Almost 40% of the country's population live in 6256 rural settlements. This is 7.6 million people. The share of rural population with incomes below the subsistence minimum is 7.2%, and the unemployment rate is 4.7%, self-employed - 33% or 1.2 million people. Such data were announced at the Government session by Deputy Prime Minister – Minister of National Economy Nurlan Baybazarov. 

As a result of the work carried out in accordance with the requirements of the Law of the Republic of Kazakhstan "On administrative-territorial structure of the Republic of Kazakhstan" over the past 10 years, the number of rural settlements decreased from 6,838 to 6,256, or 582 units. Basically there was a reduction in villages with a population of less than 50 people with the population tied to nearby settlements.

The head of the ministry said that the ministry annually monitors and analyses the provision of villages in accordance with the requirements of the system of regional standards. Thus, in 2023 the level of provision was 64.3%, which is 2.1 points more compared to 2022. At that, the highest level of provision with facilities and services is observed in Mangystau region with 72.4%, Atyrau region with 70% and Aktobe region with 69.6%. The lowest level of provision is in East Kazakhstan region 58%, Ulytau region 57% and Abay region 55.4%. 

At the same time, according to the results of the analysis of indicators of regional standards, there is an increase in the number of villages with high and medium level of provision.

"Thus, the number of villages with a high level of provision of more than 80% is 1,296 units, which is 169 units more than in 2022. At the same time, the share of villages with low level of endowment decreased from 1,676 to 1,399 villages. In general, in order to improve the quality of life of the rural population and increase the level of provision with regional standards, the Ministry together with interested state bodies and akimats is taking a number of systematic measures. In accordance with the Decree of the Head of State, the Government has adopted and is implementing the Concept of Rural Development of the Republic of Kazakhstan for 2023-2027. The concept is aimed at unlocking the socio-economic potential of rural areas, taking into account their geographical features and competitive advantages," Baibazarov said.

The concept defines the main directions for reducing disparities in the provision of basic services, increasing the level of income of the rural population, development of border areas and systematisation of a set of measures aimed at the development of villages. In 2023, central and local executive bodies implemented a set of measures in accordance with the Action Plan for the implementation of the Concept.

For example, 1.8 thousand projects were implemented in 771 villages for the amount of 194 billion tenge under the "Auyl - Yel Besigi" programme. 4,900 water supply and wastewater disposal facilities worth 113 billion tenge and 85 primary health care facilities have been built. 176 villages have been connected to Wi-Fi technology. As part of the "Auyl Amanaty" project, 12,700 soft microcredits worth 79 billion tenge were issued. Road maps for the development of rural areas have been approved in accordance with the specifics of the regions. In order to attract specialists, the size of the budget loan under the "Diploma to Village" project was increased from 1.5 thousand to 2.5 thousand monthly instalments.

"One of the main tools to address infrastructure issues in rural areas is the implementation of the programme "Auyl - Yel Besigi". In 2019-2023, 524 billion tenge was allocated from the republican budget under the general programme, more than 5.4 thousand projects were implemented in 1.8 thousand reference and satellite villages. This made it possible to build and repair 578 housing and communal facilities, 1.7 thousand social facilities and more than 3 thousand intra-village roads. Under the programme, 179 billion tenge has been allocated from the national budget this year, and it is planned to implement 1,400 projects in more than 500 villages. The implementation of the programme "Auyl - Yel Besigi" has a positive impact on attracting private investment in rural areas," said the Deputy Prime Minister. 

According to the analysis of the effectiveness of budget expenditures, in 2023, 16 villages of Tolebi district of Turkestan region were financed from the budget for 3.5 billion tenge. These villages attracted private investments for the implementation of 40 projects worth 21.2 billion tenge. Thus, for every 1 budget tenge there is 6 tenge of private investment. In 6 villages of Zhaksyn district of Akmola region, 3 tenge of private investment per 1 budget tenge was attracted.

Nurlan Baybazarov also noted the important role of individual entrepreneurs investing in the development of rural areas. In 2023, they at their own expense built schools, sanatoriums, kindergartens, recreation centres and other facilities in rural areas.

"The Ministry annually monitors the funds allocated for the development of infrastructure in villages from all sources. Thus, in 2023, about 1 trillion tenge was allocated from the republican and local budgets, as well as from other sources for the development of social, engineering, transport infrastructure, public and environmental safety. About 900 billion tenge is planned for these purposes this year. The state pays special attention to the development of entrepreneurship among rural residents. In 2023, through NUH Baiterek JSC, funds in the amount of 554.7 billion tenge were allocated to finance the agro-industrial complex. Including within the framework of subsidising part of the remuneration, more than 3 thousand projects were supported, which were paid subsidies in the amount of 57.6 billion tenge. Loan guarantees totalling KZT55 billion were issued for 2,500 projects. Under the credit programme "Isker" 3.9 thousand microcredits for 22.3 billion tenge were issued, as well as under the microcredit programme for youth 7.2 thousand microcredits for 25.6 billion tenge were issued," the speaker said.

In order to identify promising products with high market potential, the project "One Village - One Product" is being implemented. Under this project, 20 regional exhibitions were held in 2023 with the participation of more than 500 producers of products, 60 goods of local raw materials were identified. In addition, 194 grants were awarded for innovative business ideas totalling 897 million tenge. 

Within the framework of the Concept, special attention is paid to the development of border areas. Currently, there are 1,383 SNPs in 66 border regions with a population of 1.8 million people. Support measures are prioritised to address issues of economic development, infrastructure, tourism, cross-border trade, job creation, arrangement of places for crossing the state border and others. In 2023, the former border districts of East Kazakhstan region and Abay region (Markakol, Makanchi, Ulken Naryn) were restored.

Within the framework of the project "Auyl - Yel besigi", 1.8 thousand projects for the development of social and engineering infrastructure in 511 border villages were implemented in 2019-2023, in 2024, 36.6 billion tenge was allocated for the implementation of 170 projects. In order to provide border settlements with water supply, 72 projects worth 15.6 billion tenge have been implemented, and work is under way to reconstruct 44 motorway checkpoints. 

The "Diploma to Rural Areas" project is being implemented to address the shortage of personnel in rural areas. During its implementation from 2009 to 2023, more than 105,000 specialists in rural areas have received 20.3 billion tenge in lifting allowances, of whom more than 48,000 have received housing worth 160.4 billion tenge. This year, 25 billion tenge is envisaged, which will provide housing for about 3,100 specialists.

In order to further develop rural areas, the ministry, together with state bodies, will carry out a number of activities.

"For intensive development of the economy of villages, it is necessary to increase the revenue part of budgets of rural districts. For this purpose, it is planned to transfer some types of additional taxes and payments, which will increase the revenue of the IV level of the budget by 2.5 times and bring it to 167 billion tenge. In particular, 50% of property taxes of individual and legal entities, licence fee for the right to engage in certain types of activities, payment for the use of licences to engage in certain types of activities and the use of water resources of surface sources," the head of the department shared the plans.

Along with this:

• annual increase in funding for the "Auyl - Yel Besigi" project, as well as programmes for the development of rural entrepreneurship and agro-industrial complex;
• priority allocation of funds to border areas;
• consideration of launching a new housing programme for villages and district centres;
• akimats to consider new approaches to further support villages not included in the list of reference and satellite villages;
• development of a digital map of villages; 
• expanding the powers of maslikhats, village akims and their apparatuses within the framework of local self-governance development;
• granting rural akims the right to purchase special equipment. 

#Economy #Government session #Regions