The Astana Times

Gennady Golovkin, who just celebrated his 31st birthday on April 8, retained his WBA title.

Boao Forum is considered to be an ‘Asian Davos’ due to the number of high-level participants and its importance for the economic development of Asia.

For the second time in slightly more than a month, representatives of the EU3+3 and Iran gathered in Almaty to continue negotiations on Iran’s nuclear programme.

InsIde

+220C +70C

US$1 = 150.90 KZT1 Euro = 196.62 KZT1 Rouble = 4.84 KZT

Wednesday, 10 April 2013 № 6 (27) www.astanatimes.kz

NatioN Trilingual Education Touted as Right Way

Forward Aral Sea Rescue Fund Celebrates 20th

AnniversaryPage A2

EURaSia & WoRLD Afghans Appreciate Kazakhstan’s “Very

Honest” Approach Kazakhstan, Russia Advance Cooperation at

BaikonuPage A3 - A8

EDitoRiaL

Regional Cooperation Key to Peace and Stability

Page A6

oPiNioNS NAZARBAYEV: A model for curtailing nuclear

proliferation ALSHANOV: Pension System Modernization

to Promote Reliability and EfficiencyPage A7

NatioN & CaPitaL National Day of Lovers to Recall Legendary

Romance Of Astana, Its People and Beshparmak

Pages B1-B8

Kazakhstan, Chevron

Celebrate 20 Years of Partnership

By Yernat Mukhamadiyev

ASTANA – On April 3, Chevron Oil celebrated the 20th anniversary of its operations in Kazakhstan at the Palace of Independence in the capital.

“I would like to take this opportu-nity and congratulate those present on 20 years of joint work with Chev-ron. Thank you for your long-stand-ing friendship,” President Nursultan Nazarbayev said at the reception.

It was 20 years ago that President Nursultan Nazarbayev and the then chairman of the board of Chevron Kenneth Derr signed an agreement for Chevron to develop the Tengiz field in the Atyrau region, consid-ered the world’s sixth largest oil field by reserves.

“Thanks to $20 billion invested by Chevron over the period of 20 years, Kazakhstan has grossed $77 billion. About $800 million has been poured into the social develop-ment of Atyrau region. Thousands of Kazakhstan specialists have been trained. Today, Atyrau is one of the most beautiful cities in the republic and it is called ‘the oil capital of Kazakhstan’. Over the last two dec-ades, the [Tengizchevroil] company has increased the crude oil output 26 times,” the president said.

Continued on Page A5

Employment 2020

Programme Starts Strong

By Asel Mukanova

ASTANA – The Employment 2020 Programme got off to a strong start last year.

Minister of Labour and Social Protection Serik Abdenov said that in 2012 the number of people willing to participate in it grew by 66 percent; the number of so-cial contracts concluded under it increased by 70 percent and the number of low income and rural workers involved in it doubled. Micro credit loans grew almost 400 percent last year compared with 2011 from 3.6 billion tenge ($20 million) to 12.4 billion tenge ($80 million).

The programme began in 2011. At the end of 2012, Prime Min-ister Serik Akhmetov approved some changes to improve its ef-ficiency.

The programme has trained 63,000 people at 448 educational centres and created 52,000 social jobs. The role of employers in the programme will be expanded in accordance with President Nur-sultan Nazarbayev’s instructions to the Second Congress of Zhas Otan, the youth movement of the ruling Nur Otan Party.

Continued on Page A2

Iran Nuclear Talks in Almaty End Without Breakthrough, Parties Agree to Stay in Touch on Future Steps By Miras Abykov

On March 30, Kazakhstan’s mid-dleweight World Boxing champion Gennady Golovkin knocked out Japan’s Nobuhiro Ishida to retain his crown.

Golovkin won the fight, which took place in Monaco, in the third round. It was his seventh success-ful defense of the World Boxing Association (WBA) title.

Continued on Page B7

Golovkin KO’s Challenger, Retains World Middleweight Title

By Nadezhda Khamitova

ALMATY – Saturday, April 6, saw the end of the second round of talks on Iran’s nuclear programme held here, in Kazakhstan’s largest city.

Though the first round of talks was considered more positive than negative, the second attempt to reach an agreement was not as pro-ductive. The two-day negotiations did not result in any signed agree-ment. The parties are set to meet again at a place and time yet to be determined.

In a statement at the end of the negotiations, EU High Repre-sentative for Foreign Affairs and Security Policy Catherine Ashton said, “Over two days of talks, we had long and intensive discussions on the issues addressed in our confidence-building proposal put forward during the last round of talks with Iran in Almaty on 26-27 February. It became clear that the positions of the EU3+3 and Iran remain far apart on substance. We have therefore agreed that all sides will go back to capitals to evalu-

ate where we stand in the process. I will be in touch with Dr. Jalili soon in order to see how to go for-ward.”

“Of course there is some dis-tance between the positions of the two sides. The Islamic Republic of Iran has announced on numerous occasions – stressing the rights of Iranian people, including the right to enrich and an end to behav-iours which are a sign of enmity towards the people of Iran – based on these two points, the proposal was tabled to help us to proceed

in a constructive fashion… it was decided that they [the heads of the delegations] will transmit the out-come of the talks to their respec-tive capitals. It was also decided that Lady Ashton, after consulting the foreign ministers of six coun-tries, will call me to discuss how the process of talks will proceed,” Iran’s Secretary of the Supreme National Security Council (SNSC) Saeed Jalili said in his concluding statement.

Continued on Page A2

By Vladimir Kuryatov

SANYA, BOAO – During his of-ficial visit to China last weekend, President Nursultan Nazarbayev held talks with Chinese President Xi Jinping to advance ties on a wide range of issues of strategic partnership, and addressed the 12th session of the Boao Forum for Asia.

The two leaders discussed a range of issues of bilateral cooper-ation and strategic partnership. The Kazakh President congratulated Xi Jinping on his election as President of China.

Nursultan Nazarbayev noted that Kazakhstan appreciates the cooperation of the two countries in the framework of international

organizations and, in particular, said Kazakhstan supports China’s intention to take presidency in the CICA for the period of 2014-2016 years.

In turn, Xi Jinping thanked Nursultan Nazarbayev for his “outstanding contribution” to the development of Kazakh-Chinese relations.

The two leaders also noted the continuing growth of bilateral trade. At the end of 2012, it in-creased by 12.5% to $24 billion. Noting a much larger potential for further growth, the two leaders spoke of the need to bring the trade to 40 billion dollars by 2015.

In addition, during the meet-ing they discussed the aspects of cooperation in the transport sec-

tor, cross-border collaboration and other relevant topics.

Speaking to Kazakh reporters af-ter his meeting with Chinese Presi-dent and within the Boao Forum, the Kazakh President emphasized that Kazakhstan received China’s support on the most pressing issues for the country, primarily the divi-sion of water resources.

According to Nazarbayev, the two leaders have agreed that the issue of using the cross-border riv-ers will be resolved through nego-tiations within a specially created working group.

Another agreement was reached on the exports of Kazakh wheat to China, and the joint creation of an agrarian structure which can be used to implement the best prac-

tices in the field of plant breeding and crop production.

Nazarbayev said bilateral coop-eration in the field of transport and communications, where the most important project is to use the Pa-cific port of Lianyungang, would be further developed. The sides addressed the issue of allocation of land for its construction. At that, President Nazarbayev stressed the importance of Kazakhstan’s access to the Asia Pacific region. These and other topics will be considered in detail during the first visit of the newly elected President of China to Kazakhstan in the first half of 2013.

Continued on Page A2

Nazarbayev Urges Greater Pan-Asian Cooperation on Visit to China

Wednesday, 10 April 2013The Astana TimesА2

NationDOMESTIC

NEWS IN BRIEF

From Page A1

Previously, the selection of ap-plicants, occupations, professions and educational organisations for the programme was carried out by the state. In future, these functions will be carried out by employers. Prospective employers will also be allowed to apply to private recruit-ment agencies. They will be able to use the Labour Ministry’s database of vacancies in the labour market. Prospective employers will also be allowed to choose the training school for their future employees.

The youth labour exchange will create a new single web portal to make it easier for young people to find jobs and career guidance.

Some 6,000 people have taken the programme to teach the basic principles of business and entre-preneurship and 6,200 small busi-ness proprietors have microcredit loans. Local boards in different regions will create business de-velopment maps to identify prior-ity areas and projects to help new business owners and employers working with the programme. The employers will receive profession-al help in preparing their business plans, including free accounting,

legal and marketing services for a year.

The Minister of Labour said self-employed workers will be reg-istered as individual entrepreneurs when receiving micro credit loans.

The programme plans to increase the percentage of self-employed workers to 56 percent in 2015 and to 75 percent in 2020.

The Employment 2020 Pro-gramme will focus only on the un-

productive self-employed. These are defined as members of the work force whose activity is sporadic and who manufacture products only for their own use without generating added value, and unpaid workers

in family enterprises – a total of 1.3 million people.

To improve labour mobility, a public-private partnership (PPP) programme has been introduced. In 2012, it relocated 2,000 workers.

The programme is also provid-ing young workers with residence hostels, provided they have em-ployment contracts and participate in the housing savings programme. Workers who live in these hostels for up to five years will be able to accumulate capital in the Con-struction Savings Bank which will enable them to buy housing on preferential terms.

However, the hostels construc-tion programme requires addition-al financing and the overall youth employment programme needs to be coordinated with other state pro-grammes including the State Pro-gramme for Advanced Industrial-Innovative Development (PAIID) and the Affordable Housing 2020 Programme.

In 2012, the programme created more than 7,000 new jobs in rural areas offered by more than 4,000 employers.

The East Kazakhstan, North Ka-zakhstan, Kyzylorda and Pavlodar regions are carrying out prototype parts of the programme. The prime minister and the government have approved a 40 percent increase in funding this year by 40 percent.

Employment 2020 Programme Starts Strong

By Maral Zhantaykyzy

ASTANA – On April 4, Kazakh Humanities and Law University (KazHLU) in Astana held a round-table discussion on the theme “Multilingualism in the educa-tional environment: problems and prospects” with the participation of Swedish Ambassador to Kaza-khstan Manne Wangborg, Spanish Ambassador to Kazakhstan Don Manuel Larrotcha Prada, Provost of Nazarbayev University Simon Jones, Head of the Educational Department of Nazarbayev Intel-lectual School Gareth Stamp, Head of NCOC Dr. Fethi Chebil, the fac-ulty of KazHLU and students from Kazakhstan’s universities.

In their reports, participants highlighted the main problems related to the theme of the forum. In particular, Head of the English Language Department of KazHLU Anar Ibraeva noted that university teachers annually try to upgrade their qualifications by participating in different international trainings.

“In 2012, teachers from our de-partment were awarded the Bo-lashak Presidential Scholarship. However, in spite of many positive steps taken in the past several years by KazHLU, there are still issues regarding the development of that process, such as a lack of highly qualified and experienced teach-ers and inadequate equipment and resources with regards to technol-ogy,” Ibraeva said. Swedish Am-bassador Manne Wangborg offered the assistance of their employees in the provision of English language courses and trainings. He is very positive about the language policy in Kazakhstan.

“Language is a very delicate is-sue where prejudice, mismanage-ment and misconceptions can eas-ily translate into discrimination… That is why the president was wise in his address to balance this idea of promoting the Kazakh language with the notion that measures must also be taken to ensure that Rus-sian (and English) are also taught and learnt in Kazakhstan. The president said that a three-language policy should be encouraged on a state level, advising people to treat Russian in the same careful way they treat Kazakh. This is the right approach to multilingualism,” the ambassador said.

The round-table participants noted that this year the first steps towards the introduction of a new model of education in universities have been taken, including reforms in education standards and opening special departments with educa-tion provided in three languages. It should be noted that the multi-lan-guage education programme imple-mented in Kazakhstan is a unique and, unlike its Western analogies, implies a parallel and simultaneous training in three languages.

“An effective higher education system is a core element of a success-ful society and economy. This talk

demonstrates how Nazarbayev Uni-versity, established with a mission to be the premier regional research institution, is addressing these chal-lenges, and how the ‘triple-helix’ of education, research and innovation is being combined in a way which is of an international standard yet firmly rooted in the needs of the Ka-zakh people and the aspirations of the nation,” Jones said.

Head of the Educational Depart-ment of Nazarbayev Intellectual School Gareth Stamp is convinced of the correctness of the develop-ment course of Kazakhstan’s lan-guage policy.

“The forthcoming Expo [EXPO 2017] will put the focus of the world on Kazakhstan, its credentials as a global player and its ability to de-liver change. Maybe the 2017 expo will be the first indicator of the jour-ney to 2050 [Strategy Kazakhstan 2050]. It is estimated that there will be five million visitors to Astana and the country – that is equivalent to a country population growth of around nearly 30 percent.”

Students actively participated in the discussions. They said that knowing more than one language will not only let them learn the cul-ture of other nations, but also show them the rich culture of their own people.

“The knowledge of at least three languages is a requirement of times,” fourth-year student at Kai-nar University (Semey) Sandugash Yelyubayeva said. “The advantag-es of implementing multilingual education are personal enrichment, improvement of communication skills, the opportunity to be edu-cated in prestigious universities in Europe, winning the respect of oth-er nations, the ability to integrate into the global economy, prepara-tion of highly skilled and competi-tive personnel.”

“The round-table has helped to find common ground to solve problems in the introduction of multi-language education. It is essential that events like this are organised more frequently, on a broader level. I think that Kaza-khstan has chosen the right strat-egy. Today in Kazakhstan, I see small children who are already fluent in three languages. They learn English as early in the nurs-ery and so for them it isn’t a proc-ess of education but a very natural way of expression. I think that in 10 to 15 years, when these chil-dren grow up, our goal will be achieved,” Professor at KazHLU Naomi Sidaway Sollindger told The Astana Times.

By Manshuk Bekentayeva

ASTANA – The International Fund for Saving the Aral Sea (IFAS) is celebrating its 20th an-niversary. The anniversary marks two decades of mixed success in restoring ecological life and pros-perity to the sea and its surround-ing regions after decades of cata-strophic misuse during the Soviet era.

The fund, set up by the leaders of Central Asia at the initiative of President Nursultan Nazarbayev, brought the plight of the Aral Sea to the global stage. It worked with ecologists from around the world to introduce new clean and safe alter-native technologies and establish high standards of environmental protection. The fund has sought to play an important role in fostering international cooperation among the different governments of Cen-tral Asia to coordinate and organise the joint management of water re-sources in the Aral Sea basin.

The Aral Sea used to be one of the four largest lakes in the world with an area of 68,000 square kilo-metres (26,255 square miles), but it has been steadily shrinking for half a century since the rivers that fed it were diverted by Soviet irrigation projects beginning in the 1960’s.

