ECONOMIC DIVERSIFICATION IS A PRIORITY
September 1 Address to the people of Kazakhstan, voiced by the Head of State Kasym-Jomart Tokayev, is the realization of his constitutional powers in accordance with the Basic Law. This year's message differs from the previous ones in that the task on diversification of economy, outlined by the Head of State, is a red thread in it. Here the President substantiated the need to adopt the most important projects for the country aimed at creating economic self-sufficiency of the state.
I would like to note that in his previous messages and in his election platform the head of state has already raised the issues of the need to improve the economy. However, in this year's Address he outlined strategically important priorities of the country's economic development. Being well aware of the negative processes taking place in the world today - challenges, threats, armed conflicts, the ongoing global economic crisis, the President, exercising his constitutional authority to determine the main directions of domestic and foreign policy of the country, instructs to solve all the tasks outlined in the Address within three years. At the same time, he notes that justice, inclusiveness and pragmatism will be the defining principles of the country's new economic course. It should be noted that all these principles fully correspond to the idea of building New Kazakhstan as a fair state. And the need for an economic breakthrough in the country is conditioned by the specific goals of improving the welfare of ordinary Kazakhstanis and strengthening the economic security and sovereignty of the state.
The distinctive feature of this Address is new approaches to diversification of the economy, which the Head of State voiced as "a new paradigm of economic development of Kazakhstan", which will be based on the effective use of our competitive advantages, as well as on unlocking the potential of all key factors of production - labor, capital, resources and technology. At the same time, the Head of State (and this is very important) notes that within the framework of the new economic policy we will move away from the practice of setting long-term ephemeral goals.
Proceeding from the fact that the President of the country Kasym-Jomart Tokayev focuses in his Address on the need to attract large private investments into our economy, it can be assumed that a number of fundamental changes will be required both in the structure of public administration and in the legislation regulating the sphere of economy and investments in the country. These changes should include exemption of foreign and domestic investors from taxes and other mandatory payments for the first three years. Indeed, the experience of many economically developed countries (for example, Turkey during the presidency of Ataturk) shows that such measures are the main stimulus for economic recovery and development.
Another priority in the recovery and diversification of the economy, the Head of State defines the need for rational use of electricity, heat and water, which fully corresponds to the standards by which the citizens of many developed, primarily European, countries live.
Despite the fact that the Address is mainly devoted to economic problems, the President's concern about the need to further strengthen our sovereignty, which largely depends on our economy and economic security, is clearly observed in it. That is why, in order to ensure the energy security of our country, the President instructs to stop importing electricity and thus eliminate Kazakhstan's energy dependence on other countries. Touching upon the issues of pricing policy, he quite reasonably notes that the problem of unprofitable price regulation seriously hinders the development of agro-industrial complex.
Here, in the opinion of the Head of State, a stabilizing role can be played by the Food Contract Corporation, which should assist the private market in creating a full-fledged network of production, storage and marketing of agricultural products. The importance and significance of solving this task is very relevant in our country in economic terms, because the food security of our state largely depends on its solution.
It should be noted that earlier in his Addresses and other political and legal documents Kasym-Jomart Kemelevich repeatedly drew attention to the need to stop unjustified persecution of entrepreneurs by law enforcement and fiscal authorities. In this Address, the Head of State raises this issue again, which shows that such facts take place in our reality. It is time for everyone to realize: how effectively small and medium business will develop in our country, the economic well-being of both citizens and the state as a whole will largely depend on it. That is why President Kasym-Jomart Tokayev demands to stop the unlawful persecution of business.
The Head of State's statement on the need to restore the Ministry of Transport and establish the Ministry of Water Resources and Irrigation is strategically important for the country's economy, as there are many problems related to the quality of road infrastructure, which, of course, negatively affects the diversification of the economy. And solving the issue of providing clean water to citizens and agriculture will not only have a favorable impact on the health of our citizens and increase the yield of agricultural products, but will also increase the level of well-being in society as a whole and will contribute to the strengthening of our food security.
Having outlined the main priorities of the country's economic diversification, the President also emphasized in his Address the need for further application of artificial intelligence capabilities, which will make it possible to make a qualitative leap towards the knowledge economy. Indeed, there are many examples in the world when economically backward countries without rich natural resources or even sufficient territory were able to make an economic breakthrough only thanks to the development of the nation's intellectual potential. First of all, these are the countries belonging to the group of the so-called "Eastern Tigers". The people of Kazakhstan and the Head of State Kasym-Jomart Tokayev are aiming at this path.
Naturally, for the development of intellectual potential of the nation it is necessary to create legal conditions for the development of science and science-intensive technologies. Therefore, the President emphasizes the need to enshrine in the future law on science and technology policy not declarative, but effective norms. I would like to note that in KazNU named after Al-Farabi many issues related to the development of science and scientific technologies, voiced by the Head of State in the previous and current messages, are already being addressed positively in many respects.
Further, having outlined in the Address almost the whole range of issues of economic diversification (the Head of State has given instructions for almost all sectors of the economy), Kasym-Jomart Tokayev did not ignore the social sphere. Here we can see a logically verified systematic approach of our President in strategic issues of socio-economic development of the state, since only a successful economy can guarantee successful social development of the country. In particular, the head of state notes positive trends in the demographic development of Kazakhstan, stating that more than 400 thousand children are born in our country every year. In his opinion, the Government should use this trend as a competitive advantage.
Timely and justifiably noting the need to form a harmoniously developed personality, the President points out (and has done so repeatedly) the need to toughen penalties for any forms of violence against minors.
The issues of improving the quality of educational services also found due attention in the Address, which is quite logical, since the positive outcome of the socio-economic reforms planned by the Head of State largely, if not mainly, depends on the level of qualification of graduates of educational institutions. Therefore, he states: "Educational institutions should build long-term partnerships with potential employers. Flexible funding mechanisms are needed depending on the priorities of the economy, specifics of regions and industry. Demographic growth in our country increases the demand for education".
Further, based on the postulate "democracy is the dictatorship of law", the Head of State urged all law enforcement and other government agencies to strictly observe the rule of law in the country and to suppress any illegal actions aimed at violation of public order.
The head of state did not ignore a number of other very important issues of social, economic and political nature in his Address. These are the issues of social protection of children and socially vulnerable groups of the population, improvement of the taxation system, involvement of citizens in the management of local executive bodies and others.
In addition, we would like to note that if earlier the President of the Republic of Kazakhstan, speaking about the personnel reserve for political public positions, noted "incomplete benches", then from now on, according to his instructions, a personnel reserve of political officials will be created. Thus, the "benches" will be replenished in a timely manner.
This Address is also notable for the fact that the Head of State increases the responsibility for the implementation of all the guidelines and tasks contained in this political and legal document, and assigns it to the Government of the Republic of Kazakhstan. And it is right, because, based on the meaning of our Constitution and other normative-legal acts, it is the Government that should be responsible before the people and the President for the implementation of socio-economic policy.
In conclusion, I would like to note that the positive solution of all instructions of the Head of State contained in the Address will significantly raise the level of welfare of our citizens and bring us all closer to the main goal - to build a Fair Kazakhstan.
Zhanseit Tuimebaev,
Chairman of the Board - Rector
Al-Farabi Kazakh National University
