SME and Entrepreneurship Policy in Kazakhstan 2018
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The government of Kazakhstan has set an objective to substantially increase the contribution of SMEs and entrepreneurs to employment and value added in the economy. Although there are large numbers of SMEs and entrepreneurs in the country, achieving this growth will require a step change in the productivity of existing SMEs and the emergence of many more medium-sized and growth-oriented firms.
This report shows the important achievements of the government in creating a clear vision and structures for SME and entrepreneurship policy, including major improvements in business regulations and through the introduction of the Business Road Map 2020 programme offering direct supports to SMEs and entrepreneurs in areas such as financing and infrastructure. It also highlights the current challenge of doing more to strengthen management capabilities, skills, and innovation in SMEs and new enterprises, and makes a range of specific recommendations for policy actions including further building the incubator and Entrepreneurship Support Centre infrastructure, introducing dedicated support for high-growth potential enterprises, and stimulating supply chain linkages around foreign director investors.
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Promoting Linkages between Foreign Direct Investment and SMEs in Kazakhstan
This chapter examines how to make use of opportunities for small and medium-sized enterprise (SME) development through promoting linkages between domestic SMEs and foreign direct investment (FDI) establishments operating in Kazakhstan. It examines the opportunities in terms of the scale and nature of FDI, the types of linkages that the FDI can have in the domestic economy and the types of policy measures that could encourage linkages with SMEs. It examines the relevance of modifying existing FDI policy approaches to put more emphasis on the aftercare of the FDI projects that are attracted and of focusing FDI attraction efforts on FDI with linkage potential and steering it towards the locations with related value chain activities. It also examines proactive policy approaches to broker connections between FDI and SMEs and build SME capabilities to supply FDI in regional clusters, suggesting the creation of linkage development teams in each region. It also examines the scope for involving FDI establishments in the support of SME supply chain building and the relevance of strengthening supply chain finance.
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