The shrinking of the Aral Sea has been called one of the planet’s worst environmental disasters. The region has once a prosperous fish-ing industry but it was totally de-stroyed, bringing unemployment and economic hardship to the re-gion. The Aral Sea region was also heavily polluted causing serious public health problems. The retreat of the sea also caused local climate change, with summers becoming hotter and drier, and winters colder and longer.

On March 26, 1993 the five heads of states of Central Asia cre-ated the Aral Sea Fund at a summit in Kyzylorda, in the south west of

Kazakhstan, and agreed to work together to restore the environment and revive the socio-economic de-velopment of the Aral Sea region.

IFAS has played a coordinating role in overcoming the Aral Sea cri-sis. It has worked with the United Nations Development Programme, the United Nations Environment Programme, UNESCO, the World Bank, the Asian Development Bank, TACIS and the governments of donor countries including Den-mark, Germany, Israel, Canada, the Netherlands, the United States, Switzerland and Sweden.

From 1995 to 2010, the fund im-plemented two Aral Sea Basin Pro-grammes: ASBP-1 and ASBP-2. These programmes, carried out with the support of the government of Kazakhstan, managed the water resources of the Aral Sea, rehabili-tated zones of ecological disaster and provided clean drinking water. They improved the health levels of the inhabitants of the region, and reduced poverty and unemploy-ment.

“In Kazakhstan’s region of the Aral Sea, we carried out a major project to regulate the bed of the Syr-Darya River and to preserve the northern part of the sea at a cost of $85.8 million. We also succeed-ed in raising the water level in the sea from 39.90 metres (139.9 feet) to 42 metres (137.8 feet),” IFAS Director Medet Ospanov said.

IFAS built or repaired 195 km (121 miles) of water mains built and repaired in the Aral Sea region in its 2002-2010 programme to im-prove the supply of drinking water. It constructed the Aral-Sarybulak, Zhidelinsk, and Kentau-Turkestan major water pipelines. It rebuilt the Aral-Sarybulak group water line by laying 22 km (13.67 miles) of new cast iron pipes.

Working with the State Pro-gramme for Development of Edu-cation in Kazakhstan, the fund built 21 educational facilities in

the region from 2005 to 2011. And working with Kazakhstan’s State Programme of Public Health Re-form and Development, it built 16 healthcare facilities in the region from 2004 to 2008.

In April 2010, UN Secretary General Ban Ki-moon visited the Aral Sea region. In meetings with the leaders of the Aral states, he paid special attention to the prob-lems of safety and ecology of the region. Ban Ki - moon has sup-ported IFAS in its efforts to boost the social and economic develop-ment of all the countries of Central Asia and he continues to provide extensive assistance to the region through UN agencies.

The fund received another boost at a special summit of the five leaders of the Central Asian na-tions dedicated to it held in Al-maty in April 2009. In May 2012, the board of IFAS approved a new ASBP-3 action programme for 2011 to 2015.

An international conference on “Ecology of the Aral Sea: Sustain-able Development and Interna-tional Cooperation” was held in Dashoguz, Turkmenistan on March 27-28.

IFAS Chairman Sagit Ibatul-lin hosted the conference which included delegations from all five Central Asian nations, UNDP, UNEP, the UN Food and Agricul-tural Organisation, the European Union and the UN Economic Com-mission for Europe.

The agenda included regional environmental policy, the chang-ing ecology of the sea, halting the spread of deserts in the region, protecting its biodiversity, refor-esting it and sustaining its water resources.

“The main goal of the conference was to draw international attention to the state of the ecosystem of the Aral Sea. It also developed new approaches to improve the current situation,” Ospanov said.

● On April 3, Prime Minis-ter Serik Akhmetov reported to President Nursultan Nazarbayev on the country’s development in the first quarter of 2013. The president said the country needed to maintain its pace of develop-ment and prepare for the spring sowing campaign. He said the major railway and road-building programmes needed to be com-pleted rapidly. “Our national so-cial and economic development is proceeding well and this year the economy should grow by 4.3 percent,” he said. “If construction projects give us more impetus, we will have 4.5 percent growth,” the prime minister said. Akhme-tov said the Affordable Housing Programme might even boost this year’s growth rate to 6 percent. He briefed the president on the new per capita financing plan to help schools in remote and poor areas.

● President Nursultan Nazarbayev discussed the main aspects of the country’s diplomatic activity with Foreign Minister Er-lan Idrissov on April 4. Idrissov briefed the president on the current work of the foreign ministry.

● Majilis Speaker Nurlan Nig-matulin met with employees of “OzenMunayGas” in Zhanaozen on April 4 and discussed health-care, education, social services, and pension reform with them. “It is very important for us to see for ourselves what really worries people,” the Speaker said. “For the law to be effective, we need to know how it will affect the life of ordinary people and how it impacts on the development of a region.”

● The government has formed a new National Commission on Personnel Policy to create a new top managerial echelon for the national civil service, Gabidulla Abdrakhimov, the deputy head of the Presidential Administration, told a briefing at the Central Com-munications Service on April 3. President Nursultan Nazarbayev set up the commission by presi-dential decree on March 7. It first met on April 2, he said. The pres-ident named Marat Daueshov, head of the civil service and the personnel policy department of the Presidential Administration as secretary of the new commis-sion.

● Under a new bill, the re-tirement age for women will be raised by a total of five years over the next decade, Labour and So-cial Protection Minister Serik Ab-denov told the Cabinet on April 2. The retirement age will be raised by six months every year, he said. At the end of that period, women would retire at the same age as men, and thus receive increased pensions, he said. Abdenov said women account for 3.8 million, or 45 percent of the work force, but their average pension savings is 25 percent less than those of men. He said women had shorter periods in the work force to accu-mulate pension savings and also suffered from gender differences in salaries. The government has now sent the bill to the Parlia-ment for consideration. Earlier, when news first surfaced of the plans, activists throughout the country raised concerns about the proposed increase in women’s re-tirement age.

● A military action parade will be held in Astana on May 7 with 86 aircraft and helicopters, the Minis-try of Defence said. It said the pa-rade would be the first of its kind in Kazakhstan.

● “Kazakhstan is working on the creation of an agency for of-ficial development assistance to countries “KazAID”, Deputy Foreign Minister of Kazakhstan Alexey Volkov announced dur-ing the presentation of the 2013 Human Development Report “The Rise of the South: Human Progress in a Diverse World” at the Ministry of Foreign Affairs.In addition, he said the MFA contin-ues to work on the creation of the Almaty regional hub of multilat-eral diplomacy. “We believe giv-ing the city of Almaty a status of a UN regional centre such as Vi-enna, Bangkok, Geneva would fa-cilitate the implementation of big regional projects, and expand the development assistance to such countries and regions as Afghani-stan and the South Caucasus,” the Deputy Minister added.

Aral Sea Rescue Fund Celebrates 20th Anniversary

Trilingual Education Touted as Right Way Forward

The Aral Sea Fund works to improve current situation of the Aral ecosystem, restore livelihoods.

Employment 2020 programme seeks to create new jobs to reduce unemployment further.

“Language is a very delicate issue where prejudice, mismanagement and misconceptions can easily translate into discrimination…”

Wednesday, 10 April 2013 The Astana TimesА3

ExTERNAl NEWS IN BRIEF

Eurasia and world

By Yuri lee

KYZYLORDA REGION – The first meeting of the Kazakh-Rus-sian Intergovernmental Commis-sion for the Baikonur complex held on March 28 and chaired by Deputy Prime Minister of Ka-zakhstan Kairat Kelimbetov and First Deputy Prime Minister of Russia Igor Shuvalov once again demonstrated the commitment of the two countries to cooperate at

the space complex. At 2:43 a.m. on Friday, the meeting’s partici-pants witnessed another success-ful launch of the manned space-craft Soyuz TMA-08M.

“The main principle of coop-eration in Baikonur is a mutually beneficial partnership and uncon-ditional commitment to the agree-ments signed by the presidents of Russia and Kazakhstan in 2004 on the extension of terms for leas-ing Baikonur up to 2050,” Deputy

Prime Minister Kelimbetov said at the briefing.

First Deputy Prime Minister Shuvalov in turn paid special at-tention to the high potential of the complex, the implementation of joint programmes in the aerospace industry and other areas that could benefit Baikonur residents. In addi-tion, he pledged that the two coun-tries have no differences regarding the coordination of space launches from Baikonur, stressing that the schedule for 2013 has already been approved. Moreover, an agreement on developing a launch schedule for the medium term was reached. Then Kelimbetov and Shuvalov signed the minutes of the meeting.

Development of a roadmap for joint use of the Baikonur complex and a draft of a new intergovern-mental agreement on further coop-eration in its use were among the key topics of the meeting. The ba-sic provisions of the roadmap must be prepared for the meeting of the two presidents, scheduled for late May 2013. The parties worked on an improved version of the new legislation concerning the joint use of the complex leased by the Russian side as well as the town of Baikonur.

The status of the town of Baikonur came under scrutiny too, relating to increasing Kazakhstan’s government’s involvement in the socio-economic development of the town, where new education and health care infrastructure facilities are planned to be constructed. For the first time, individual houses and apartments will be built there and local residents will be able to own them privately.

Kazakhstan’s space agency’s part in Russia’s long-term projects, not only at the Baikonur Cosmo-drome but also in Russia, was also considered.

During the working visit, the heads of the delegations, chairman of Kazkosmos Talgat Mussabayev and head of Russia’s Space Agen-cy Vladimir Popovkin, as well as representatives of ministries and departments of the two countries visited sites in the town and the spaceport.

Kazakhstan, Russia Advance Cooperation at Baikonur

By Maryam Turezhanova

KIEV – Kazakhstan’s Prime Minister Serik Akhmetov on April 4 signed an agreement in Kiev to expand ties with Ukraine. The prime minister signed a new Kaza-khstan-Ukraine Joint Action Plan (JAP) for 2013-2014, also known as Roadmap-4, with Ukrainian Prime Minister Nikolai Azarov on the first day of his visit. The two countries also agreed to boost co-operation in energy, transport, en-gineering and agribusiness.

Kazakh-Ukrainian relations have always been good, but are now ex-panding rapidly. In 2012, bilateral trade totaled $5.5 billion, 24 per-cent higher than in 2011.

“We are very pleased to visit Kiev,” Akhmetov said. “We have just celebrated the 20th anniver-sary of establishing diplomatic relations and we continue to main-tain stability, interethnic peace and harmony.”

“Ukraine is one of our most im-portant trading and political part-ners. Largely thanks to the construc-tive dialogue between our heads of state, Kazakhstan and Ukraine have reached a high interaction plane. We have a lot of common points in eco-nomic and trade direction and are willing to work together in energy, transport, and space development,” the Prime Minister said.

In preparation for the prime min-ister’s visit, the Kazakh-Ukrainian Intergovernmental Commission for Economic Cooperation held its 11th meeting in Kiev.

Ukrainian Prime Minister Azarov said cooperation was already ad-vanced in the fields of aerospace, energy, transport, agriculture, sci-ence and technology.

Akhmetov and Azarov agreed to launch a cooperation programme between the Ukrainian and Kaza-khstan’s national space agencies for 2014-2015. They also discussed closer ties in the oil and gas sec-tor, energy security and expanded Ukrainian business participation in Kazakhstan’s Programme of Advanced Industrial-Innovative Development (PAIID). Akhme-tov invited Azarov and Ukrainian businessmen to participate in the Astana business forum.

“The agenda of the talks was extensive and included many is-sues,” Akhmetov said. “Our coun-tries believe in good prospects for cooperation, and there is sufficient potential for it.”

A cooperation programme was also launched in science and tech-nology between Kazakhstan’s Ed-ucation and Science Ministry and the Ukrainian State Agency of Sci-ence, Innovation and Information for 2013-2017.

● President Nursultan Nazarbayev paid an official visit to China on April 5 and held talks with new President Xi Jinping. They discussed the strategic partnership between the two countries and bi-lateral cooperation in the United Nations, the Shanghai Cooperation Organization (SCO) and the Con-ference of Interaction and Confi-dence-Building Measures in Asia (CICA). President Nazarbayev gave a speech to the Boao Forum for Asia on “Asia Seeking Devel-opment for All: Restructuring, Re-sponsibility and Cooperation.”

● Ukraine is interested in restor-ing the direct gas supplies from Ka-zakhstan it received before 2005, Ukrainian Prime Minister Nikolay Azarov told Kazakhstan’s First Deputy Prime Minister Bakytzhan Sagintayev in Kiev on April 2. “We are ready to expand cooperation in the use of transport, in particular of our pipelines. I think Kazakhstan is interested in this as well. It has sufficient oil and gas reserves and it could trade with us not only through Russia, but also directly, the way it did before 2005. This would serve the interests of both countries,” he said. Azarov wrote on his website that the Common-wealth of Independent States (CIS) free trade zone permitted such an agreement. Azarov also said Ukraine wanted observer status in the Customs Union of Russia, Ka-zakhstan and Belarus.

● Rosneft Chairman Igor Sechin has asked Russian Prime Minis-ter Dmitry Medvedev to make his company the sole coordinator of all Russian oil supplies to Kazakhstan, including oil supplies through Ka-zakhstan to China. Currently four other companies have those con-tracts. Sechin said the proposal would generate additional income for the Russian government and that it was already supported by Russia’s Federal Customs Service and approved on the operational level by Transneft and Gazprom Neft. Currently Russia’s Ministry of Energy is the only major gov-ernment body that opposes the pro-posal. Russia sends 4 percent of its total oil exports to Kazakhstan. It exported 0.6 million tons of oil to Kazakhstan in February.

● Jonathan Powell, former chief of staff of British Prime Minister Tony Blair, gave a lecture at State Management Academy on “Mod-ern Trends in Personnel Manage-ment in State Service.” The lecture was attended by senior executives of the Presidential Administration, the State Service Agency, state ministries and regional governors. Powell discussed the difficulty of removing incompetent senior of-ficials. “When we came to power in 1997, there was a high-ranking official in (Britain’s) Ministry of Agriculture who was fully ac-countable for the outbreak of mad cow disease in the country. Noth-ing happened when we asked him to resign. We were told that it was impossible to fire him and the best option was to promote him to take him out of this position. Therefore, we had to promote him and even that was too difficult. Finally, we had to pay him 1 million pounds in termination fees. It is very dif-ficult to get rid of such unwanted officials,” he said.

