Hans Holzhacker, Associate Director, Regional Lead Economist of the European Bank for Reconstruction and Development announced the forecast for Kazakhstan’s economic growth in 2018, presenting the EBRD Transition Report 2018-19 in Astana on Tuesday.
During the presentation of the report Hans Holzhacker noted that international forecasts are quite favorable, economic growth is expected in the world, Europe, and China. Oil prices will remain in the corridor of over $60 per barrel. It is a fairly favorable international environment, and the bank believes that this will result in increased growth rates of Kazakhstan’s economy, in particular, 3.5%-4% increase in real GDP.
The EBRD also forecasts the growth of exports and investments in the Kazakh economy.
“Higher exports, higher investments, real incomes should also grow and maintain private consumption. Another factor is fiscal restraint and higher imports because it is also a typical picture when the economy starts growing after some slowdown,” the EBRD Associate Director said. In addition, the EBRD predicts a slight decline in inflation. Mr. Holtshacker added that inflation will be within the corridor set by the National Bank. However, according to him, it will not decline much due to the recovery of private consumption and demand of individuals, which is maintained by high oil prices.
