Astana calling no 328

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Astana Calling

Ministry of Foreign Affairs Republic of Kazakhstan

Central Communications Service for the President of Kazakhstan

A WEEKLY ONLINE PUBLICATION / WWW.MFA.GOV.KZ ISSUE No 328 / FRIDAY, NOV 1 2013

President Nazarbayev Attends Summits in Minsk Calls for more joint investment projects by Customs Union members

Planning the Future of Education and Science New Education Minister outlines vision

Kazakhstan’s Boxers on Top of the World AIBA World Championships in Almaty a great success

World Energy Index: Kazakhstan’s Performance Remains Steady Rated “constant or improving”

Book Review: Culture Smart! Kazakhstan by Dina Zhansagimova

Also in the News


The leaders assembled in Minsk last week

President Nazarbayev Attends Summits in Minsk President Nazarbayev was involved in two days of intensive talks in the Belarusian capital, Minsk, on October 24-25. First, there was the meeting of the Higher Eurasian Economic Council of the Eurasian Economic Space (EES). On the second day, the leaders of the members of the Commonwealth of Independent States (CIS) met. And while Kazakhstan’s Head of State praised the work of both organizations, he was not averse to highlighting problematic issues which membership of the EES and the Customs Union in particular is causing Kazakhstan. “Trade between our countries is growing, despite the fall in global prices for our basic exports. The countries of the Customs Union now account for an 18% share of Kazakhstan’s external trade,” said the President. But he went on to sound a warning. “The free movement of goods has made competition more difficult for Kazakhstan’s producers compared to their counterparts in Russia and Belarus, the two other members of the Customs Union and EES. Foreign trade imbalances are growing. Between 2009 and 2012 imports of processed goods from the Customs Union doubled.” To even this out, President Nazarbayev suggested that there should be more large joint investment projects. The President pointed out that while imports into Kazakhstan from the countries of the EES over the same three-year period had increased from 32% of overall imports to 40%, Kazakhstan was encountering serious difficulties in getting its products into the Russian and Belarusian markets. This was due to specific non-tariff and technical barriers; inflated sanitary standards; certification, licensing and quota issues; and requirements to standardize technical regulations. For example, meat products from Kazakhstan are often banned, because Russia insists on measures which do not feature in Kazakhstan’s sanitary regulations. Belarus is experiencing similar issues according to the President. “Expanding the scope of technical regulations in the EES is contrary to Kazakhstan’s policy of improving the business environment,” said President Nazarbayev. Selling electricity is similarly difficult. When the agreement on selling electricity was drawn up, it was bound by the system which exists in Russia. So there is no free access to electricity providers. As the President put it, Kazakhstan cannot sell electricity to Belarus, going through the territory of Russia. The President stressed that it is essential that these and other issues are resolved before the Agreement on the creation of the Eurasian Economic Union (EEU) is signed in May 2014. The EEU will incorporate the Customs Union and the EES, and is due to start operating from January 1 2015. Trade between the member states was an important topic on the agenda of the CIS Heads of State meeting, too. Having noted this in his speech to the meeting, President Nazarbayev highlighted other issues, notably security. “The growth in the number of challenges and threats to our security makes it essential for the law enforcement agencies of our countries to work together,” he said. President Nazarbayev also stressed that preparations must be made for the next two years. 2014 has been designated as the Year of Tourism in the CIS countries. It is vital, the President said, for the governments of the individual countries to put in place the necessary programs that will enable the peoples of the CIS countries to come together and strengthen their mutual relationships.

“Trade between our countries is growing, despite the fall in global prices for our basic exports… But we have to talk openly about shortcomings, too… The free movement of goods has made competition more difficult for Kazakhstan’s producers compared to those in the Customs Union and the Eurasian Economic Space.” President Nazarbayev ASTANA CALLING / ISSUE 328 / 2