● Foreign Minister Erlan Id-rissov called on Asian countries to cooperate in water resource management and in ensuring food and energy security during his trip to Tajikistan on March 29. Idrissov was attending the 11thmeeting of Foreign Ministers of the Asia Cooperation Dialogue (ACD). “According to the United Nations, 1.5 billion people in the world currently have no access to electricity and another 2.4 bil-lion are not provided with fuel,” the foreign minister said. “That is why Kazakhstan chose the Future Energy theme for EXPO 2017 in Astana.” At the ACD, Idrissov met with foreign min-isters Ali Akbar Salehi of Iran, Erlan Abdyldayev of Kyrgyzstan, Zalmai Rassoul of Afghanistan and Sheikh Sabah Al-Hamad of Kuwait. The Asia Cooperation Dialogue was established in 2002 and currently includes 32 coun-tries. Kazakhstan views the ACD as a complementary platform for the Conference on Interaction and Confidence-Building Meas-ures in Asia (CICA) initiated by President Nursultan Nazarbayev in 1992. Kazakhstan coordinates three ACD projects in agriculture, transport and energy.

PM Visit Expands Ties with Ukraine

Iran Nuclear Talks in Almaty End Without Breakthrough, Parties Agree to Stay in Touch on Future Steps

Astana and Moscow to continue cooperation in space.

Serik Akhmetov (l) and Nikolai Azarov (r) reached a number of agreements during their meeting in Kiev.

From Page A1

During the earlier round of high-level talks held in Almaty at the end of February, it was agreed by the negotiators that Iran would re-spond to a revised proposal intro-duced by world powers in February which calls on Tehran to suspend its enrichment of uranium and dis-able the underground Fordow fa-cility in exchange for limited sanc-tion relief.

At that point, the Iranian side demonstrated little readiness to accept those proposals unless its right to develop peaceful nuclear programmes was recognised. As in February, this Iranian delegation was headed by Jalili while the Eu-ropean Union foreign policy chief, Catherine Ashton, represented the P5+1, also called EU3+3 group: China, France, Russia, the United Kingdom, the United States and Germany.

On Thursday, April 4, Jalili said the upcoming negotiations in Al-maty must recognise Iran’s “right to uranium enrichment.” Accord-ing to him, “recognising Iran’s nuclear rights, especially the rights of enriching uranium,” would fa-cilitate a solution to the country’s nuclear issue.

“I remain always cautiously opti-mistic. But I am also very clear that it is very important that we do get a response [from Iran],” Ashton told international reporters in Ankara, Turkey, prior to the negotiations.

At the conclusion of the talks, delegation leaders expressed their gratitude to the talks’ hosts.

“We would like to thank the Ka-zakh government once again for its excellent hospitality,” Ashton said. Jalili began his speech at the final press conference by saying, “I start by thanking the brotherly govern-ment and people of Kazakhstan for hosting the second round...”

“I offered Almaty as a venue for

negotiations in the hope that the experience of our young country would be useful,” President Nur-sultan Nazarbayev wrote in an es-say published in The Washington Times. “We support the peaceful use of nuclear power. No other country can match our achievement of voluntary denuclearisation.”

“Negotiation is a time-consum-ing process. For a long time, par-ties could not decide where to hold these talks. The fact that they reached a consensus to hold them in Almaty is a sign of a progress in negotiations,” Zhanbolat Ussenov, spokesman for Kazakhstan’s Min-istry of Foreign Affairs, said. He also noted that Kazakhstan’s role is that “through hosting the talks, we contribute to the strengthening of regional stability and security.”

“Kazakhstan does not exist separately from either the region or from the world. We are part of world society. In 20 years, our country has achieved justified au-thority as a consistent advocate of disarmament and security proc-esses. Hosting the talks on Iran’s nuclear programme in Almaty is a subsequent contribution to the processes which we consistently maintain,” he emphasised.

Following the talks, Kaza-khstan’s Foreign Ministry issued a statement in which it said that “de-spite the differences in evaluations [of the talks’ outcome], participants in negotiations are optimistic about continuation of the negotiation process. The solution of Iran’s nu-clear programme has a significant role for global stability and secu-rity. Rapprochement of parties in the talks of this difficulty and im-portance for the world community requires a long time. The positive outcome of the Almaty meeting is the agreement to continue the proc-ess of negotiations.”

“The Republic of Kazakhstan is not participant of the negotiations

and does not take direct part in it. At that, Kazakhstan welcomes the intention of the parties to continue negotiations on Iran’s nuclear pro-gramme and expresses hope that parties would reach a mutually accepted agreement,” the foreign ministry continued.

“Kazakhstan remains a consist-ent supporter of nuclear non-pro-liferation, and our country is ready to continue to provide maximum assistance to the settlement of the situation around Iran’s nuclear pro-gramme through diplomatic means for the benefit of stability and secu-rity in the region and the world,” it said adding that “Kazakhstan also gratefully accepts gratitude and ap-preciation of the level of organiza-tion of the meeting expressed by all delegations that took part in this round of negotiations.”

The delegations of participat-ing nations were headed by As-sistant Minister of Foreign Affairs of China Ma Zhaoxu, Director-General for Political and Security Affairs at the Ministry of Foreign Affairs of France Jacques Audib-ert, Office Political Director of the Ministry of Foreign Affairs of Germany Hans-Dieter Lucas, Sec-retary of Iran’s Supreme National Security Council Saeed Jalili, Deputy Minister of Foreign Af-fairs of Russia Sergey Ryabkov, Office Political Director of the Foreign and Commonwealth Of-fice of the United Kingdom Simon Gass and U.S. Undersecretary of State for Political Affairs Wendy Sherman. Catherine Ashton, EU High Representative for Foreign Affairs and Security Policy, co-chaired the talks.

Iran and the P5+1 have already

held several rounds of talks, the last of which took place in Almaty on February 26-27.

The most recent round of P5+1 talks on Iran’s nuclear programme at the expert level was held in Is-tanbul on March 17-18. The P5+1 presented to the Iranian side a more detailed version of the proposals they presented at the Almaty talks in February.

Kazakhstan has played an active role in non-proliferation and was one of the first countries to uni-laterally and totally renounce nu-clear weapons when it gave up the fourth-largest nuclear arsenal in the world in the early 1990’s. President Nazarbayev took another historic step towards nuclear disarmament when he issued a decree to close the Semipalatinsk nuclear test site on Aug. 29, 1991 in Almaty.

Catherine Ashton (l), EU High Representative, co-chaired negotiations along with Saeed Jalili (r), Secretary of Iran’s Supreme National Security Council. They agreed to stay in touch on future steps after consultations in capitals.

Wednesday, 10 April 2013The Astana TimesА4

EconomyBUSINESS

NEWS IN BRIEF

● A three-day exhibition on mod-ern building technology in Astana was held at the Korme complex in Astana from March 27 to March 29. It displayed construction tech-niques, finishing materials, ventila-tion, heating and sewerage systems, gas, water and energy conserva-tion, construction machinery and equipment, construction and road materials from companies in Ka-zakhstan, Ukraine, Russia, China and Germany. The event was or-ganized by the city government of Astana and the Atakent-Expo Exhibition Company with the sup-port of the Ministry of Industry and New Technologies.“Our goal is to present new energy conserva-tion and efficient technologies,” Salauat Dembay, director of the Department of Architecture, Ur-ban Planning and Construction at the Ministry of Regional Develop-ment, said.

● On March 27-28, Askar Mamin, chairman of Kazakhstan Temir Zholy (Kazakhstan State Railways) visited China, where he met with Transport Minister Yang Chuantang, Lianyungang Mayor Yang Xingshi, the managers of Lianyungang port and executives from Chinese transportation and logistics companies. They dis-cussed Kazakh participation in the expansion project Lianyungang Port to transport Kazakhstan’s exports to Southeast Asia, and the transportation of Chinese exports through Kazakhstan to Central and South Asia, Russia, Europe and the Caucasus. Mamin and Yang discussed increased coop-eration between their national railway systems and the opening of the new Altynkol – Khorgos rail border crossing. Cross border rail trade expanded to 16.5 million tons in 2012, a 9 percent increase on 2011. The two countries plan to expand the volume of cross bor-der rail trade by 18 percent to 19.5 million tons per year.

● On March 14, Kazindustriya Director General Mohammad Daud addressed a delegation of businessmen from Afghanistan planning to invest in Kazakhstan. “Kazakhstan has created favour-able investment climate,” Daud said. “We will supply the neces-sary information to Afghan busi-nessmen. We are ready to help with any visa issues,” Daud said, adding that Kazakhstan held a leading position in the region and was therefore an important strate-gic partner for Afghanistan. “As now there is practically no indus-try and production in Afghanistan, we are interested in all sectors of Kazakhstan’s economy including food, flour, construction materials and oil products. Afghanistan im-ports 70 percent of its wheat from Kazakhstan,” he said. “The main obstacle to the development of the Afghan business sector is a tran-sit corridor. We have a very weak infrastructure. It cannot carry the necessary volumes of freight. Therefore, Afghanistan needs to enter the Commonwealth of Inde-pendent States railway coopera-tion organisation. Afghanistan’s business leaders also lack the nec-essary information about Kaza-khstan. These meetings need to be held on a regular basis. They make our cooperation stronger. And they give Afghan businessmen the opportunity to study the business structure in Kazakhstan.”

● On March 14, a seminar or-ganized by the Rietumu Bank was held in Almaty to discuss increased business cooperation between Kazakhstan and Latvia. Rietumu is the largest private Latvian bank. National Economic Chamber and Atameken Union Vice Chairman Eldos Ramazan, Senator Gani Kassymov and Latvian Ambassador Yuris Mak-lakovs participated. The Latvian side said they wanted to create business partnerships and could act as intermediaries between the companies of Europe and Asia. “This seminar is the first effort to get Kazakhstan businessmen to in-vest in our country,” Ambassador Maklakovs said. “Our main inter-national airport has direct flights to 80 locations around the world and three ports on the Baltic Sea. Kazakhstan businessmen can use them. We are interested in gaining export overland access to China and other countries in Asia.” Rei-tumu officials said Kazakhstan businessmen should buy real es-tate and acquire residence permits in their country which would give them the right to travel freely all 27 European Union countries.

By Yernat Mukhamadiyev

ASTANA – Kazakhstan’s do-mestic drug market experienced booming growth of up to 15 per-cent last year.

Fueled by demand from a rapidly expanding middle class and a gen-eral rise in the standard of living around the country, the domestic pharmaceuticals market grew to a total value of $1.2 billion in 2012.

Kazakhstan’s domestic pharma-ceutical market is young and only opened in the mid-1990’s. Today it is one of the developed in the Com-monwealth of Independent States and since 2000 it has expanded by 500 percent. The domestic pharma-ceuticals industry is expanding to try and meet the growing demand.

President Nursultan Nazarbayev in his December 14 state of the

nation address stressed the impor-tance of improving national medi-cal services. This will include ex-panding the provision of material and technical equipment to medi-cal institutions, raising the level of professionalism of doctors and nurses and introducing modern management practices into medi-cal care. All these processes are addressed by the Strategic Health Development Plan to 2020.

The Salamatty Kazakhstan State Programme of Health Develop-ment for 2011 - 2015 has set the goals of:

• changing to low-cost forms of medical care

• providing preventative indus-try

• increasing availability and quality of care

• expanding social services

• improving the training of medi-cal staff

• adapting health care pro-grammes to modern requirements

• introducing market mecha-nisms

Under the 2011-2015 pro-gramme, additional funds are be-ing allocated from central and local budgets for health care im-provement.

Vyacheslav Lokshin, president of the Association of Foreign Phar-maceutical Producers in Kaza-khstan, told The Astana Times that the government is currently invest-ing 4 percent of Gross Domestic Product (GDP) in the domestic pharmaceutical industry and that figure will rise.

Lokshin said the domestic phar-maceutical industry would grow by another 15 percent this year, thanks

to increased government invest-ment, growing foreign investment and Kazakhstan’s participation in the Customs Union with Russia and Belarus.

“I think that the market of Kaza-khstan is very interesting thanks to international pharmaceutical man-ufacturers who produce innova-tive drugs for patients with serious diseases. Investments are growing and will grow,” he said.

Lokshin said foreign investment in Kazakhstan’s pharmaceuticals industry is growing. He said for-eign pharmaceutical companies have invested at least $100 million in it over the past two years. For-eign investors have bought several factories to modernise and expand them.

Lokshin said the government should raise regulatory standards

over the pharmaceutical industry to European Union levels. “We are coming closer to the requirements of the European Union and the United States,” he said. “There are still barriers that should be over-come in the form of certification. However, we are working with the Ministry of Healthcare in this direction. I think that in the next few years we will have the same requirements.”

Lokshin said Kazakhstan’s ac-cession to the World Trade Organi-zation (WTO) will not affect the pharmaceutical industry. “We have a favourable situation in Kaza-khstan, there is no value added tax (VAT), no duties on drugs and the costs are not very high. I think that there will not be any large fluctua-tions in prices,” he said.

IHS Global Insight said Kaza-khstan imported medicines worth 142 billion tenge ($940 million) in 2011, comprising 86 percent of all pharmaceuticals used in the coun-try. The government has announced plans to increase production to 50 percent in 2014, and has worked to improve the quality of local prod-ucts made by foreign companies.

IHS Global Insight analyst Kavita Rainova said that in 2012, local companies produced only 15 percent of all pharmaceutical products used domestically and the government should set a less am-bitious goal. “One of the positive factors of accession to the WTO is that foreign investors will need to comply with the Agreement on Trade-Related Aspects of Intellec-tual Property Rights,” she said.

The government still wants to expand domestic pharmaceuticals production and exports. However, it recognises that full access to foreign markets will only be pos-sible after reorganising domestic production in accordance with in-ternational standards.

Several Kazakhstan companies are already successfully operating in Russia and Belarus. The Khim-pharm Company annually exports more than 90 different products.

The pharmaceutical industry is the fastest growing sector of the economy.

Serik Sultanov, president of the FarmMedIndustry Association said that 90 percent of the medicines produced domestically came from five large pharmaceutical compa-nies: Khimpharm, Global Pharm, NobelAFF, Romat and Karaganda.

All these companies already have foreign partners who have invested $180 million in them.

Sultanov said the country’s do-mestic pharmaceutical companies had set the goal of eventually ex-panding their exports to the coun-tries of the European Union.

By Galiya Nurzhan

ASTANA – KEGOC, the Ka-zakhstan Electricity Grid Operat-ing Company, will issue its Initial Public Offering (IPO) of shares by the end of June, a press conference was told on March 18.

KEGOC is part of the Samruk Kazyna National Welfare Fund. The move follows the first suc-cessful IPO offering issued by KazTransOil (KTO), the coun-try’s largest oil pipeline company, late last year. Later this year, Ka-zTransGas (KTG) and Samruk Energo will also issue their IPO shares offerings, the press confer-ence was told.

Deputy Prime-Minister Kairat Kelimbetov told the press con-ference that the first round of the People’s IPO Programme had been a success. The value of the new shares had increased and boosted the value of KazTransOil (KTO) in 2012. The company reported a net profit of 33.5 billion tenge ($220 million) in 2012, a 29.1 percent in-crease on 2011.

