Manufacturing overtakes mining in Kazakhstan investment for first time
This digest was compiled by AI from multiple sources — links to the originals are below.
Kazakhstan's manufacturing sector attracted 1.4 trillion tenge in investment in the first half of 2026, surpassing mining for the first time. The shift reflects a structural change as processing, construction, and digital infrastructure become new growth poles, while oil and gas investment fell 21%.
Investment Shift
Manufacturing investment rose 33.5% year-on-year to 1.4 trillion tenge, exceeding mining investment by 8.7%, according to Finance KZ. Information and communication investment surged 129.4%, signaling real capital inflows into digital infrastructure. The data marks the first time manufacturing has outpaced mining in Kazakhstan's investment history.
Oil Sector Slowdown
Oil and gas extraction investment dropped 21% due to reduced activity and maintenance at Tengiz. The decline does not pose an immediate crisis but signals that the budget's main donor is not expanding its production base. If the trend continues, oil revenues may fall before non-commodity sectors can compensate.
Financing Constraints
Enterprises funded 68.8% of total investment from their own funds, while bank loans accounted for only 4.9%. Construction grew 38.7%, driven largely by government contracts. Trade is slowing under higher tax pressure, and private investment remains weak as businesses adapt to new tax conditions rather than expand.
What's Next
The government is expected to release full half-year GDP data in August, which will show whether the investment shift is translating into broader economic growth. Analysts warn that without stronger private-sector lending and a recovery in oil investment, the structural transition may remain incomplete.
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Manufacturing overtakes mining in Kazakhstan investment for first time
