% completed, furniture 62%, construction materials 67%, and food 85%. In the latter direction, the indicators of the Turkestan region are in the first place in the republic.

The volume of electricity, gas, steam and air conditioning amounted to 27 billion tenge, the physical volume index was 108.7%, in the industry “water supply, sewer system, control over the collection and distribution of waste” the volume of work amounted to 6.9 billion tenge, or 132 ,9%.

Of the most important types of products, the production of petroleum products increased by 9.4% (250.7 thousand tons), cotton fiber by 4.4% (72.2 thousand tons), and electricity by 30.2% (512.6 million kW / h).

 

Turkistan region is the leader in the number of existing agricultural producers

The gross agricultural output amounted to 629.8 billion tenge, which is 4.7% more than the corresponding period last year. Including crop production — 355.3 billion tenge, livestock — 271.4 billion tenge.

In all categories of farms in the region, 230.1 thousand tons of meat were sold (in live weight), 722 thousand tons of milk, 188.4 million eggs were produced.

As of Jan. 1, 2020, in all categories of farms the number of cattle amounted to 1,052.9 thousand heads, sheep and goats — 4,290.6 thousand heads, horses — 346.4 thousand heads, camels — 30,3 thousand.

By January 2020, 17.4 thousand legal entities, branches and representative offices were registered in Kazakhstan as producers of agricultural products. Moreover, the largest number of operating legal entities, branches and representative offices works in the Turkistan region. The region also accounts for the maximum concentration of existing farms and farms.

 

How is the city of Turkistan developing?

Active construction is underway in Turkistan today. In 2019 alone, nine objects were built — the building of the regional akimat, the Visit center, the Wedding Palace, the Public Service Center, the Amphitheater, the Music Fountain, the Music School, the Olympic Reserve School, and the Oriental Bath.

To date, the construction of 15 cultural and social facilities is underway in the administrative-business and spiritual-cultural centers of the city of Turkestan, the completion of which is planned before the end of this year.

In the administrative and business center — eight objects — a sports palace with a swimming pool, a 7,000-seat stadium, a schoolchildren’s palace, a department house, a management house, a Congress hall, a digital office, an amusement park.

In the spiritual and cultural center — seven objects — Khoja Ahmed Yassawi Museum, Uly Dala center, reconstruction of the center of artisans, a universal scientific library, drama theater, the Park of the First President, Arbat.

Through private investment, construction is underway (completion in 2020) of the Rixos, Hampton by hilton, Nur-Alem hotel complexes, a fitness center, and a mosque for five thousand people.

The construction of Keruen Sarayy in the spiritual and cultural center has begun. It is planned to complete the improvement in the buffer zone of the Yassawi Mausoleum. The construction of a linear park along Bekzat Sattarkhanov Avenue, which covers an area of ​​over 20 hectares, and the continuation of the boulevard in the administrative and business center will also be completed.

 

About 6 thousand apartments commissioned in Turkistan

The volume of construction work amounted to 182.1 billion tenge, which is 129.1% more than the corresponding period in 2019.

69.4 billion tenge of investments were allocated for the development of housing construction, which is 99.8% more than the corresponding period last year.

In 2019, at the expense of all sources of financing in the Turkistan region, 620.4 thousand m² or 5,879 apartments were commissioned, which is 160% more than for the same period last year. Including: individual residential building — 2,737 apartments, multi-storey residential building — 3,142 apartments.

As of Jan. 1, 2020, the waiting lists in need of housing in the Turkistan region include 37,084 people.

In 2019, 64 houses were built at the expense of the state budget with a total area of ​​231 thousand m² or 3,413 apartments. At the end of the year, 46 residential buildings were commissioned. 2,432 families queuing in local government are provided with housing.

As part of the Nurly Zher program, last year in the Turkistan region it was planned to commission 550.6 thousand m² of housing. At the end of the year, 620.4 thousand m² of housing or 5,846 apartments were commissioned.

Of the 5,846 apartments, 176 are for official housing, 2,432 are for rent, 2,737 are for individual residential buildings, and 501 are private developers. As a result, the plan outlined for the beginning of the year is completed by more than 129%.

In addition, this year, due to the state budget for the creation of rental housing without the right to buy, in Turkistan region it is expected to put into operation 64 residential buildings, and by the end of the year — 44.

At the same time, since last year, construction of 24 bonded 7-story residential buildings for 48, 72 and 84 apartments has been ongoing in the region at the expense of the state budget for a total amount of 5.6 billion tenge.

Also, through the Turkistan, construction of 47 residential buildings is underway. Through individual developers, the construction of 65 residential buildings for 3,286 apartments continues.

 

In Turkistan region, the unemployment rate decreases annually

The number of economically active population of the region in the third quarter of 2019 amounted to 796.9 thousand people, the number of unemployed — 40.4 thousand people, the overall unemployment rate — 5.1%.

In the Turkistan region, the unemployment rate decreases annually by 0.1% (in 2018, 5.2%, according to the results of the third quarter of 2019 — 5.1%). In order to reduce unemployment in the framework of the Enbek state program in 2019, employment measures covered 95,980 people, created about 25 thousand new jobs in various sectors of the economy.

As part of the first area of ​​the program, “Providing Program Participants with Technical and Vocational Education and Short-Term Vocational Training,” it is planned to send 9,143 people. Among the youth of graduates of schools of grades 9–11, citizens without vocational education and those who have not entered educational institutions, 3,401 people will be enrolled in technical and vocational training (the term of study is 2.5 years), 3,401 people are actually sent (100%). It is planned to send 5,742 people to short-term training courses, in fact 5,746 people (100%) are sent.

