Download T.Ryskulov`s Kazakh Economic University Finance Gvantsa.N

T.Ryskulov’s Kazakh
Economic University
Finance
Gvantsa.N.Tabunidze/
[email protected]
Social and economic development of Pavlodar region
First of all, I would like to describe briefly the whole economy of Republic of Kazakhstan.
Economy of Kazakhstan was changing during the becoming independent state. The basics were
established still in Soviet Union period. It was expressed in economical assistance of Kazakhstan
during The II World War. Kazakhstan was raw materials appendage in those time, thus
Kazakhstan’s economy begun to strengthen. In first years of independence economy of Republic
of Kazakhstan was in poor conditions, as far as after the collapse of Soviet Union, economy of
region was partially ruined. But after establishment of Constitution of Republic of Kazakhstan,
there were accepted some laws enabling development of business and enterprise. Kazakhstan’s
economy reached a new level of economy, known as market economy. I would like to tell about
economical conditions in the period of forming of independent state. The period captured 19901997years. Share of industry in GDP in 1997 was 21.4% in compare with 1990 it rose by 0.9%.
The number of industrially employed population reduced in 1.7 time, worker’s salary in this
branch in1.5 times overlapped average republican salary. Industrial production provides 5/6
profit, gained as a whole from economy branches of republic. Over the 1990-1997 production of
building materials, fuel and non-ferrous metallurgy decreased, only petroleum processing
increased, share of this branch increased in 10 times and was 6 of the industrial production. This
kind of changes was induced by the alignment of country prices to world prices.
From this point, I would like to involve some information of Pavlodar region’s social and
economic development.
I would like tell about economical conditions in the period of forming of independent state. The
period captured 1990-1997years.
Background
The Pavlodar region is located in the north-east of the Republic of Kazakhstan. Pavlodar region
was formed in January 1938. The regional center is the city of Pavlodar, situated on the bank of
the Irtysh, the largest rivers of Kazakhstan. The population of Pavlodar is composed
predominantly of ethnic Russians and Kazakhs with significant Ukrainian, German and Tatar
minorities. There are two predominant religions in the city Muslim and Christian, and other
minorities. The geographical location determines economical development of region. Huge
natural-resource potential of the region, a well-developed industrial and social infrastructure,
high scientific and technical potential of a link between Central Asia and Siberia attracted
attention of industrialists and businessmen of different countries. Addition to this, there are many
different well-developed spheres in region like banking sphere, small and middle business,
transportation and communication infrastructure, etc.
Social and economic development as a whole
Social life. The population of the region on 1st of June, 2011 to the current data was 746.4
thousand people, including urban population - 512.2 thousand (68.6%), rural - 234.2 thousand
(31.4%).
Migration. In January - May 2011 in compare with January - May 2010 number of arrivals and
departures in Pavlodar region decreased by 32.8% and 22.6% respectively. So why number of
arrivals is higher than number of departures? May be it caused by developing of industry in
region? As we know if there is development of industry therefore there are labor forces needed.
Thus most people from another countries are coming to region, some of them are just coming
back to homeland, for instance over the 10 years number of oralmans was 55thousand.
Unfortunately the number of departures is high. Some people(Germans, Russians, Greeks) are
going back to theirs homelands, some of them are escaping from ecological conditions in region,
others are not provided by job, and are looking for another opportunities in Russia. Government
of region is concerned about it, the problem does not comprise decreasing of population, it faces
more important trouble such as decreasing in labor forces with knowledge and qualification.
The main external migration exchange of region occurs with CIS countries. Share of arrived
from CIS countries was 56.7%, but share of departure from region was 89.4%. The number of
other region comers in January-May,2011 in compare with the same period of time in 2010year
decreased at 25%, but number of departure increased at 11.6% . The event has the same reason
which I described above, most people are looking for job in Russia.
Morbidity of population. The most widely spread among infectious diseases were upper
respiratory tract infection, 16171.6 per 100,000 population, tuberculosis, -81.9; intestinal
infections - 67.8; pediculosis - 34.3; other bacterial food poisoning - 15.4, etc. The reason is
careless of regional health agencies.
Criminality. The Regional Law Enforcement Agencies according to statistic data January-June
of 2011year detected 2471 entities who committed crime, at 10,3% less than in 2010. The total
amount of offenders consist of 11.7% of women, 6.4% underage, government entities 0.7%. As a
whole every 5th offender committed crime under an effect of alcohol. Unemployment instigates
people to commit crime.