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Planning the Future of Education and Science The government this week discussed the priorities in the future development of education and science in Kazakhstan. At a meeting chaired by Prime Minister Serik Akhmetov on October 29, the new Minister of Education and Science, Aslan Sarinzhipov, laid out his vision for the way ahead over the next three years. In his introduction, the Prime Minister said that any plans for developing education must be carried out within the context of raising standards of education and science in Kazakhstan to world levels, as defined by President Nursultan Nazarbayev in the “Kazakhstan-2050” Strategy. Mr Sarinzhipov divided his presentation into three main areas: pre-school and school education; technical and professional training; and the improvement of the educational process as a whole. Thanks to the “Balapan” pre-school program, the number of children receiving pre-school education has doubled between 2010 and 2013, from 36% of the population to almost 72%. The number of pre-school organizations, he said, has also doubled, and now stands at just under 9,000 throughout the country. There has been only a slightly smaller growth in private nurseries, and they now make up one quarter of all nurseries. Encouraging though these figures are, the Minister acknowledged that more needs to be done to ensure that all children have access to quality pre-school education. New programs are to be implemented for the children’s development, and a resource center is to be created to train staff. The Ministry is also working on a program of “The Concept of Early Development”, which they hope to roll out in 2014. Mr Sarinzhipov went on to discuss the question of the physical infrastructure needed for schools. He said that it is planned to build from the national budget 50 schools in 2014, and 146 over the next three years. The Minister acknowledged that a gap remains in education standards between the countryside and the cities. He proposes to tackle this by developing resource centers and making better use of information technology, distance learning and methodological support for teachers in schools in remote areas. Also, in 2015 there will be a new standard introduced for all primary schools. On the subject of technical and professional training, Mr Sarinzhipov said that special attention was being paid to strengthening partnerships between education and business, as part of the State Program for the Encouragement of Industrial-Innovative Development. By 2016, 16 educational establishments will be training students specifically to the demands of employers. And in order to meet the needs of the Program, more than 73 new educational programs will be designed for over 80 colleges. The Minister said also that special attention is being paid to overall youth policy and the teaching of young people in the widest sense. He listed the principles for this: openness and transparency; an anti-corruption policy; strategic management and focussing young people on the results of their work; horizontal and vertical interactive cooperation. And he said that the main aim of the work of the Ministry over the next three years is to achieve quality in higher education, to assist in the innovative development of the economy and to produce working people who are able to compete.

“Of particular importance are questions of improving how we introduce innovation. We must have the support of teachers and of society; there has to be mutual understanding from both the national government and the local authorities. Without special attention to this we will not be able to modernize the education system.” Prime Minister Serik Akhmetov

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World Energy Index: Kazakhstan’s Performance Remains Steady The World Energy Council (WEC) has released its annual World Energy Sustainability Index for 2013. Kazakhstan is placed 58th out of 129 countries; one place lower than in 2012, but with a positive assessment from the WEC that its performance is, “either constant or improving”. The Energy Sustainability Index ranks countries in terms of their likely ability to provide sustainable energy policies in three areas. These are: Energy Security: the effective management of primary energy supply from domestic and external sources; the reliability of energy infrastructure; and the ability of participating energy companies to meet current and future demand. Energy Equity: the accessibility and affordability of energy supply across the population. Environmental Sustainability: the achievement of supply and demand-side energy efficiencies and the development of energy supply from renewable and other low-carbon sources. Kazakhstan scores very well on Energy Security, being ranked sixth. Energy Equity continues to be good, despite rising gasoline prices, as the perceived quality of the country’s very affordable electricity increases. The Index places Kazakhstan in 35th place in the world. But Kazakhstan’s performance on Environmental Sustainability still lags very far behind performance in the other two areas, and the Index puts Kazakhstan down in 116th place for Sustainability. The accompanying report does make the observation, though, that, “improvements are made across the board in energy intensity, emission intensity, and CO2 emissions from electricity generation”. More broadly, the report notes “the country’s robust macroeconomic stability”. Looking ahead, the report finds much that is encouraging in Kazakhstan’s energy policy: “The Kazakhstan government together with the business sector, energy industry and industrial associations, has developed and implemented a clear energy strategy and well-defined energy policy that support the development of a sustainable energy system.” And the authors are optimistic about Kazakhstan’s ability to improve its energy sustainability balance. They note in particular the following policies: the strengthening of state institutions responsible for energy efficiency in production, extraction and consumption of energy; clear and comprehensive energy saving programs to reduce energy intensity of industry targets (reduce 10% by 2015 and 25% by 2020 compared to the figures for 2008); the adoption of policies to support the development and inclusion of available renewable energy sources into the energy mix (electricity generated from renewables should reach 1 billion kWh per year by 2014, almost 3 times the 2009 level); plans and programs to facilitate the modernization of existing power generation, power grids and oil refining installations. The authors of the report look favourably, too, on measures taken by the government to maintain a positive investment climate, particularly attracting investment into the exploration and production of energy resources for export to world markets.