In the second direction “Development of Mass Entrepreneurship” it is planned to cover 11,412 people, of whom:

  • 1,320 people were trained in the basics of entrepreneurship under the Business Bastau project, 2,065 people were actually referenced, 1,114 people completed and received a certificate.
  • 2,000 people microloans, 1,859 people received microloans;
  • 7,892 people are planning to issue grants; in fact, 7,903 grants have been issued;
  • 200 people issuing microloans at the expense of financial organizations, 1,160 people received microloans.

In the third area, “Development of the labor market through the promotion of employment and increasing labor mobility,” it is planned to cover 59,048 people with employment measures.

As of Jan. 1, 2020, measures were taken to employ 73,846 people, of whom:

  • 54,463 people were employed in permanent places;
  • 2,573 people for new jobs being created.
  • 4,431 people found social jobs;
  • 6,783 people participate in youth practice;
  • 5,596 people found public works.

As a result of the work carried out according to the results of the III quarter of 2019:

  • the unemployment rate was 5.1%;
  • youth unemployment rate of 4.2%;
  • female unemployment rate of 7%.

As of January 1, 2020, 29,248 jobs were created, of which:

  • 1,094 jobs under the Nurly Zher program;
  • 294 jobs under the Nurly Zhol program;
  • 1,210 jobs under the industrial and innovative development program;
  • 290 jobs under the Business Roadmap 2020 program;
  • 4,630 jobs under the Territory Development program;
  • 2,418 jobs under the program "Development of regions until 2020";
  • 1,476 jobs under the program "Development of education and science until 2019";
  • 14,908 jobs created in the framework of state, industry programs.

Of the number of jobs created through employment centers, 2,573 people were employed.

Medical organizations of the Turkistan region are at the appropriate level ready to work in the CSHI system

In 2019, 6.1 billion tenge is provided for the construction of 9 health facilities from the budget, of which 5 billion tenge from the republican budget and 1.1 billion tenge from the regional budget.

7.6 billion tenge were provided for strengthening the material and technical base.

The network of state healthcare institutions includes 788 objects, including: hospitals — 31, outpatient facilities, medical posts, feldsher-outpatient facilities, other organizations — 757.

On Jan.1, 2020, a new system of guaranteed free medical care and a new package of compulsory social health insurance came into force. Contributions may vary, but each insured will receive the amount of medical care in which he is interested. It is assumed that the coverage of the population with medical services within the framework of the compulsory social health insurance will exceed 95% throughout the country (the threshold level proposed for the introduction of CSHI will be at least 80%). In the Turkistan region, this coverage is 91.6% of the population. There are 114 registered health facilities in the region. In 2019, the FSMS branch of the Turkistan region concluded contracts with 75 suppliers, including 40 state (51.3%) and private 35 (48.7%) organizations. To date, self-service terminals with the function of accepting citizens' contributions to cshi have been installed in the hospitals of Baidibek, Tulkubassky, Saryagash, Lenger, Abay, Arys, Kentau, Ordabasinsky, Suzak, Asykat, Myrzakent, Kazygurt, Shardarinsky, Atakent and Tolstay, Atakentsky and Takybetskiy, Atakentsky and Taysky, Ataysent and Polyclinics Turkestan, Kentau, Lenger. Medical organizations of the city and district level are 100% provided with access to the Internet, there is a complete provision with digitalization. Currently, 3 medical information systems are functioning in the region (DAMUMED, KAZMEDINFORM, assistance).

In the region, much attention is paid to attracting socially unprotected categories of citizens to permanent work. In addition, according to the decree of the Head of State, the salary of 5,300 doctors in the region increased by 30%, and the salary of more than 18 thousand mid-level specialists — by 20%.

In 2019, construction was completed and 8 health facilities were commissioned (the customer is the regional construction department): Zhetysay city polyclinic for 500 visits per shift in Zhetysai district, a regional clinic for 250 visits per shift in the village of Atakent, Maktaaral district, a regional clinic for 250 visits per shift Myrzakent village of the Maktaaral district, a city clinic for 500 visits per shift in Kentau, a district clinic for 500 visits per shift in a. Aksukent, Sairam district, construction of a 150-bed extension building to the building of the regional perinatal center No. 3 in Turkestan, construction of the Kyzylzhar medical dispensary in the rural Kyzylzhar district of the Saryagash district, construction of a rural clinic in the village of Karatobe in the rural district of Derbisek, Saryagash district.

2,587 specialists underwent further training under the program "Continuing Education and Retraining of Personnel," of which 149 specialists completed internships in foreign clinics (Novosibirsk, Moscow, Turkey).

 

Emphasis in education is on inclusiveness

Coverage of children with preschool education from 1 year to 6 years is 96.4%, from 3 to 6 years — 100%.

There are 899 comprehensive schools in the region with a contingent of 481.3 thousand students. Of these, 899 schools are telephoned and connected to the internet. 899 schools have 2,675 interactive whiteboards. There are 42.8 thousand units of computer equipment in schools, or an average of 10.5 students per computer.

In 2020, 11.5 billion tenge was allocated from the state budget for the construction of 47 educational facilities for 13870 student places, and by the end of the year it is planned to put into operation 12 educational facilities for 4570 student places.

Due to this construction, the problem of two emergency schools and one three-shift school will be solved.

The issues of the remaining 5 emergency schools and 4 schools with three-shift training will be fully resolved during 2021-2023.

The plans of Turkistan educators are to establish an inclusive education system. In November 2019, a resource center for inclusive education was opened in Turkistan. The new center has all the conditions for special children and their families. Here they can receive qualified help from specialists such as a defectologist, psychologist, speech therapist, physiotherapist, massage therapist, and a pedagogue. Services are provided to children and their families free of charge and at the place of residence. More than 300 children with special educational needs will be able to receive highly qualified help from a team of specialized specialists.

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