“Since offering shares in Novem-ber-December 2012, the share price has increased by 10-14 percent,” Kelimbetov said. “The demand for KTO’s shares was oversubscribed by more than two-fold, after they were issued at a price 725 tenge ($4.80) per share. Since trading started, the share price has risen to 800 ($5.30) to 830 tenge ($5.50).”

“KazTransOil will distribute dividends for 2012 and direct more than 40 percent of its net profit into its shareholders’ dividends. The shareholders will receive returns on their investments and invalu-able experience of co-ownership of the largest national assets,” Kel-imbetov said.

Halyk Finance has revised its forecasts for KTO shares and projects that their value will con-

tinue to rise. Experts say the cost of oil transportation services in 2012 grew only by 4.2 percent - to 2,103 tenge/1,000 kilometres ($13.94 for 600 miles), which is below the inflation rate for the year and the recent rate of cost growth (8,6 percent in 2010, 13.1 percent in 2011).

“I can definitely say profits will be higher in 2013, because the tar-iff for oil transportation was raised on Dec. 1, 2012 for both the do-mestic and foreign markets. The

company’s profit will rise signifi-cantly, 30 percent in 2013 above that of 2012,” KazTransOil Direc-tor General Kairgeldy Kabyldin told the press conference.

KazTransOil issued 38,463,559 shares (just under 10 percent of its total shares) on the Kazakhstan Stock Exchange (KASE) in 2012 and they were bought by 34,000 private investors and 10 pension funds. In Almaty, 4,200 people bought 48.06 percent of the entire IPO issue, in Astana, 2,500 bought

14.35 percent, in Aktobe, 4,785 bought shares, in Atyrau, 4,595, and in Mangistau, 4,614.

Samruk Kazyna announced the basic documents for the KEGOC IPO issue have already been pre-pared. KEGOC currently has 10,767,297 shares in circulation at a nominal value of 10,000 tenge ($66.27) each. The company’s registered capital is 106.8 billion tenge ($710 million). Its revenues came to 71.674 billion tenge ($475 million) and its net profits came to 6.941 billion tenge ($46.3 million).

New oil tariffs will increase the profitability of the company over the next three years.

Independent Kazakh and foreign consultants have worked on pre-paring the new IPO issue including Halyk Finance as financial consult-ants, Citigroup Global Markets as international financial consultants, Dechert as legal advisors, Fichtner as technology consultants, Deloitte as a consultant firm to review fi-nancial reporting procedures, Due Diligence and DF King WorldWide (Europe)/APEX Consult.

Until 2006, KEGOC was a 100 percent state-owned company. In 2006, all of the state stock was transferred to the Samruk Kaza-khstan Holding for Management of State Assets as payment for the placed shares. In 2008, the merger of Kazyna Sustainable Develop-ment Fund and Samruk Kazakhstan Holding for Management of State Assets created the Samruk-Kazyna National Welfare Fund which now owns all KEGOC’s shares.

KEGOC’s main goal is to main-tain the steady operation of the country’s unified energy system and to exercise reliable control of the National Power Grid maintain-ing engineering, economic and ecological requirements set up by the government. It aims to establish world class operating standards and

to become Central Asia’s most ad-vanced utilities provider by 2025.

KEGOC received a GAMMA-5 (Governance Accountability, Man-agement, Metrics and Analysis) rating from Standard & Poor’s Cor-porate Governance Rating Service on March 15, 2010.

On Dec. 22, 2010, Fitch Ratings confirmed KEGOC long-term for-eign currency Issuer Default Rat-ing (IDR) at BBB and upgraded the company’s prospects from stable to positive. Its short-term foreign cur-rency IDR was confirmed at F3.

On April 20, 2011 Moody’s In-vestors Service confirmed KE-GOC’s senior unsecured debt rat-ing at Baa3 and upgraded its rating from negative to stable. This change reflected KEGOC’s strengthened financial profile in 2010 generated by the national economic recovery, supportive new tariff regulations and a limited reduction of invest-ments compared to 2009.

Experts believe KEGOC’s rat-ings continue to be aligned with the sovereign ratings given the state guarantees for 56 percent of its debt. KEGOC is under full state control and enjoys strong govern-ment support.

KEGOC, as a subsidiary of Samruk-Kazyna, serves as the sys-tem operator of Kazakhstan’s sin-gle power grid. It operates 24,500 kilometres (15,223 miles) of power lines with a capacity of 110-1150 kV and 74 power stations with an installed capacity of transformers of 33.6 GVA.

The People's IPO programme al-lows Kazakhstan citizens to buy shares in the largest national com-panies to share in their profits. The companies issuing the People’s IPO shares were selected from the most stable corporations in the country operated by the Samruk-Kazyna Na-tional Welfare Fund. Ownership of shares in successful companies will give citizens the opportunity to profit from their development and growth through rises in share values and through the payment of dividends.

Kazakh Pharmaceuticals Market Booms

KEGOC to launch IPO by End of June

Wednesday, 10 April 2013 The Astana TimesА5

BusinessECONOMY

NEWS IN BRIEF

By Galiya Nurzhan

ASTANA – On March 14, Prime Minister Serik Akhmetov visited Almaty and met with local busi-nessmen to review progress in implementing the 2020 Business Road Map and the 2020 Productiv-ity, 2020 Exports and 2020 Agri-business plans.

The prime minister visited the KazStroySteklo glass factory where he was briefed about the manufacture of energy-efficient glass. KazStroySteklo is modern-izing its production and increasing the size of its plant.

Akhmetov also visited the Damu Entrepreneurship Development Fund (DEDF) where he was briefed on the fund’s activities. Later, he toured the fund’s Entrepreneurship Service Centre (ESC).

“The ESC’s results in Almaty and Shymkent have demonstrated the high demand of businesses for consultations on state support. This confirms the need to create similar centres in other regions. The Al-maty ESC has already provided 15,000 free consultations,” Damu Chairwoman Lyazzat Ibragimova said.

The Entrepreneurs Service Cen-tre was opened in October 2012. It provides a wide range of services for new businessmen including free information and consulting assisstance, training and advice on methodology, support for invest-ment and business projects and of-fering efficiency evaluations.

The DEDF also offers a platform for direct dialogue between the government and business.

The prime minister also met with the heads of all national busi-ness associations and with more than 60 business leaders to discuss small and medium entrepreneurs’ (SME’s) issues.

Almaty Mayor Akhmetzhan Yessimov, the economics minis-ter, the deputy minister of regional development, the heads of tax and customs committees and top man-agers of major banks also attended the March 14 meeting.

Akhmetov said private enterprise was crucial for Almaty’s social and economic future. Thanks to President Nursultan Nazarbayev’s support Almaty has become the fi-nancial and business centre of the country, he said.

Almaty Mayor Yessimov, Atame-ken Union and National Economic Chamber Chairman Ablay Myr-zakhmetov, Kazakhstan Entrepre-neurs’ Forum Chairman Raimbek Batalov and the heads of Almaty-based companies including Nobel AFF, the AZMK Group, Aksai and Central House Accounting (CHA) delivered progress reports and as-sessed the condition of small and medium-sized businesses in the city.

The discussion was a lively one. Many business leaders told the prime minister about the difficul-ties hindering the private sector in Kazakhstan’s largest city.

Akhmetov said that many legis-lative changes were being planned on licensing procedures, taxation and other areas.

Almaty Mayor Yessimov said the city government was plan-ning its own new tax legislation. He said the city would introduce a new classification of businesses including the listing of micro busi-nesses for companies employing not more than eight people. Small businesses would then be defined as those employing between nine and 100 people and medium-sized businesses as employing more than 100 people. “Accordingly, there is a need to simplify the tax system, especially for micro businesses,” he said.

Atameken Chairman Myrza-khmetov said the protection of property rights was a fundamental issue for small and medium-sized businesses. He said it was also vital to improve the existing licensing system and to simplify licensing procedures on land acts, subsoil protection measures and work in the construction sector.

Association of Furniture and Woodworking Industry President Mikhail Glukhov introduced a package of proposals to improve the tax regime for SMEs on the oversight of state bodies, on tariff policy and on the issuing of per-mits. He urged the need to reform vocational training.

CHA Director General Madi Nu-supbaev urged the introduction of a system of accounting outsourcing and more legal reforms required by SMEs.

The prime minister said effective cooperation was growing between the government and the private

sector. He said business was an ally and partner in modernising the country.

Akhmetov said Parliament had already passed a law to cut all types of licenses and permits by almost 30 percent. Online govern-ment services are being expanded and it will soon become possible to obtain the 80 most in-demand per-mits and licenses through the Inter-net. A draft law to eliminate many licensing procedures where there is no threat to security and human life will be submitted to Parliament by the end of this year.

The prime minister said Almaty served as an economic engine or locomotive to generate growth in all regions of the country. “Forty percent of Kazakhstan’s business is here (in Almaty)]. The opening of the industrial zone and the Park of Innovative Technologies are creating new opportunities in the city,” he said.

Akhmetov said there were more resources available for business and to improve the business cli-mate.

He said the participation of busi-nessmen in industrial and regional development programmes and to evaluate government legislation “would benefit both business and government.”

The prime minister said the government was working to im-prove the financial system, the customs administration and the competitiveness of the country’s businesses to function more ef-fectively in the Customs Union and the World Trade Organiza-tion. The government was ready to consider any proposal from of the business community through the Atameken Union and the Fo-rum of Entrepreneurs of Kaza-khstan, he said.

Since 2010, the Damu Entrepre-neurship Development Fund has been the financial agent and the op-erator of the 2020 Business Road Map programme. It has approved 2,457 agreements on subsidies and 132 loan guarantees worth 590 bil-lion tenge ($3.91 billion) and given state support to 152 businesses in Almaty. DEDF has approved busi-ness grants around the country worth 31.5 billion tenge ($210 mil-lion), including 1.95 billion tenge ($10 million) to companies in Al-maty.

Prime Minister Assesses Business Progress in Almaty

By Aliya Issenova

NORTH KAZAKHSTAN – At North Kazakhstan’s first auction of breeding cattle, 30 yearling bulls of the elite Aberdeen-Angus breed, received from the United States through the KazAgroFi-nance Company, were sold by the Mambetov and K farm for 12 mil-lion tenge.

“Today we are witnessing a successful implementation of a very important project in the field of animal husbandry: we sell not just breeding stock – we sell ge-netics. All animals presented at the auction have a high index as-sessment,” Dimash Talasbayev, acting head of the oblast Agri-cultural Department, said at the opening of the event.

The auction followed the Eng-lish method; with prices increas-ing as bidders competed. The starting price for each head was set individually, but sellers tar-geted a price of 1,300 tenge per kilogramme of body weight. The weight of the animals ranged from 400 to 500 kilogrammes. Over the course of the auction the price of some animals doubled.

“Our farmers are not accus-tomed to such auctions; for many

of them this form of shopping was a novelty and some farmers came just to watch. However, we are pleased with the results: 18 ani-mals in total were sold. We also have potential buyers for the re-maining 12 bulls and some want-ed to buy breeding stock through the classic method of direct pur-chase. We plan to organise the next auction in a year,” said head of Mambetov and K, Erkebulan Mambetov.

Mambetov and K’s auction was funded by KazAgroFinance as part of the company’s com-mitment to invest in creating a network of breeding farms. In 2012, the farm received 198 head of Angus breed heifers from the United States on lease. Today, the farming partnership has the status of a breeding reproducer and its stock of breeding cattle is over 360 head.

The KazAgroFinance Company was created by the government of Kazakhstan in 1999. The main goal of the company is to support the development of Kazakhstan’s agricultural sector through pro-viding access for agricultural producers to finance, machinery and technological equipment on a leased basis.

First Regional Cattle Auction Raises 12 Million Tenge

From Page A1

“Local content is very impor-tant. Today, the company makes about a third of all its purchases in our country. We want this indicator to grow. I am grateful that you re-sponded to my request and built a factory to make plastic pipes in the Atyrau region. I also want to say that the start of construction of the Palace of Youth in Atyrau is a joy-ous occasion for all local citizens,” the president said.

He said the country’s partnership with Chevron would continue and overcome new challenges. He said further development of the Ten-giz project to increase production would require another $ 7.5 billion in investments.

“There are some new tasks ahead. The company will increase oil production and additionally in-vest about $7.5 billion,” the presi-dent said.

“Oil production at the Kashagan deposit will start in June. After that, Kazakhstan is forecast to be in the world’s top five oil-exporting coun-tries. We have set the task of enter-ing the 30 most developed countries in the world by 2050 and therefore, we are creating a program of indus-trial-innovative development for the country. I am sure that Chevron will take part in it very actively. It is necessary to work together with the government. You should build enterprises in mining and refining, manufacturing the equipment for oil production and refining. You should create new jobs and busi-nesses,” he said.

[The Kashagan oil field is devel-oped by an international consor-tium of European, American, Ka-zakh and Japanese firms and does not include Chevron.]

U.S. Secretary of State John Kerry congratulated President Nazarbayev and Chevron’s former chairman

and CEO Kenneth Derr for their strategic vision which launched the mutually beneficial relationship be-tween Kazakhstan and Chevron 20 years ago through the creation of Tengizchevroil (TCO). That agree-ment to develop the supergiant Ten-giz and the Korolev oil fields made Chevron the first major international oil company to invest in the newly independent Kazakhstan.

“In many ways, that agreement laid the cornerstone for the suc-cessful economic relations that have developed between the Unit-ed States and Kazakhstan,” Sec-retary Kerry wrote in his letter to President Nazarbayev read out at the occasion by U.S. Ambassador to Kazakhstan Kenneth Fairfax.

“The world was a different place

20 years ago, and reaching this agree-ment required vision and courage. Kazakhstan was a young and as yet untested country searching for a path forward in a modern, globalizing world. Having lived for decades under a centrally planned economy, it took courage for the relatively new Gov-ernment of Kazakhstan to make the decision to place its trust in an Ameri-can company and to embrace mar-ket-oriented economic policies that emphasize cooperation, rule of law, and sanctity of contracts. Similarly, it took vision on the part of Chevron to make a massive, strategic investment decision in a land-locked country that had only recently declared independ-ence,” Secretary Kerry noted.

“As we now know, those cou-rageous and visionary decisions

made 20 years ago have paid enor-mous dividends. The people of Kazakhstan have benefited, and will continue to benefit long into the future, both from the decision to work with Chevron and from the more fundamental decision of the Government of Kazakhstan to follow open, market-oriented poli-cies. Chevron has invested billions of dollars into the Kazakhstani economy, generating thousands of jobs and billions of dollars in rev-enue for Kazakhstan as it trained a generation of Kazakhstani profes-sionals. As a pioneer investor in a new market, Chevron also helped pave the way for many more bil-lions of dollars in investment by other U.S. and international com-panies,” the letter continued.