“Kazakhstan, a ‘Fossil-fuelled’ country, has strong energy security and energy equity rankings, and a very poor environmental sustainability performance. The country’s exceptional energy security gets better this year as transmission and distribution losses decline and Kazakhstan further diversifies its electricity generation portfolio away from fossil fuels to include more hydropower.” World Energy Sustainability Index, 2013

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Kazakhstan’s national team captain, Daniyar Yeleussinov, claims his third gold medal

Kazakhstan’s Boxers on Top of the World Kazakhstan’s amateur boxers more than justified the decision to hold the 17th AIBA World Boxing Championships in Almaty, finishing the tournament top of the medal table, with eight medals. Out of the ten weight categories, boxers from Kazakhstan won four. In addition, they gained two silver and two bronze medals. The Kazakhstan team also featured the overall World Champion; the Elite Man Boxer of 2013; and the Coach of the Year. The tournament, organized by the AIBA, the International Boxing Association, lasted from October 14-26, and featured 457 fighters from 100 countries. The ten weight categories ranged from Light Flyweight – from 46-49kg – to Super Heavyweight – over 91kg. Kazakhstan won gold medals in the Light Fly category; Light Welter (up to 64kg); Welter (69kg); and Light Heavy (81kg). President Nazarbayev attended the finals to lend his support to Kazakhstan’s boxers. The first winner from Kazakhstan in the finals was Birzhan Zhakypov in the Light Fly category. He defeated the only African competitor to make it through to the finals, Algeria’s Mohamed Flissi. After victories for Russia, Azerbaijan and Cuba in the next three categories, Kazakhstan’s Merey Akshalov defeated Yasnier Lopez of Cuba in the under-64kg weight category. Next up was the Welterweight category, the under-69kg. It was another Kazakhstan versus Cuba bout, and again Kazakhstan triumphed. Captain of Kazakhstan’s team, Daniyar Yeleussinov, not only won the third gold medal for his team, against Arisnoidys Despaigne, he was also awarded with the title of 2013 World Champion and AIBA Elite Man Boxer of 2013. The next bout, the Middleweight (under-75kg) saw the third win in a row for Kazakhstan and the fourth overall, as Zhanibek Alimkhanuly defeated Jason Quigley from Ireland. In the Light Heavyweight category there was a rare reverse for Kazakhstan. Adilbek Niyazymbetov was narrowly beaten, by 2 to 1, by Cuba’s Julio Peraza. In the Heavyweight contest (under-91kg), Clemente Russo of Italy won his country’s only gold medal by beating Yevgeny Tishenko of Russia. And the last bout, the Super Heavyweight, saw the only title decided by a knockout, as Magomedrasul Medzhidov from Azerbaijan floored Kazakhstan’s Ivan Dychko in the third round. Despite the disappointment for the home crowd of seeing their Super Heavyweight beaten, Medzhidov won their applause for his sporting gesture of helping his opponent to his corner at the end of the fight. Two other boxers from Kazakhstan, Kairat Yeraliyev (under-56kg category) and Berik Abdrakhmanov (under-60kg) reached the semi-finals and won bronze medals. Myrzagaly Aitzhanov, the Chief Coach of the Kazakhstan National Boxing Team, received the Best AIBA Coach of the Year award. He has been the team’s chief coach for the past five years.

President Nazarbayev meeting the Klitschko brothers, Wladimir (R) and Vitali (L) , world heavyweight champions from Ukraine

To round off a hugely successful tournament for Kazakhstan, on the day of the finals the AIBA opened its World Boxing Academy in Talgar, just over 30km east of Almaty. The facility can accommodate up to 170 people, has five dedicated boxing rings, a swimming pool, running track and football pitch. In addition, there is also a dedicated strength and conditioning centre; up-to-the-minute medical and sports science facilities; classroom space for educational programs and dedicated staff for nutritional, sports psychology and post-career development advice.

