IDB extends $2bn development support to Kazakhstan

Ahmad Mohamed Ali, chairman of the Islamic Development Bank (IDB) Group, and Kazakhstan’s Prime Minister Karim Massimov have signed a $2 billion framework agreement aimed at enhancing cooperation within the next three years (2015-2017).
The agreement follows a similar 2012-2014 partnership document signed earlier between the two sides, toward bringing sustainable and comprehensive development to Kazakhstan in all sectors.
The signing took place on the sidelines of the 7th Astana International Economic Forum, which was inaugurated by Kazakhstan’s President Nursultan Nazarbayev on May 23.
The 3-day forum, which coincided with the 4th meeting of the economy and finance ministers of the Economic Cooperation Organization (ECO) in the city of Astana, was attended by nearly 10,000 participants representing 130 countries and a great number of regional and international multilateral development institutions.
In his keynote speech, Ali stated: “The IDB Group strongly supports President Nazarbayev’s initiative in establishing the Islamic Organization for Food Security in the framework of the Organization for Islamic Cooperation (OIC) to be headquartered in Astana.”
The IDB Group chairman praised Kazakhstan’s prevailing good economic status with an expected income per capita of $ 16,000 by 2015.
Touching upon the current global economic situation, Ali underlined that global stability will not prevail as long as about one-third of the world population are poor and left without proper nutrition and housing, and unemployment figures are soaring, particularly among the youth and women.
He stressed the need for paying more attention to inclusive growth, poverty reduction, and narrowing the gap separating the poor from other social segments. “This is what the IDB Group is seeking to achieve,” he stated, calling on the participants to come up with ideas and recommendations for enhancing sustainable socio-economic development.
Later in the day during his speech at the 4th ECO ministerial meeting, the IDB Group chairman lauded the existing level of cooperation between ECO and the IDB Group benefiting development efforts in the member countries of both bodies in central and western Asia.
He specifically pointed out the significance of operations aimed at facilitating intra-trade, joining of power grids as well as food security enhancement efforts among the ECO member states.
While in Astana, the IDB Group chairman discussed ways for promotion of ongoing cooperation between IDB Group and Kazakhstan in separate meetings with the Kazakh prime minister and senior government officials.
Since joining the IDB in 1995, Kazakhstan has received $ 1.2 billion worth of financing from the IDB Group inclusive of 22 projects in such sectors as agriculture, education, roads, and water supply in addition to foreign trade financing.