Level of living in region is not bad. Nominal Income of population per capita in July,2011
amounted 48711 tenge and in compare with July, 2010year increased at 9.8%, real Income
increased at 1.4%. A share of unemployed population in second quarter of 2011 was 0.6% it
decreased in compare with 2010, when share of unemployed population in second quarter was
0.8%. The reason is expanded production and labor forces needed.
Consumer price index in August 2011 in compare with December 2010 amounted to 105.8%.
Food prices rose by 8.1%, prices for paid services by 5.4%, price for non-food goods rose by
3.2%. Prices for manufacturers of industrial production in August 2011 increased in compare
with December 2010 to 9.2%. The increasing in prices over manufacturing is natural, as far as
the more is demand the more of goods needed suppliers want to offer at a higher price.
Gross Regional Product for the first quarter of 2011 amounted 255.5 billion tenge. Investments
in fixed assets in January-August of 2011 amounted 105.9 billion tenge, by 0.3% more than in
the corresponding period of 2010. Increasing in investments is caused by fast increasing in
production industry. Investment is one of the main factor which defines economical stability.
Pavlodar region as an “Industrial Paradise”
Region is more familiar to be engaged in industry. Pavlodar region is one of the industrially
developed regions of Kazakhstan. So as regards an industry, a share of Pavlodar region in
industry production reaches 7% of whole Republic’s industry production, about 70% of
country’s coal mining, ¾ of republic ferroalloy production, about 40% of republic electricity
and petroleum products production. In the city Pavlodar is one of the largest oil processing
venture. Industrial ventures in region are oriented for export. As far as Kazakhstan is raw
materials appendage, its industrial ventures are oriented so. It goes without saying that
everything written above take a place in the whole country’s economical development. As I have
already said according to statistical data Gross Regional Product of 1st quarter in 2011 was 255.5
billion tenge. In compare with the same period of time in last year it increased at 14,5%. its
share in total volume of the Republic is 5%. The major share in the production of GRP is
industry with range 49.5%, but minor share is sphere of information and communications with
range 0.9%. Why is it so? As far as Pavlodar is resource provided industrial region majority of
production takes output of industry. According to statistics volume of industrial production in
January-June of 2011 amounted to 487.4 bln tenge or 97.9% against the analogue period of
2010. In mining industry production increased by 7.6% than in 2010, power, gas, steam supply –
by 4.1%, water supply – 18.5%, in manufacturing volume index decreased by 3.5%. The reason
is demand and supply law. The more is demand from importer countries the more goods supplier
countrie wants to sell at a higher price.
Other economical spheres developing.
Volume of gross agricultural production amounted to 22.1 bln tenge or 100.9% against 2010.
Implementation of 35 investment projects to the sum of 16.1 bln tenge continues in the region.
15 projects (13.5 bln tenge) are financed by financial institutions, 20 projects (2.6 bln tenge) – by
the own funds of agricultural producers. In sphere of development of small and medium business
56 projects to the sum of 2.0 bln tenge were financed under the program “Damu-regions”.
Branches of second-tier banks signed the contracts of subsidizing on 13 projects (62.5 bln tenge),
issued loans to members of small business to the sum of 18.7 bln tenge. It is more in 2.9 than last
year.
By July,1,2011 number of active members of small and medium business increased to 25.4
thousand or 113.3% against 2010, number of employed people – 108.6 th people (101.2%),
volume of goods and services – 110.1 bln tenge (102.8%).
Taxes and other compulsory payments to the budget from small and medium business made up
34.5 bln tenge. It is more by 15.1% than in 2010.
Volume of foreign trade turnover for January-May of 2011 amounted to $ 2081.4 mln (growth in
1.5 against 2010), including export- $ 1060.6 mln(growth in 1.9), import – $ 1020.8 mln (growth
in 2.0 times). Volume of construction work was 18.9 bln tenge (135% in 2010).
A mental hospital for 140 seats was constructed in the village of Michurino (Pavlodar area) due
to the funds of local budget. Construction of a polyclinic in the village of Bayanaul (Bayanaul
area), 3 outpatient clinics in the villages of Leninskiy and Kenzhekol (rural area of Pavlodar) and
Peschanoe village (Kachiry area), school for 1200 seats in Pavlodar, 3 kindergartens for 280
seats in cities of the region continues due to the republican budget.
The rate of inflation for January-June of 2011 made up 105.0%. There is growth trend in retail
trade turnover which amounted to 64.4 bln tenge. It is more by 13.8% against the analogue
period of last year. The reason is increasing in number of individual entrepreneurs.
As we may see Pavlodar region is on of the developed regions in Kazakhstan. Everything that is
on and running in region was developing during the twenty one year.