“With some nail biting final rounds, sudden reversals and shock finishes, today was THE day on the 2013 boxing calendar. The host nation dominated the medal table with eight medals, which included four golds.” International Boxing Association website, October 26 2013

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(Kuperard, London, 2013)

Book Review: Culture Smart! Kazakhstan by Dina Zhansagimova Many western business executives can tell the story of how they ended up on a plane to Kazakhstan with little or no knowledge of the country to which they were heading. More than 20 years after Kazakhstan gained its independence, the situation is beginning to change. Now a small book has appeared that will be a big help to both business and leisure travellers to Kazakhstan. The Culture Smart! Series produces handy, pocket-sized books ideal for checking on the geography, history and culture of your destination, the local customs, how to get around and, perhaps most importantly, how to carry out business. It is the sort of book which, if you have not had time to read up much before you left, will provide an excellent background briefing while you are on the plane. Culture Smart! Kazakhstan has the added advantage of having been written by a journalist from Kazakhstan, Dina Zhansagimova, who has not only travelled all over her own country, but has also lived in London when she worked for the BBC. So not only does Dina know the country, she knows her audience. Even the busiest business executives will find themselves drawn into a wider appreciation of Kazakhstan by Dina’s descriptions of life and customs, particularly regarding births, marriages and deaths as well as the section about the importance for Kazakhs of being able to trace their ancestry. And readers can learn to adopt local superstitions, such as never treading on the threshold of the home! The book also provides an admirably brief summary of the history of Kazakhstan. There is a whole section entitled “Business Briefing”; but as this is near the back of the book, the business traveller brushing up on Kazakhstan on the plane might like to read that first, otherwise they could be so distracted by the information which precedes it that they will have landed in Kazakhstan before they have read that far! Culture Smart! Kazakhstan is an excellent introduction to the country: ideal for the first time traveller, and the sort of handy guide that even the seasoned visitor will ensure is never too far away – just to brush up that local knowledge.

“In Kazakh culture, knowledge of one’s ancestry is paramount. It is the essence of Kazakhness. You know who you are, and you know that you are Kazakh if you are able to recount at least seven generations of your paternal ancestors, then your clan, your tribe, and finally your tribal confederation, or zhuz. In the past, this is how people in Kazakhstan would define themselves.” Dina Zhansagimova, Culture Smart! Kazakhstan

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Also in The News… • Kazakhstan improves World Bank business rating Kazakhstan has risen three places in the World Bank’s list for ease of doing business, “Doing Business-2014”. Out of 189 countries on the list, Kazakhstan is 50th, three places higher than in the previous list. There were improvements in such areas as being granted permission to build; registration of property (a significant jump of nine places to 18th); and resolution of insolvency. As before, the world leader for ease of doing business is Singapore, with the remainder of the top ten countries being: Hong Kong; New Zealand; USA; Denmark; Malaysia; South Korea; Georgia; Norway and the UK. Kazakhstan’s rating compares favorably with most of the countries of the former USSR. Only Georgia, the three Baltic republics (Lithuania, Estonia, Latvia) and Armenia rank higher. (primeminister.kz, doingbusiness.org) • “ATOM” Project presented at UN The “ATOM” Project, an initiative proposed by President Nazarbayev to stop all testing of nuclear weapons, was presented to the 41st session of the Preparatory Commission of the Comprehensive Test Ban Treaty (CTBT) in Vienna on October 28. Among those speaking about the “ATOM” Project were the Ambassador of Kazakhstan to Austria, Kayrat Abdrakhmanov, and the Honorary Ambassador for the Project, the artist Karipbek Kuyukov. Delegates were shown an exhibition of Mr Kuyukov’s paintings, and in his speech to the session he spoke of the tragic consequences of nuclear testing which he himself had witnessed in Kazakhstan. From October 31 his exhibition, “In Search of Peace”, is on display in the town of Krems, 70km west of Vienna. (The “ATOM” Project is so called because it stands for, “Abolish Testing. Our Mission”. The CTBT was adopted by the United Nations General Assembly in 1996. It has been ratified by 161 states and another 24 states have signed but not ratified it. The treaty will enter into force 180 days after the 44 states listed in Annex 2 of the treaty have ratified it. These “Annex 2 states” are countries that participated in the CTBT’s negotiations between 1994 and 1996 and possessed nuclear power reactors or research reactors at that time. Eight Annex 2 states have still to ratify the treaty: China, Egypt, Iran, Israel and the United States have signed but not ratified the Treaty.) (mfa.gov.kz) • President congratulates new Georgian President President Nazarbayev sent a telegram of congratulations to Giorgi Margvelashvili, following his election on October 27 as President of Georgia. As well as wishing President Margvelashvili good health and success, President Nazarbayev said, “I am convinced that the mutually-advantageous cooperation between Kazakhstan and Georgia will continue to develop in the spirit of mutual trust and respect for the good of the peoples of both of our countries.” (akorda.kz) • China publishes book on President Nazarbayev A book launch was held in Beijing on October 25 2013 of, “THE FIRST. Essays on the President of the Republic of Kazakhstan”. The book is a translation into Mandarin of the book first published in 2008 by Makhmud Kassymbekov, and is aimed at a wide audience in China. Professor Kassymbekov used a great deal of archive material as well as his own personal observations of the President as a leader, a citizen and a man. The publication of the book in China was organized by the Embassy of Kazakhstan in Beijing. (mfa.gov.kz) • Mayor of Kurchatov speaks out for nuclear power station The Mayor (Akim) of Kurchatov, Dmitry Garikov, told a press conference in Ust-Kamenogorsk this week that it was essential to build a nuclear power station in Kurchatov. He said that there was an energy shortage which could not be filled by alternative energy sources or by hydro-carbons. “Nuclear power is the future!” he declared, adding that Kurchatov was the center of knowledge for nuclear matters in Kazakhstan. (kazinform.kz) • New Deputy Oil and Gas Minister appointed Magzum Mirzagaliyev has been appointed Deputy-Minister for Oil and Gas. Since 2012, Mr Mirzagaliyev has been ViceChairman of the Board for Innovative Development and Service Projects at the national oil and gas company, KazMunaiGas. Before this he was Managing Director of KazMunaiGas. He started his career as a drilling fluid engineer in the oil fields of Tengiz and West Siberia. (tengrinews.kz)

