Synopsis
PM Narendra Modi was in Kazakhstan in July 2015 (bilateral visit) and June 2017 (SCO summit). Modi participated in the 17th SCO Summit in Astana on June 8-9, 2017 and India was admitted as a full member of the SCO during the Summit. It is important to note that Kazakhstan along with Russia played important roles in getting India admitted to the SCO.
A general view shows the the city of Nur-Sultan, Kazakhstan July 1, 2021
Kazakhstan, Central Asia’s biggest and resourceful state, celebrates 30 years of its independence in 2021 with a determination to play a wider global role and widen its strategic partnership with India, which was among the first few states to recognize it in 1991.
Kazakhstan is a descendant of the nomadic civilisation of the Great Steppe, represented by numerous nomadic state entities, including the Sakas (Asian Scythians), the Huns, the Turkic Khaganate, the Golden Horde and the Kazakh Khanate, which was established in 1465. After being part of the Tsarist empire and the Soviet Union for 260 years, Kazakhstan became independent on December 16, 1991 with Nursultan Nazarbayev elected as the country’s first President.
Relations between India and Kazakhstan are ancient and historical going back to more than 2000 years. There has been a constant and regular flow of trade in goods and, more importantly, exchange of ideas and cultural influences. The flow of Buddhism from India to Central Asia and Sufi ideas from Central Asia to India are two such examples. The first President Nursultan Nazarbayev visited India in February 1992. Thereafter, he has visited India in 1993, 1996, 2002 and 2009. He was the Chief Guest at the Republic Day parade in New Delhi on January 26, 2009.
PM Narendra Modi was in Kazakhstan in July 2015 (bilateral visit) and June 2017 (SCO summit). Modi participated in the 17th SCO Summit in Astana on June 8-9, 2017 and India was admitted as a full member of the SCO during the Summit. It is important to note that Kazakhstan along with Russia played important roles in getting India admitted to the SCO.
At the dawn of independence, Kazakhstan embarked on a series of reforms aimed at shifting the country’s economy from a centrally planned system to a modern free market model and changing its one-party government to a multi-party democratic system.
Over the past 30 years, Kazakhstan has established diplomatic relations with 186 countries and transformed into one of the dynamically developing economies of Eurasia and a reputable diplomatic voice on the world stage.
Kazakhstan has a GDP of above $180 billion (World Bank). It is the largest economy in Central Asia, accounting for more than half of the region’s GDP.
Unemployment is low (4.9% in 2020 - gov.kz) Kazakhstan joined the World Trade Organisation in 2015.
The economy provides great opportunities for local entrepreneurs – the government is planning to increase the number of people employed in SMEs to 4 million compared to 3.3 million in 2020, thus increasing the GDP share of SMEs to 35% by 2025 compared to 31% in 2020 (primeminister.kz).
Kazakhstan is also widely considered to have the best investment climate in the region, ranking 25th in the World Bank’s Doing Business Report (2019). The country has attracted over $330 billion in foreign direct investment since independence. Kazakhstan accounts for approximately 70% of FDI into Central Asia. Around 50% of FDI in Kazakhstan has been attracted from the EU, including $96.6 billion from the Netherlands, $16.7 billion from France, $8.7 billion from Belgium, $6.8 billion from Italy and $5 billion from Germany (2020).
Kazakhstan has been introducing comprehensive reforms in recent years to strengthen protection for investors, cut red tape, make tax more transparent and support entrepreneurship taking a cue from India. The Astana International Financial Centre (AIFC) was established in 2018, a project aimed at making Nur-Sultan a financial hub in the region.
Kazakhstan has implemented a multi-vector foreign policy to establish good relations worldwide and is a world leader in the movement to ensure nuclear security. The country previously hosted two rounds of nuclear talks between the P5+1 and Iran. Kazakhstan convened the Conference on Interaction and Confidence Building Measures in Asia (CICA), which now consists of 27 member states. It is also a founding member of the Eurasian Economic Union which was established in 2014. It may also be recalled that Kazakhstan became the first Central Asian country to be elected as a non-permanent member of the United Nations Security Council for 2017-2018.
Kazakhstan has made a significant contribution to the settlement of the Syrian crisis through the Astana Process, which provided a platform for negotiations between the Syrian government, the armed opposition and the guarantor states (Russia, Turkey and Iran). Contribution to rebuilding of Afghanistan is a major priority for Kazakhstan.
On 10 January 2021, parliamentary elections took place to elect members of the Mazhilis and local representative bodies. The elections were the first since the implementation of new national guidelines designed to further increase the openness, fairness and transparency of Kazakhstan’s electoral system. 3 out of 5 political parties gained enough votes to win seats at the lower house of Parliament following the election.
Kazakhstan is ethnically and religiously diverse. There are approximately 140 different ethnic groups and almost 4,000 religious organisations operating freely across the country representing 18 religious denominations. The largest ethnic group is Kazakhs (68.5%). Other ethnicities include: Russians (18.9%), Uzbeks (3.3%), Uighurs (1.5%), Ukrainians (1.4%), Germans (1.0%), Koreans (0.6%). The majority of the population are Muslims (around 70%). A further 26% are Christians (The Ministry of Information and Public Development, 2020). Every three years, the capital Nur-Sultan hosts the Congress of Leaders of World & Traditional Religions to provide a forum for religious leaders to discuss the core issues facing the humanity and communities worldwide. Kazakhstan ranks 51st in the UN Human Development Index 2020 (compared to 76th in 1999) - the highest among CIS countries.
Meanwhile, Day of the Capital (July 6) is one of the public holidays in Kazakhstan. This holiday has been celebrated officially since 2009. The first capital of Kazakhstan was Almaty, which is today the largest city in Kazakhstan. On July 6, 1994, the Supreme Council decided to move the capital to Akmoly and later changed it to Astana. Day of the Capital has been celebrated from the day when the city gained its status. Besides, July 6 is also the birthday of Nazarbayev. In 2019, after Nazarbayev’s resignation as President of Kazakhstan, the country’s capital was renamed once more to honor the former President. The city’s current name is Nur-Sultan.
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