“I would like to congratulate the people of Kazakhstan for the achievements over the past 20 years and to assure you of the con-tinued friendship and support of the United States of America as you move forward with the addi-tional reforms needed to join the World Trade Organization and to achieve your nation’s goal of be-coming one of the world’s most competitive economies,” Secretary Kerry wrote.

Chevron executives confirmed their readiness for further coopera-tion and announced plans to build a new Palace of Youth in Atyrau.

“Today I am proud to announce an exciting new investment to benefit the children of Kazakhstan. In Atyrau, Chevron is beginning work to build a Palace for Youth. When it is complete it will provide new opportunities (for the children of the region),” Chevron CEO John Watson said.

The management of TCO has presented a master plan for future expansion, to extract an additional 12 million tons of oil and increase oil production in existing wells in the Tengiz field.

“This project provides an opportu-nity for TCO to expand production for an additional 12 million tons of oil and increase oil production from ex-isting wells. New jobs will be created throughout Kazakhstan and especially in the Mangistau and Atyrau regions. A large amount of production will take place in the Mangistau region, so we are here to sign the agreement with the governor of the region,” TCO General Director Tim Miller said.

The parties signed a Memoran-dum of Understanding. The project is now under consideration by the government and, after approval, TCO will start implementing it.

Prime Minister Serik Akhmetov, Head of the Presidential Adminis-tration Karim Massimov, Chevron Chairman John Watson, former Chevron Chairman Kenneth Derr, Managing Director of Chevron’s Eurasia Business Unit Scott Davis and representatives of companies involved in the Kazakhstan’s oil and gas sector attended the event in Astana.

• A conference entitled “Building a Green Economy in Kazakhstan” will be held on April 12, Central Communications Service Spokes-man Altay Abibullayev said. Cabi-net members, ambassadors and European Bank of Reconstruction and Development officials are ex-pected to speak there, he added. The conference will provide a plat-form to discuss sustainable econ-omy developments in the context of EXPO 2017, which will be held in Astana on the subject of Future Energy.

• President Nursultan Nazarbayev will chair a session of the Council of Entrepreneurs on April 10 on improving the business environ-ment and domestic competitive-ness.

• Bazarbay Nurabayev, chair-man of the Committee of Ge-ology and Subsoil Use of the Ministry of Industry and New Technologies announced that a new programme will be drawn up to develop the mineral resources sector from 2015 to 2019. The programme will be prepared as part of the Concept of Geological Sector Development until 2030. It will cover regional projects, pros-pecting, evaluation processes, and exploration.

• Some 65 percent of residen-tial buildings in Kazakhstan con-sume two to three times as more energy each than comparable buildings in Europe, UN Devel-opment Programme project man-ager Bayan Abulkhairova told the scientific conference “Energy audit and energy management - a component of sustainable energy development” on April 2. "The housing stock in the country is 271 million square metres," Ab-ulkhairova said. She said the UNDP recommended monitor-ing energy efficiency in compli-ance with building regulations during the construction process and building green housing with environmentally friendly materi-als.

• Astana is the most expensive city to live in Central Asia, CA-News reported. The rating was made based on expatistan.com website’s survey that calculates and compares the cost of living between cities around the world. Astana’s average cost of living was $2,604. It was followed by Almaty at $2,481, Tashkent at $2,390, Dushanbe at $1,989 and Bishkek at $1,662.

• Inflation in Kazakhstan came to 0.2 percent in March 2013, the Kazakhstan Statistics Agency said. Prices rose by 2.3 percent for pearl barley, by 0.6 percent for pasta and eggs, by 0.5 percent for fish and seafood, fruit and vegetables, by 0.4 percent for rice, dairy products, pasteurized milk and tea and by 0.3 percent for bakery and pastry products. Prices for buckwheat decreased by 1 percent and for sunflower oil by 0.2 percent. Diesel oil prices rose by 6.3 percent, prices for health services by 2.3 percent and for pre-school education by 0.4 percent. Prices for telephone and fax services fell by 7.8 per-cent and for hot water and cen-tral heating by 0.3 percent. Prices for waste collection increased by 7.6 percent, for sewerage by 7.2 percent and for cold water by 5.7 percent.

• The SYSTRA Company in France signed a contract with Kazakhstan Temir Zholy (Kaza-khstan State Railways) on March 5 to design and build a high-speed rail line between Almaty and As-tana. SYSTRA CEO Pierre Verzat and KTZ Chairman Askar Mamin said the agreement marked a dec-ade of successful collaboration. The new rail line will be 1,000 km (600 miles) long and its trains will travel at 250km/per hour (150 miles per hour) and will in-clude a 10 km (six mile) bridge over Lake Balkhash. SYSTRA is involved in every high-speed rail project in France and is currently working on the Southern Europe Atlantic line (Tours-Bordeaux) as a member of the LISEA con-sortium. It is also constructing the Kenitra-Tangiers line in Mo-rocco, HS2 in Britain and is part of the French tender for the Rio de Janeiro-Sao Paulo-Campinas concession in Brazil with the SNCF-Alstom as well as projects in India, Malaysia, Thailand and Russia.

Kazakhstan, Chevron Celebrate 20 Years of Partnership

Angus bulls brought to Kazakhstan from the USA beat sales records.

President Nazarbayev (r) discusses future cooperation with John Watson (l), chairman of Chevron, as other Kazakh and U.S. officials and Chevron executives look on at the April 3 event in Astana.

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Wednesday, 10 April 2013

А6 The Astana TimesEDITORIAl

By Bakytzhan Zhumagulov

The first two years of the State Programme for Education Devel-opment for 2011-2020 have been completed and it’s time to assess its first challenges and achieve-ments.

All the initiatives we are launch-ing have the goal of achieving a new quality in national education, to fulfill the goal set out by Presi-dent Nursultan Nazarbayev in his most recent address to the nation. The most important of them, in my opinion, are e-learning, per capita funding, quality control at the national level, an entirely new teacher training system based on the Cambridge University pro-gramme, and the independent cer-tification of college and university graduates.

We are also working to raise the quality of higher education through upgrading the curricula, academic mobility, inviting more than 1,000 of the best foreign pro-fessors every year and improving interuniversity networking.

E-learning brings the most fun-damental change to the learning process at all levels from elemen-tary school to university. It is no longer a rarity worldwide, but an integral part of everyday life, especially among young people. Not only are students able to read books from computers, tablets and other appliances, but – and more important – a textbook turns into an interactive learning system that can pose questions and explain what is unclear to them. This is complemented by modern multi-media opportunities offering lec-tures and tutorials by the best lec-turers and scientists, assisted by graphics, and video.

All this expertise makes learn-ing much more enjoyable and fruitful: in developed nations making widespread use of e-learning, academic performance is improving by 15 percent to 20 percent. As a result, students enter independent life with far greater stocks of knowledge.

In 2011, we launched a pilot project in 44 educational insti-tutions. Since then, about 600 schools and colleges have joined it, and their number is growing constantly. In three or five years, the vast majority of schools will implement this programme. That will improve knowledge and bridge the gap in education qual-ity regionally, and between urban and rural areas. Regardless of where students live and study, e-learning will provide them with educational materials of the high-est quality.

We have already introduced more than 7,500 digital education-al resources including e-textbooks and manuals, video tutorials, oth-er e-books. They already account for about a third of our secondary education content.

A teacher’s role is not reduced by the new teaching aids. It grows through the effective use of the new learning tools in combination with traditional ones.

With the onrush of informa-tion provided by the Internet and global communications technolo-gies, a student has far more data to digest. Therefore, the role of a teacher changes in quality, making him or her the conductor of a huge orchestra of knowledge presented to young minds. Teachers not only have to teach their subjects, now they also have to research their own information unassisted, find what’s important and filter out useless and even harmful infor-mation.

E-learning in Kazakhstan is in many ways different from other countries. It includes two more levels: management of the learn-ing process and of educational in-stitutions. Teachers get automated tools for academic planning: They can prepare their scheduling, les-son planning, monitoring of the learning progress, and school ad-ministration tasks online.

The Ministry of Education and Science server at Kazakhtelecom and regional servers will store overall information and teach-ware, offering a selection of the world’s best educational resourc-es. They will also filter online

access to harmful and distracting resources. The advantages of this approach are obvious, and the state is prepared to spend any ex-pense on this system.

From September 1, we will launch a pilot project for the per-capita financing of 50 schools in four regions. Eventually the pro-gramme will be universally im-plemented. The project has two aims: first, to equalize conditions for quality education throughout the country; second, to raise its quality.

At present, costs per student differ in various regions by up to 250 percent. Thus, even though we can guarantee free secondary school education everywhere, we cannot yet guarantee that it will be equally effective everywhere. With a per capita normative figure set for each student, equal funds will be allocated that will remove dependence of education quality on the place of study.

Teachers’ wages will be differ-entiated, too. We will create a new special fund to motivate them to be more effective and more moti-vated.

Per capita funding will lead to real competition among schools. As President Nazarbayev said, “Money should follow the stu-dent.” This means that if a student and his or her parents are not sat-isfied with the teaching quality of a school, they are entitled to choose a better one, along with the expenses due to them. That will motivate schools to improve if they want to survive.

The schools will move to the economic management mode and will have supervisory boards. These boards will not be mere fig-ureheads with only nominal func-tions like parent committees. They will be vested with considerable financial responsibilities and with the power to appoint the school’s administration.

Per capita funding is already being successfully applied in pre-school education.

In technical and vocational edu-cation, we have very few profes-sional trainers, and they are un-derpaid: We therefore propose to budget 1.6 billion tenge ($10.6 million) to recruit 1,620 trainers to our vocational schools. But this is only half the story. This training must be tailored to the real requirements of employers, for our graduates to be in demand on the labour market.

We are, in fact, building a com-pletely new qualification system, for which the international experi-ence has been studied and which responds to the real requirements of employers.

The verification of vocational graduates’ qualifications will be carried out, not by schools, but by the employers hiring them. To serve this need, three independent qualification centers have been es-tablished.

A dual education system has been created in which students learn most of the skills they need not in college, but on the job. Lo-cal governments are also respon-sible for graduates’ employment.

The state education savings sys-tem has been designed to expand access to education, and to help families save for their children’s university and college education. In addition to the interest paid on deposits, we are planning to add a state bonus of 5 percent per year and in some categories of 7 per-cent per year. I think it is a good incentive to expand educational opportunities for children, even in families with only moderate incomes.

Another innovation we are in-troducing in higher education is diversification in the funding to it. Today, the main source of funding for students attending domestic universities is student fees, and in private universities they are the sole source of income.

However, international practice shows that universities with di-versified funding sources do bet-ter. Their main income does not come from tuition fees, but from central and local government bodies, businesses, endowments, foundations, philanthropists and other outside organisations. Their students get a more expensive and

sound education compared to the mount of expenditure spent on them. This would be a good model for us to follow as well.

Therefore, public investment in higher education is being in-creased, first through government grants. Three or four years ago, they covered the tuition costs of 20 percent of students. Today, they cover the costs of nearly 33 percent of them.

In addition, our new education savings system over seven years will cover 15 percent to 20 per-cent of tuition costs, and another 20 percent to 25 percent. That will leave 60 percent of tuition costs for students and their families to pay. This is a direct benefit to citizens and a real diversification of financing for higher educa-tion through increasing the share of the state in shouldering these costs, whether they are for state or private universities.

Kazakhstan universities are rap-idly improving in quality. Their focus is on improving their qual-ity of training and response to the economic demand from state companies and the private sector. Universities with a strong teach-ing faculty, modern facilities and teach-ware and effective contacts with the labour market are able to provide sound training. Finland provides us with an example of a country with a system from which we are learning much.

Unfortunately, many private universities still function deplor-ably short of modern standards, mostly in terms of their logistical base and their faculties. They filled the niche of being least expensive institutions, offering only majors with theoretical knowledge, but still charging high tuition fees. In such colleges, often the emphasis is not on full-time education but on a less costly extramural experi-ence. We all know that the quality of such training is poor and in fact those institutions are just “diplo-ma factories” where the level of knowledge is questionable.

Today, their total volume of an-nual graduates outnumbers gradu-ates from more prestigious and reputable establishments. The continuation of this trend is very dangerous.

Another problem is that our uni-versities are oriented to the popu-lation’s demands. They often em-phasize courses for the so-called “prestigious” professions such as lawyers and economists, and for-get about the main consumer they need to serve: the national labour market.

Therefore we need to introduce serious improvements into the system.

We need to carry out a proc-ess of merging smaller universi-ties, strengthening their human resources capacity and orienting their courses to the real needs of the labour market.

Already, the number of univer-sities has been reduced from 149 to 136. This process will continue: It will include a detailed analysis of facilities and teach-ware, facul-ties and the demand for special-ists. We will continue to upgrade the quality of state universities as President Nazarbayev instructed. The total number of students in the system will not be cut; all of them will have an opportunity for further studies.

The author is Minister of Educa-tion and Science of Kazakhstan.

Quality of Education Is Government’s Top Goal

The most recent war in Afghanistan, known as Opera-tion Enduring Freedom, has been going on since the Sept. 11, 2001 terrorist attacks in New York City and Washing-ton, D.C., creating a spiraling effect on the region and the entire world. Getting rid of Al-Qaeda in Afghanistan and their Taliban hosts has been a mission that has cost tens of thousands of lives, and billions of dollars, and will con-tinue to inflict pain and suffering unless the world commu-nity takes concrete steps to improve the situation.

President Nursultan Nazarbayev has acknowledged many times that Kazakhstan is aware of its responsibil-ity for regional security and will continue to contribute to the stabilisation in Central Asia. In his strategy Kaza-khstan 2050, the president has stated that the best way to strengthen regional security is through interregional inte-gration, which will help “solve pressing social and eco-nomic issues.” He has pledged to support “progressive international initiatives,” including Afghanistan’s political reconciliation and reconstruction.

Without pointing fingers, the political stage is dominated by a few key players that continue to engage in action in Afghanistan, less than 400 kilometres away from Kaza-khstan’s southernmost border. The International Security Assistance Force and countries participating in Operation Enduring Freedom, including Kazakhstan, are united in their willingness to support the Afghan government and its people. Regardless of the political agendas of those in-volved, Kazakhstan has always been and will always be for a peaceful and prosperous Afghanistan.

Kazakhstan has already taken specific steps to foster the regional integration process and enhance the relationships of neighbours in the region. President Nazarbayev said in June 2012 that “it is necessary to establish a constant monitoring and information exchange in Afghanistan in the framework of the Regional Anti-Terrorist Structure (RATS) [which is part of SCO]. We suppose that the ap-proval of Afghanistan’s request for Shanghai Cooperation Organization (SCO) observer status will enhance econom-ic and humanitarian cooperation with this country.”