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• Kazakhstan delegation attends “Smart” conference in South Korea A government delegation headed by the Chairman of the Government Service Agency, Alikhan Baymenov, this week took part in a global forum in South Korea which examined issues of e-government. The forum was called, “Smart-Government and Smart-Society”. Mr Baymenov delivered a speech on, “Open and modern administration issues for society in Kazakhstan: achievements and prospects for the future”. He acquainted delegates with the principles of the Strategy, “Kazakhstan-2050” and invited them to participate in the global dialogue started by President Nursultan Nazarbayev, G-Global. (kazpravda.kz) • Karaganda Mayor: “We’re carrying out the President’s orders” The Mayor (Akim) of Karaganda Region, Baurzhan Abdishev, gave a briefing this week to local journalists. His message was clear: following President Nazarbayev’s recent criticism of the government (see Astana Calling 326, President holds government to task) the very next day Mr Abdishev called a meeting of the full staff of the regional mayor’s office to address the issues the President had raised. As the most heavily industrialized region of the country, Karaganda has a particular responsibility, as Mr Abdishev acknowledged. The briefing was accompanied by an exhibition of some of the achievements of the region, but the Mayor left his audience in no doubt as to the seriousness with which he and his staff regard the tasks and challenges ahead of them. (kazpravda.kz) • Almaty hosts international entrepreneurs’ conference A conference entitled “Entrepreneurship and Business Education in a Developing World” has been taking place this week in Almaty. The conference is in honor of the 25th anniversary of the founding of the International Business Academy in the city, and has been supported by the Government of Kazakhstan and the Ministry of Education and Science. Leading speakers from all over the world and representatives of international business circles have attended. (ortcom.kz) • Kazakhstan improves Helicopter Rescue Service At a briefing this week, the Deputy Minister for Emergency Situations, Valery Petrov, spoke about the achievements in the first nine months of this year of the Helicopter Rescue Service and the plans for improving it still further. A key function of the Service is rapid reaction in the event of traffic accidents. The Deputy Minister pointed out that in the Almaty Region the number of deaths in road traffic accidents had fallen by 12%; in South Kazakhstan Region by 8% and in Karaganda Region by 21%. Only five people died while in transit on the helicopters, out of 2,500 rescued. In December, the Service will receive a further four Eurocopter helicopters, bringing up to 16 the total number of aircraft at the disposal of the Service. This will mean that they will be able to cover virtually the entire territory of Kazakhstan. (ortcom.kz) • Astana Opera signs agreements with leading world theaters The brand new Astana Opera House, which held its International Gala Opening last week (see Astana Calling 327) has signed cooperation agreements with theaters in seven countries: South Africa, China, Singapore, Italy, France, Bulgaria and Georgia. This should lead to an exchange of directors and artists and will broaden the theatre’s experience. The Opera House is hoping to widen still further its contacts, and there is already a preliminary agreement with the world-famous Royal Opera House in Covent Garden, London. (strategy2050.kz)

ASTANA CALLING A WEEKLY ONLINE PUBLICATION / WWW.MFA.GOV.KZ Please send comments and questions to pressa@mfa.kz

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