Afghanistan Deputy Foreign Minister Jawed Ludin met Kazakhstan Foreign Minister Erlan Idrissov in Janu-ary 2013 during Ludin’s visit to Kazakhstan to talk about possibilities for close cooperation in countering terrorism. “Terrorism is not exclusively a national problem of Af-ghanistan. This is a regional problem. The approaches to solving it should also be regional. Kazakhstan and Afghan-istan have to closely cooperate in countering terrorism, as the countries are located close to each other and their se-curity issues are linked. This means their solutions have to be linked as well,” Afghanistan’s deputy foreign minister said. Their meeting also covered preparations for the up-coming conference on the Istanbul Process to be held in Almaty in April 2013. Idrissov noted that Kazakhstan has made significant preparations for the conference, in which 13 countries of the region and other interested states will discuss a regional approach to Afghanistan’s problems.

Though there has been mixed public reaction to the Ka-zakh Defence Ministry’s position that Kazakhstan peace-makers will not participate in missions in Afghanistan, Kazakhstan’s indirect involvement in providing transit for NATO military property and personnel from Afghanistan via Kazakhstan will continue to play a significant role for the region. Most recently, another document was signed in Astana by Kazakhstan’s and Italy’s Defense Ministers Adilbek Dzhaksybekov and Giampaolo di Paola. "We have signed the agreement on transit of military property and personnel from Afghanistan via Kazakhstan," Kaza-khstan’s defense minister told the journalists.

Basically, the document guarantees that after the comple-tion of certain legal procedures, Kazakhstan will provide its territory to Italy for transit of its military property and personnel as part of the international forces’ peacekeeping and stabilization mission in Afghanistan. The agreement

provides for transit of Italian personnel and property by rail and air transport. "This agreement is like a continua-tion of the general agreement signed with Italy. This was the purpose of the trip," said Paola.

According to the Kazakhstan Defence Ministry, Kaza-khstan already has similar agreements with the U.S., Ger-many, Spain, Great Britain, France and the North-Atlantic Treaty Organization (NATO) in general.

“The UN is currently performing 15 peacemaking oper-ations. The Kazakhstan Defence Ministry has initiated cer-tain developments in this direction. They were coordinated with the Foreign Ministry and submitted to Kazakhstan’s government and then to the President’s Administration for approval. It is too early to talk about any particular missions before the president makes the decision and the Parliament reviews the suggestions. Of course, the sug-gestions were made with consideration of their political practicability and compliance with Kazakhstan’s foreign policy interests. They do not include missions that may cause a mixed reaction by our major partners or society,” Kazakhstan’s defence ministry stated on April 1, 2013.

The ministry also noted that, according to Kazakhstan President’s decree No.161 dated Oct. 11, 2011 that ap-proved the military doctrine, observance of international obligations to upkeep peace and security, including par-ticipation in peacemaking activities, is one of the major objectives of Kazakhstan’s defense policy.

Kazakhstan’s participation in peacemaking operations is meant to be characterized by the principles of impartiality and retaining full neutrality with a lack of special relations with any of the conflicting parties, including refusals to participate in direct or indirect cooperation in the perform-ance of interests of any of the said parties if that infringes on the interests of other participants of the conflict. Ka-zakhstan hopes the war will end soon and a new era of regional harmony will emerge.

Looking past the conflict and into the future, Afghani-stan is asking for Kazakhstan’s support in entering the Organization for Cooperation of Railways, according to Director of KazIndustry and Center for Modern Af-ghanistan Research expert Mohammad Daud at a recent Kazakhstan-Afghanistan business forum. However, for successful dialogue and solutions, all parties in the region need be involved.

“Transit via our neighboring countries is the main bar-rier for cooperation. Uzbekistan declared a conventional ban that stopped transit of some goods. Our railway station that accepts the goods also has insufficient infrastructure and is unable to properly manage arriving cargoes. What can we do? Afghanistan has its own railroad. It has to take the initiative and enter the CIS (Commonwealth of Inde-pendent States) Organization for Cooperation of Railways. Kazakhstan could support Afghanistan in Russia, so that it can enter this organization more quickly. Then, the transit problem would be fully resolved and we would be able to accept goods independently. Right now, there is no way through... Uzbekistan decides on everything that goes to Afghanistan,” Daud explained.

According to the Kazakhstan Chamber of Commerce, the commodities turnover between Kazakhstan and Af-ghanistan in January-December 2012 reached $321.5 mil-lion. Afghan entrepreneurs are interested in food, flour, construction materials and oil products.

“Kazakhstan has the leading position in the region and Afghan officials realize that. Many of our businessmen also want to invest, but there is currently very little infor-mation about Kazakhstan. There are also visa problems for entrepreneurs. That’s why not all businessmen willing to work can come here,” Daud said.

Officials in Astana hope that in the near future, the proc-esses of integration and economic interdependence will shift the scales of war and establish a pillar of peace. And these aspirations should only be supported.

Regional Cooperation Key to Peace and Stability

Wednesday, 10 April 2013

А7The Astana Times

opinions

By Nursultan Nazarbayev

In February, Kazakhstan hosted a fresh round of talks between Iran and the group of six countries (China, France, Russia, the United Kingdom, the United States and Germany) on Iran’s nuclear pro-gram. The next round of high-level talks start Friday, again in Almaty, amid signs that progress is possibly being made on this complicated and dangerous issue.

I offered Almaty as a venue for negotiations in the hope that the experience of our young country would be useful. Iran is our neigh-bor across the Caspian Sea. We respect the people of Iran and its great history and culture. We con-duct continuous dialogue with Te-hran on many aspects of regional security, including the nuclear issue, and we understand Iran’s concerns. We are convinced that a fair and long-term resolution to all issues related to Iran’s nuclear pro-gram is achievable only by peace-ful and diplomatic means.

As the world’s largest uranium producer, we support the peace-ful use of nuclear power. No other country can match our achievement of voluntary denuclearization after we inherited the world’s fourth-largest nuclear arsenal in 1991, when the USSR was dissolved.

More than 20 years ago, the peo-ple of Kazakhstan made a princi-pled choice in favor of a non-nu-clear-weapons world. That process began in Almaty in 1991 when I signed a decree to close the Semi-palatinsk Nuclear Test Site. It put an end to 40 years of nuclear tests. The power of these explosions was equal to 2,500 atomic bombs dropped on Hiroshima. More than 1.5 million people suffered from those nuclear tests, and the radia-

tion polluted an area roughly the size of today’s Germany.

As an independent state, our position was clear: Kazakhstan should become a state free of nu-clear weapons. We, therefore, signed agreements for the with-drawal of those nuclear weapons and their means of delivery from our country.

In exchange, Kazakhstan gained the status of a non-nuclear-weapon state and international guarantees

of security and territorial integrity from the leading nuclear powers — the United States, Russia, Brit-ain, France and China. With the as-sistance of Russia and the United States, we eliminated the nuclear-weapons infrastructure on our ter-ritory.

In the following years, Kaza-khstan became a leading participant in the global process of strengthen-ing the non-proliferation regime. In 1994, I sanctioned the transfer of about 600 kilograms of highly enriched uranium, which would have been sufficient for the pro-duction of 20 atomic bombs, from Kazakhstan to the United States.

In 2005, with U.S. participation, we completed a project to blend down three tons of highly enriched uranium to a level of low enrich-ment for peaceful use.

Kazakhstan also became one of the initiators of a nuclear-weapon-free zone in Central Asia that was formed in September 2006. We now offer the experience gained from that process in the formation of other nuclear-weapon-free zones around the world, including in the Middle East.

Kazakhstan has also always sup-ported the efforts of the world com-munity on countering the threat of nuclear terrorism.

We remain deeply committed to

supporting nuclear non-prolifera-tion efforts as well as the ultimate goal of global nuclear disarma-ment. Therefore, I fully share the recent call by former U.S. secretar-ies of state and defense, George P. Shultz, William J. Perry, Henry A. Kissinger and Sen. Sam Nunn, for a global effort to reduce reliance on nuclear weapons.

As part of our efforts to support the peaceful use of nuclear tech-nology to generate energy, we have proposed hosting in Kazakhstan a low-enriched-uranium fuel bank under the auspices of the Interna-tional Atomic Energy Agency. I have personally discussed this idea with Iran’s President Mahmoud Ahmadinejad.

At the same time, we regard as unjustified the argument of some countries that possession of nucle-ar weapons is an absolute guaran-tee for security.

Based on our experience of suc-cessful nation-building over the past two decades, we believe that real long-term guarantees of secu-rity result instead from sustainable social and economic national de-velopment along with peaceful and mutually-beneficial coexistence.

Kazakhstan supports the crea-tion of a universal Global Nuclear Security System to combine effec-tive observance of nuclear weap-

ons non-proliferation with clear in-ternational norms for the peaceful and safe use of nuclear energy. We think that a solution to Iran’s nu-clear program can be found in this context. Unfortunately, none of the existing bodies in the area of nu-clear security and non-proliferation can resolve problems of this kind.

That is why I believe the interna-tional community should consider establishing a specialized inde-pendent nuclear arbitration body under International Atomic Energy Agency or United Nations auspices that would draw together the best global specialists in problems of nuclear security, energy and non-proliferation.

This new body could be given the authority to pass rulings on sus-pected violations of international agreements and rules in nuclear activities. These rulings would be the basis for introducing sanctions against states in violation of ac-cepted international norms.

Much has changed in the world since Albert Einstein and other leading scientists pointed to the dangers of nuclear fission in 1946, and the world survived several decades of nuclear-armed super-power confrontation during the Cold War.

Nursultan Nazarbayev is the President of the Republic of Kaza-khstan.

The article first appeared in The Washington Times on April 5.

A Model for Curtailing Nuclear Proliferation

By Rakhman Alshanov

Pension savings, which can only be claimed after 45 years of work, are long-term investments that can, therefore, be used for large infra-structure projects, such as the con-struction of railroads, highways, pipelines and ports.

The world has accumulated con-siderable experience in the use of pension savings. There are three main types of pension schemes. In-dividual-funded, when pension fees paid by the employees or employers are accumulated in individual ac-counts; the solidarity, or unfunded, scheme, organised on the principle of intergenerational solidarity, when pension contributions are not saved, but paid to pensioners; and the dis-tribution system, when pensions are paid from general tax revenues. This type of pension is usually used for payments to vulnerable citizens such as the disabled and paying sur-vivors’ benefits.

States seek to provide reliable pen-sion savings schemes that are also efficient. These funds must work and their idle accumulation would be wasteful. Creating reliable, guar-anteed protection for pension sav-ings is a basic principle when they are used as investment funds. It is an axiom. As a rule, these savings are protected by the state.

Governments can either trust the private business sector to manage pension funds, or they can do it themselves.

Government-directed investment of pension funds is carried out by many leading countries. This prac-tice is satisfactory for the public. At low inflation and in the conditions of a stable economy, the govern-ment’s priority is reliability of re-turns on its investments rather than higher returns from investing in business. Developed nations have had bitter experiences when emi-nent companies, whose shares had been purchased by pension savings funds, collapsed overnight, bury-ing the hopes and future incomes of pensioners. That is why the princi-ple guiding the investing of pension funds remains, “reliability above profitability.”

Many countries such as Chile skillfully use the investment poten-tial of pension funds.

In the initial period of free mar-ket reforms, a romantic mood pre-vailed in economic policies in our country. We thought that, being active pioneers in the introduction of free market policies, we would achieve substantial results on the use of advanced methods of retire-ment savings. We created private funds that accumulated the bulk of pension funds in the country: by Jan. 1, 2013, the number of con-tributors (recipients) of pension funds in the country increased to 8,422,512 and their accumulations grew to 3,183.2 billion tenge ($21 billion). Annual payments to pen-sioners reached 323 billion tenge ($2.14 billion). Currently, there are 11 pension funds in the coun-try. Four of them hold 75 percent of total retirement savings. They are: the People’s Bank of Kaza-khstan with 33.3 percent, SAPF

with 19.6 percent, Ular Umit with 12.6 percent and Grantum with 9.6 percent.

the main problemsThe role of the pension sector in

the economy is growing. The ratio of retirement savings’ ratio to GDP grew to 10.1 percent on Jan. 1, 2013 and the ratio of pension contributions rose to 7.8 percent. The structure of total assets and capital pension funds totaled 107.3 billion tenge ($710 mil-lion).

However, during the 20 years that pension funds have existed in Kaza-khstan, major problems in their op-erations have come to light.

Some successful companies, es-pecially working in raw materials sector, got their shares listed abroad, where they could attract relatively cheap money and subsequently pain-lessly repay it. Other successful com-panies do not intend to place shares on the domestic stock exchange. As a result, the domestic stock market has shrunk.

The government tried to limit the scope of application of pension sav-ings, to protect them from excessive risks. But this meant the investors of retirement savings were left without high income returns. More than half of all pension savings are invested in government securities (50.5 per-cent), mainly in securities issued by the Finance Ministry (49.1 per-cent of investments in government securities). Then come investments in state corporations (25.9 percent), mainly bonds (20.5 percent). This figure is now falling. The share of other financial instruments is 23.6 percent.

The current situation can be inter-preted in two ways. Deposits are only growing in two directions – in gov-ernment securities and in second tier banks. This confirms that the pen-sion funds are still following a cau-tious, reliable investment policy. On the other hand, support of the private sector is also attracting major invest-ment from the pension funds. The state has no monopoly on the use of pension funds. The non-state sector received 812.1 billion tenge ($5.31 billion) this year, 87.9 billion tenge ($580 million) more than in 2012.

High inflation is one of the charac-teristics of an emerging market. Log-ically and historically, it should be relatively low in our country, but it is artificially maintained at a high level because of deformation of market re-lations, lack of business competition and excessive speculation in the trade and financial sectors.

Inflation destroys at the grassroots the return of investments of pension funds. Inflation is higher than the yield. Thus, from November 2009 to November 2010 the nominal income ratio was 16.95 percent at the infla-tion rate in this period of 26.82 per-cent. From November 2009 to No-vember 2010 the figures respectively were 4.17 percent with an inflation rate of 7.70 percent. A similar picture emerged in the current 2012-2013 period.

Analysis shows that in the short term, the cumulative inflation rate significantly exceeds an average ra-tio of pension funds’ nominal income

on both moderate and conservative investment portfolios.

Under such circumstances, there is no sense to motivate the existence of private pension funds. The limited market forces the individual pension funds to participate in high-risk in-vestments in order to acquire shares of not reliable and sometimes dubi-ous companies and banks. As a re-sult, a number of pension funds suf-fered significant damage. As of Jan. 1, 2013, the loss of pension funds for the default of issuers on securities amounted to 16.9 billion tenge ($110 million). The market, in fact, was not ready for the adoption and use of pension savings. Inflation destroyed the quality of long term, or “long” money, which is the main advantage of retirement savings.

According to the National Bank, the cumulative return in the period of 1998-2012 on the moderate invest-ment portfolio was 366.15 percent, on the conservative portfolio - 356.07 percent, and the accumulated value of inflation reached 236.31 percent.

the weak linkThe weakest point is the activity

of pension funds. The effectiveness of their work is seen in the data for 2010, when seven funds made prof-its, and six funds incurred combined losses of 2.8 billion tenge (less than $20 million). The following data also show a significant decline in quality of indicators: in 2005-2007, the an-nual growth of retirement savings av-eraged from 30 percent to 40 percent, and pure investment income rose to 65 percent; in 2010, these indicators only accounted for 21 percent and 16 percent.

States of mind are important. Some pension fund managers like to live in the grand style. Initially the pension funds had a 0.5 percent commission for using pension assets, and man-agement companies had a 15 percent commission.

Previously, when savings’ rate was low, this remuneration was an incentive. But now, when these as-sets exceed 3.3 trillion tenge ($21 billion), each percent of interest has grown considerably. Also, the value of the commission is not attached to the performance and is increas-ingly dependent on the value of pen-sion savings. This negative situation where the material welfare of pen-sion funds’ workers depends on the amount of deductions, only benefits all employees of the system, not the investors.

Unfortunately, this anachronism, when the funds lost profitability, and the incomes of their employees grew, was discovered very late. The money of retirees, present and future, to say mildly, was used wrongly: expensive offices, offroad vehicles, high wages, and holidays in prestigious resorts - all that was afforded on the money of pensioners. Excessive and avoidable costs have become a norm. Thus, every year 600 million tenge ($3.98 million) is spent on notification of in-vestors about the state of individual retirement accounts. Expenditures on maintenance of the automated information system for technical support, renewal of licenses, and so on, reached 500 million tenge ($3.31

million). These and other costs are covered at the account of pension assets, through the establishment of high rates of fees for management and investment activities.

Moreover, there were elements of criminal acts and creation of theft schemes. Thus, according to the National Bank, some of the funds acquired securities of affiliated com-panies that fell into default and the shareholders of the funds were asso-ciated with these artificial defaulted, loss-making companies.

When the mechanism does not work

According to the National Bank, in the period from 2004-2012, two national pension funds (NPFs) were eliminated: the NP Valut-Transit Fund and Korgau. During the same period, the National Bank ordered the reorganisation of five NPFs: In-dustrial Kazakhstan which had to merge with SAPF; Amanat Kaza-khstan which merged with Eurasian NPF, later renamed to NSP Astana; BTA Kazakhstan merged with Ular Umit and KNPF Philip Morris Kaza-khstan and NONPF Kurmet merged with other pension funds.

The key point is that the market mechanism of pension contribu-tions does not work. Ultimately, the state suffers the cost of defects in this segment of the financial market. Even now, as the yield of the funds is guaranteed by the state, over 8 bil-lion tenge ($53 million) was spent to cover the losses. But the main prob-lem, due to the low yields and losses in some pension funds, is the risk that, starting from 2032, the budget for compensation of losses and cur-rent payment of guaranteed pensions will use the money of the National Fund. According to estimates, in the next decade about 1.5 million people will retire, annually from 100,000 in 2011 to 200,000 in 2021 with an av-erage annual increase of pensions by 39 percent.

In addition, for this category of in-vestors, who are in the system from 14 to 23 years, the amount of pen-sion payments by 2022 could reach from 500 billion to 600 billion tenge ($3.31 billion to $3.98 billion).

The main contradiction of the pension system is the increasing gap between the growth in the number of contributors who reached retire-ment age, and average figure of mandatory pension incomes in the country.

According to the estimates of the National Bank, its head Grigory Marchenko believes that taking into account the growth of pension pay-ments, the budget by 2042 will deplete the National Fund resources received from the country’s oil revenues.

The weakness of the national pen-sion system lies in the fact that of a work force of 8.5 million, 3.5 mil-lion, or 41 percent, regularly deduct pension contributions. Furthermore, of 2.7 million of the self-employed, these contributions are made by only 932,000, or 34.5 percent. As a result, the average saving on one pension account made up less than 400,000 tenge at a relative rate of 1.8 million tenge, or 4.5 times less than required.

This category of pensioners re-quires low tariffs, low prices, and increased social support.

Another problem is the fact that, in 2012, over 17 percent of women, ac-cording to Labour and Social Protec-tion Minister Serik Abdenov, did not have the necessary record of work and could not claim to the joint por-tion of pension payments. Accord-ing to the minister’s calculations, by 2015, the number of these women will reach 50 percent, and by 2018 - 100 percent.

the way outWhat is the solution? Deputy

Prime Minister Kairat Kelimbe-tov has announced the necessity of creating a Single National Pension Fund (SNPF). It is clear that the yield will not essentially change due to the lack of spheres for the retirement savings’ application. But the main thing here is the reliability and guarantee of pension savings’ safety.

It may appear that the govern-ment’s measures seem like a step back from market principles in the direction of methods of paternalism and state capitalism. In fact, the es-sence of the matter is that the state is unsatisfied with the pension funds’ activities and is seeking to optimise their performance. The state itself is using market methods to make its own savings procedures more effi-cient, fully introducing the tools of public-private partnership.

What measures are being proposed to rescue the pension system? The solution will not come overnight. There are concerns about what is offered in return. The SNPF will be created on the base of the SAPF. The rest of the pension funds are offered three options: liquidation and sale of assets at a decent price; merge into SNPF, or transformation into a man-aging company. The new pension system, according to President Nur-sultan Nazarbayev, “will allow more effectively and safely disposing the savings of our citizens.”

First of all in 2013, all individual retirement accounts will be trans-ferred to the SNPF. This transference will be carried out in full. Kelimbe-tov said this was not nationalization of pension savings, which remain in the property of their owners.

National Bank Chairman Grigory Marchenko said the government must in the long term create reliable protection mechanisms against pos-sible encroachments of the govern-ment to close any gap in the budget, since such temptations have been already observed.

Another challengeable proposal is to unify the retirement age. The ini-tiative of Labour and Social Protec-tion Minister Serik Abdenov is quite understandable: there is a threat of a hole in the budget. It is possible to gain some additional years for the system by raising the retirement age for women. However, we cannot say that these are only our own domes-tic problems. In one form or another they are present in many countries of the world, even in Chile, whose ex-ample we followed, and which after 17 years of use of the modernised free market pension system had to

retreat from it under the pressure of emerging problems.

Staying within our meansThe main weak points of national

pension systems are known. Outpac-ing inflation over the yield, volatility of individual markets, where money is invested, decline in fertility with increasing life expectancy, income disparity in national budgets and the growth in pension payments. Some of them are getting worse.

Indeed, one of the causes of the debt crisis in European countries was the lack of resources to maintain a high level of social standards, in-cluding pensions. This is particularly noticeable in the Southern European countries, where labour productivity lags behind the same in Germany, and where pension, for instance, in Spain is almost equal to German ($1,200 and $1,190 respectively). And of course, suggestions of rais-ing the retirement age to 67 years in France, Germany, Italy and to 68 years in Britain causes understand-able resentment and fierce popular resistance.

But it’s not easy to recognise the weakening competitiveness of the national economy, falling tax rev-enues and pensions and a high level of unemployment. Among unpopular measures being taken, we have just seen the decision of the Cypriot Par-liament to nationalise pension funds to fight the crisis. Many countries are concerned about the aging of the population while life expectancy is increasing. However, the growth of pension payments puts an increasing burden on the budget of a country.

This contradiction is solved by in-creasing the retirement age. In Japan, with an average life expectancy of 82.1 years there is a uniform retire-ment age for men and women at 70 years. In Denmark, Norway and Ger-many it is 67. In the United States, Canada and Sweden it is 65.

It should be noted that in different countries, the role of non-state pen-sion funds is different. In the United States, Canada, Britain, Australia, they account for more than 40 per-cent and in the Czech Republic, Po-land, Hungary, and Slovakia – for less than 5 percent.

The world’s pension systems are going through the most difficult stage of their history and long-term fore-casts are not optimistic. The pension system of Kazakhstan suffers from the same disease. The desire to mini-mise the risks to achieve efficiency of the modernised national pension system is a general challenge. There is no perfect solution in the world. We should think how to better and maximally protect old age – there is no alternative to this goal.

We must live within our means. It’s not difficult to distribute all that we have gained, but much more dif-ficult to maintain at a proper level our accumulations. The main guarantee of social welfare was and is the rise of the national economy on the basis of productive diversification, large-scale introduction of innovations and rapid growth in labour productivity.

The author is rector of Turan Uni-versity and has a PhD in economics.

Pension System Modernization to Promote Reliability and Efficiency

Wednesday, 10 April 2013

А8The Astana Times

Eurasia and World

Nazarbayev Urges Greater Pan-Asian Cooperation on Visit to ChinaFrom Page A1

Raw materials in exchange for technologies

China supports Kazakhstan on the mechanism of cooperation which can be termed as “raw materials in exchange for technologies.” Chi-nese companies has invested heav-ily in Kazakhstan’s oil sector, im-plementing such important projects as the construction of a bitumen plant in Aktau, the construction of a complex of aromatics hydrocar-bons at the Atyrau refinery and the upgrading of refineries in the cities of Atyrau and Shymkent. As expect-ed, this will provide more advanced processing of oil. In general, around 10 joint projects, the total cost of which is $ 5 billion are under imple-mentation in the oil and gas sector.

Another four major joint projects with a total value of over $18 billion are being implemented in the area of energy resources’ transportation. In particular, CNPC confirmed their plans to complete in October the construction of the Bozoy-Shym-kent pipeline which is of great im-portance for the southern regions of Kazakstan.

At the meeting between Nursultan Nazarbayev and Zhou Jiping, CNPC chairman, the sides discussed work-ing out a comprehensive cooperation plan in the oil and gas industry, based on the principle of “access to raw materials in exchange for investment in oil service and refining projects.”

Following the meeting, the na-tional oil companies of the two countries signed an agreement on the basic principles of cooperation on the expansion and operation of the Kazakhstan-China pipeline.

Also, the Samruk Kazyna Nation-al Welfare Fund and China’s Com-mittee on Promotion of Internation-al Trade reached an agreement to establish the Kazakh-Chinese Busi-ness Council. And there is an inten-tion to expand the investment activ-ity in non-oil sector of Kazakhstan. For this purpose Samruk Kazyna and the CITIC Group signed an

agreement, as well as a Roadmap for strengthening economic and in-vestment relations.

The means of a specially created investment fund in the amount of 200 million dollars are to be used for the projects in the field of engineer-ing, logistics, petrochemicals and construction materials.

China will help Kazakhstan in developing alternative energy: the Chinese Government will provide an experimental batch of solar bat-teries with the power of 1 MW for the Free Economic Zone “Park of innovation technologies” and wind power farms with capacity of 5 MW in the Shelek corridor.

asian DavosThe topic of this year’s Boao Fo-

rum was consistent with the spirit of one of the world’s most important platforms of public diplomacy: “In-novation, Responsibility, Search for Common Development in Asia.”

Speaking at the opening of the dialogue platform, Nursultan Nazarbayev noted that the relevance of the Forum is reinforced by the fact that Asia with its main industrial potential is the region of particular importance.

“Today, the center of economic activity, which sets the tone for the world markets, has moved there. I am convinced that the next step will be the establishment of Asia as a key source of ideas and models of development and the international agenda, not only in economics but also in many other areas,” he said.

Nazarbayev described the Ka-zakh model of development based on integration into the world mar-ket and the development of a strong economy of an innovative type. The President noted that due to the stable political situation and effective anti-crisis measures, during the recent global financial crisis Kazakhstan kept a high growth rate and prevent-ed a jump in unemployment.

Last year, Kazakhstan’s GDP grew by about 6 percent, while the unemployment rate stayed below six percent. Gross international reserves reached almost $90 billion.

Kazakhstan is promoting high-tech industries carrying out modern-ization: there are projects in the field of “green technologies”, alternative energy and energy saving.

“We are open for investments in deep processing of oil and gas re-sources, production of fertilizers, in non-ferrous metals, logistics and other industries,” Nazarbayev said. “Our republic is involved in the res-toration of the ‘Silk Road’, creation of the Western Europe - Western China transport corridor. This work will be completed in 2015. The capital of Kazakhstan Astana was chosen as the venue for EXPO 2017 with the subject ‘Future Energy’.”

Heads of government, heads of international organizations, promi-nent businessmen and academics including director of the Interna-tional Monetary Fund Christine La-garde, the founder of Microsoft, Bill Gates and others, participated in the Forum. The total number of partici-pants exceeded 3,000 people.

Reduce risks and combine efforts

In his remarks at the forum, Nur-sultan Nazarbayev emphasized that the success of each country contrib-utes to the general welfare of the continent. But in order to multiply the effect of interaction, the coun-tries of the world need to coordinate actions. In this regard, the Kazakh President drew the forum’s attention to a number of key steps to be taken to achieve these goals.

First, he called for strengthening the integration trends in Eurasia, as more than 50 percent of the world production and two-thirds of the world population is concentrated there. According to Nazarbayev, it is therefore necessary to develop com-munications’ infrastructure, stimu-late trade and mutual investment. Important directions also include energy partnership, innovations and educational exchange.

The President reminded the par-ticipants of the establishment of a Single Economic Space of Kaza-khstan, Russia and Belarus which, connecting east and west, is a natu-

ral land bridge between a five hun-dred million market of the EU and half billion market of China.

Nazarbayev also said the world economy, more than ever, needs to expand cooperation between the countries of Asia, especially in the fields of transport, alternative en-ergy and agriculture.

Meetings at the ForumPresident Nazarbayev used the

opportunity of the event to converse with the heads of other states and leaders of international organiza-tions.

Meeting with President of Mexico

Enrique Peña Nieto, he sides dis-cussed the state of bilateral relations and topical international issues. The Kazakh President noted the po-tential of development of Kazakh-Mexican partnership, particularly in areas such as tourism, oil industry and agriculture. An agreement was reached to deepen bilateral coopera-tion in a wide range of issues.

The head of state also met Sultan of Brunei Hassanal Bolkiah Darus-salam. The two leaders considered important aspects of interaction, re-gional integration in the framework of existing international institutions, such as ASEAN and the EEA. The

parties showed interest in expand-ing partnership in the petroleum and chemical industries, agriculture and other areas.

Nursultan Nazarbayev urged busi-ness people from Brunei to partici-pate in the diversification of Kaza-khstan’s economy and in preparing the international exhibition EXPO 2017 in Astana. The President also invited Hassanal Bolkiah to visit Kazakhstan.

In addition, Nazarbayev also met director of the International Mon-etary Fund, Christine Lagarde, and chairman of the UN General Assem-bly Vuk Jeremic.

By Galiya Nurzhan

ASTANA – Kazakhstan and Germany are entering their third decade of mutually beneficial partnership after having celebrat-ed in 2012 the 20th anniversary of their bilateral diplomatic rela-tions.

Diplomatic ties were established on Feb. 11, 1992, only four weeks after Kazakhstan declared its in-dependence on Dec. 16, 1991. The German Embassy in Almaty was opened in December 1992 and the Embassy of Kazakhstan was opened in Bonn in September 1993. It moved to the new capital Berlin in 1999.

Kazakhstan and Germany quick-ly reached a high level of under-standing and continue to share common views on key internation-al problems.

In September 2008, German President Horst Kohler paid an of-ficial visit to Kazakhstan. Earlier, President Roman Herzog paid an official visit in 1995. Chancel-lor Gerhard Schröder visited Ka-zakhstan in December 2003 and current Chancellor Angela Merkel paid two official visits in July and December 2010.

President Nursultan Nazarbayev has paid official visits to Germany seven times in 1992, 1997, 2001, 2004, 2007, 2009 and 2012.

High-level contacts have given an important impetus to intensifi-cation of bilateral cooperation.

On Feb. 7-8, 2012, during Presi-dent Nazarbayev’s most recent state visit to Germany, 50 commer-cial contracts and major new inter-governmental agreements were signed. Nazarbayev held talks with President Christian Wulff and Chancellor Merkel and partici-pated in the opening of the Berlin Eurasian Club (BEC) of officials, scholars and experts to build closer ties between the European Union and the Eurasian Economic Com-munity.

On July 18, 2010, Chancellor Merkel visited Kazakhstan and approved the signing of 2 billion euros ($2.56 billion) on govern-ment and business agreements. She returned on Dec. 1-2, 2010

to participate in the Organisation for Security and Cooperation in Europe’s 56-nation summit in As-tana.

On Oct. 24-25, 2012, Prime Minister Serik Akhmetov visited Berlin to attend the ceremony of the 60th anniversary of the East-ern Committee of the German Economy (ECGE). Akhmetov held talks with Chancellor Merkel, Vice Chancellor and Economics Minis-ter Philipp Rösler and the heads of leading German companies.

In July 2010, German Vice-Chancellor and Foreign Minister Guido Westerwelle participated in a meeting of OSCE foreign min-isters in Almaty and on Aug. 29, 2012 he attended the nuclear dis-armament conference hosted by Kazakhstan in Astana.

In May 2011, Deputy Prime Minister and Minister of Industry and New Technologies (MINT) Asset Issekeshev visited Germany where he oversaw the signing of 11 agreements worth 1.5 billion euros ($1.92 billion).

From January 30 to February 3, 2013, Foreign Minister Erlan Id-rissov visited Germany to partici-pate in the 49th International Mu-nich Security Conference.

Business ties between the two countries are fostered by the Inter-governmental Working Group for Trade and Economic Cooperation and the Kazakh-German Business Council.

More than 1,200 German-owned companies are currently registered in Kazakhstan, including Knauf, Linde, HeidelbergCement, BASF, Metro Cash & Carry, ThyssenK-rupp and Siemens. Freudenberg, Pazdera AG, Frontier Capital Part-ners, Rodl & Partners, Remondis, Funke and Elpro have all opened offices.

In February 2012, Nazarbayev and Merkel signed an agreement on cooperation in energy and re-sources, industry and technology

Germany is one of the main trading partners of Kazakhstan in the European Union. The Kazakh Customs Committee said bilat-eral trade exceeded $4.1 billion in 2012, including $1.8 billion in exports from Kazakhstan and $2.3

billion in imports from Germany, a 10.8 percent increase on 2011.

In January 2013, bilateral trade reached $190.6 million, includ-ing $45.1 million in exports from Kazakhstan and $145.6 million in imports from Germany.

Germany’s leading exports to Kazakhstan are machinery, elec-trical appliances and cars. Kaza-khstan’s main exports to Germany are ferroalloys (52.1 percent), pe-troleum gases and other gaseous hydrocarbons (18.3 percent) and silver (7.8 percent). In 2011, Ka-zakhstan became the third largest supplier of oil to the German mar-ket after Russia and Britain.

MINT’s Investment Committee calculates total German foreign direct investment (FDI) in Kaza-khstan from 1993 to Sept. 30, 2012 as $1.3 billion.

Kazakhstan Economy Days are held on a regular basis in Germa-ny’s largest industrial and financial centres of Germany and German Economic Days have been cel-ebrated in Almaty. The two coun-tries continue to develop new busi-ness partnerships at every level.

Kazakhstan, Germany Build Strategic Partnership

The recent World Economic Fo-rum in Baku was attended by expe-rienced senior Kazakh executives in the fields of oil and gas and bank-ing, including Sabr Yessimbekov and Aidan Karibzhanov. Both pro-vided The Astana Times with their views on regional cooperation.

sabr Yessimbekov, President, Chamber of Commerce and In-dustry of Kazakhstan

The main cooperation between our two countries is concentrated around the oil and gas sectors. Moreover, Azerbaijan’s strategic location necessitates us to always view Azerbaijan as a transit coun-try, together with Georgia. Why has there has been a lot of talk about it today? The answer is simply that there is no other way to get oil to Europe, via a route that would not go through Russia, other than through these two countries.

Kazakhstan’s KazTransOil (KTO) has recently purchased the Batumi Oil Terminal and there are specific points of juxtaposition. Again, why? Because Azerbaijan has bought the railroads of Georgia to transport, so to say, “our” oil and for that reason we have to negoti-ate with them. I wouldn’t look at them as competition, even though as countries we are very similar. We’re developing and moving in the same direction, we are in the same boat. I see here more positive aspects than anything else.

A strong Azerbaijan is very good for us. First, it means security, be-cause our hydrocarbon resources will travel through it safely. There are questions of competitiveness because historically Baku and Az-erbaijan have developed as an oil economy.

They were talking today about investing in four oil tankers for themselves and are planning to transport oil from Kashagan to Baku across the Caspian Sea. Our guys are simply not making it on time to build these tankers, as it is quite complex. In their mind they’re thinking, why bother when they (the Azerbaijanis) will be

acquiring their share of the pie through tariffs anyway?

How the oil from the Kashagan field will be reaching the markets is another question. The Azerbai-janis are strongly developing their oil capabilities and we should be proud.

As I said, a strong Azerbaijan is a lot more important and better for us. And if they ever want to reach the Chinese market, then they will have to go through us.

Aidan Karibzhanov, Chair-man of the Board of directors, Visor Holding

Kazakhstan and Azerbaijan have a similar structure of their econo-mies, although Azerbaijan’s de-pendence on oil and gas is even more acute than Kazakhstan’s. There are similar positive traits: a comfortable price for oil provides high revenues for the government, but on the other hand there are ob-vious signs of the “Dutch disease” generating a one-sided develop-ment of the economy.

Not for nothing did [Azerbai-jan’s President] Ilham Aliev talk about diversification and the de-velopment of information tech-nology (IT) and about the need to double the non-resource sector of GDP by 2020. All countries know what they need to do. Here, there was a panel discussion about oil and gas, where the leaders of Az-erbaijan’s industry talked about the development of oil chemistry and more modern, sophisticated refineries. So the challenges faced by Kazakhstan and Azerbaijan are very similar, getting rid of excess dependence on oil and gas and developing other segments of the economy.

As far as how these ideas are go-ing to be realized is another ques-tion, because we have been doing this for a long time and there are specific problems that exist. Oil dependence and the “Dutch dis-ease” are a bit more difficult to get rid of than, say, smoking.

Another aspect that Azerbaijan and Kazakhstan have in common is

that for a long time both countries had few opportunities to export their resources. Russia has been the only corridor through which they could pass and countries have succeeded in 20 years in diver-sifying their routes. Azerbaijan’s diversification looks to Turkey, through Georgia, while our path has an Asian character.

So apart from us using the Rus-sian pipelines and the Baku-Tbili-si-Ceyhan pipeline, we also have China which is a big partner. While the methods of diversifying the ex-port routes are different, in essence both countries have succeeded in meeting their challenges.

Speaking of cooperation and in-tegration, apart from the traditional areas of tourism and cultural ex-changes, which are always great, I think there are a few points that are very important.

One is based on what I just said about oil and gas: a certain coor-dination between the two countries in defending their interests in the region for export of hydrocarbons is the most important geopolitical issue that the leaders and govern-ments need to work on. So far, there is a good level of relations between the oil and gas sectors of the two countries, and their politicians. It is necessary that we understand the interests of both countries.

A second point is the transfer of technology, specifically technolo-gies that diversify for the benefit of local wealth, without harm to the quality of production of the oil and gas sector. This is a question of hu-man capital and training. So, I think that more horizontal contacts be-tween sectors and companies of the two countries will be of benefit.

A lot of people from Kazakhstan have come here, not only from the government but also from business. The Azerbaijan experience is of real interest to everybody in Ka-zakhstan. We want to learn what is made better there, or where perhaps they can learn from us. In principle, the process is quite interesting.

Transcribed by Yelden Sarybay.

Experts: Kazakhstan, Azerbaijan Have lots in Common, Will Benefit from More Coop

BThe Astana Times

Wednesday, 10 April 2013

Nation & CapitalKazakh Climber Successfully ascends Highest Volcano of North america

Page B7

KiMEP alumni Bring Nauryz Joy to Elderly

Page B5

Russian Drama Theatre named after Maxim Gorky

April 14 at 11.00 “Little Red Cap” by Eugene Schwartz April 21at 18.00 “Widow’s Conforter” by Giuseppe Marotta and Belisario Randone

Kazakh Music and Drama Theatre named after Kairat Kuanyshbayev

April 12 at 18.30 “Formula of Happiness” by Jean Marie ChevretApril 17 at 18.30 El tragaluz (“The basement window”) by Antonio Buero Vallejo

National Theatre of Opera & Ballet named after Kulyash Baiseitova

April 19 at 19.00 “Swan Lake” (ballet in 3 acts)April 24 at 19.00 “Eugene Onegin” (opera in 2 acts)

Kazakh National University of Arts

April 11 at 18.30 The Concert of the Classical Arts Masters (as part of Arts Festival “Japanese spring”)

Abay road music club

April 15 at 20.00 The concert of Belarus rock band “Lyapis Trubetskoy”

The Central Concert Hall Kazakhstan

April 19 at 19.00 The concert Kazakhstan’s artists Berkut and Aisha

The Astana Metropolitan Circus

April 25 at 19.00 The concert of Russian artist Lolita

Contemporary Art Center «Kulanshi», Pyramid

April 11 at 17.00 Exhibition of the pupils of the “NurOrda” International School

Exhibition Complex “Korme”

April 17-19 The 15th Kazakhstan International Exhibition “InterFood – Astana 2013”April 24-26 The 4th International Exhibition “AstanaFloralExpo - 2013”

Shopping and Entertainment Center “Azhar – Astana Mall”

April 14 at 12.00 The first Children’s Theatre Festival

Things to Watchin April

Kazakh-language Bloggers Discuss Prospects for Kaznet

By lyubov Dobrota

SHYMKENT - Shymkent hosted on March 23-24 the third kurultai of Kazakh-language bloggers to discuss the development of the do-mestic blogosphere and Kaznet in the state language of the country.

The kurultai (“meeting” or “as-sembly”) of bloggers, BlogCamp, is not just a meeting but a congress of supporters, a popular form of meeting for representatives of new media. The organisers of the ku-rultai emphasised that BlogCamp

does not pursue any commercial benefit and is certainly not a politi-cal campaign.

A total of 370 participants, in-cluding administrators of websites, IT specialists and active Internet users, arrived in Shymkent from different regions of the country to discuss such issues as the growth of the Kazakh-language content on the Internet, improving sites and portals and the observance of moral and ethical standards when operat-ing in the virtual word.

Continued on Page B5

National Day of lovers to Recall legendary Romance

By Marzhan Imanbayeva

ASTANA – On April 15, Kaza-khstan will celebrate the National Day of Lovers as a tribute to the history and traditions of the Kazakh people.

The holiday is named after the legendary couple Kozy-Korpesh and Bayan-Sulu.

The ancient lyric poem about them is the most popular work of its kind in Kazakh literature and dates back to the 13th or 14th cen-tury. For more than half a millen-nium, it was passed on by word of mouth. The first record of one of its variants was made by the Rus-sian poet Alexander Pushkin 190 years ago and is preserved in his archives.

Kazakh scholar Shokan Ua-likhanov studied this national epic.

“I love and admire the Ayagoz River because it was the location of this love story,” he wrote in his “Di-ary of a Trip to Ghulja.”

Anthropologist Grigory Potanin too said that this love poem was his “favourite story, famous in the entire steppe from Orenburg to Zai-san. It is major source of Kazakh ethics.”

The poem tells the story of two friends Karabay and Sarybay who gave each other an oath that their children would get married. Sary-bay died when his son Kozy-Kor-pesh was an infant. Then Karabay changed his mind and decided to give his daughter Bayan to another batyr, or warrior, called Kodar, who saved his herds in the arid desert. Karabay had left the tribe of Sary-bay and Bayan had grown into a beautiful young woman whose home village was renamed after her as Bayanaul.

The fame of her beauty spread throughout the whole steppe. Bay-an became known as Bayan-Sulu, or “Bayan the Beautiful.”

Continued on Page B4

Country and People Share Same Destiny

By Rufiya Ospanova

ASTANA – “Motherland is not an empty word for me,” said Serik Rustambekov, chairperson of the Board of the Union of Architects of Astana, Honoured Architect of Kazakhstan and academician.

“Whether we want it to be or not, our destiny is closely linked to the destiny of the country. Of course, there are failures, but there are vic-tories as well.”

Rustambekov’s comments came during the recent “My Country’s Destiny Is My Destiny” forum held in the Korgalzhyn district

of Akmola oblast, during which Rustambekov shared his life sto-ry. It is a story that unfolds paral-lel to the story of his country. “I am delighted to be helpful to the country, I am proud that I have worked with worthy people, real patriots... Our country gives eve-ry citizen of Kazakhstan the op-

portunity to realize their dreams, to use their powers, to believe in themselves and to become an in-dependent person.” The phrase, which sounded like an instruction for youth, is nothing but a state-ment of experienced fact.

Continued on Page B2

Of Astana, Its People and BeshparmakBy Azat Abyroi

Gareth Stamp is an expatriate citizen of the United Kingdom who has been living in Astana for two years. The Astana Times had the pleasure to talk to Mr. Stamp about our capital, its people and beshpar-mak.

For those who don’t know you,

could you please tell us about your job at the Nazarbayev Intellectual Schools?

My title is team leader at the Nazarbayev Intellectual School. Basically, I’m in charge of the in-ternational teachers. When I say I’m in charge, they all have their roles and jobs to do and I just keep

an eye on them and if there’re any issues, I deal with those issues. I also teach students, but most of the time I do teacher training and teacher development with the local staff. It’s almost like a psy-chologist’s job and I love it. This year, I’ve been working less with the teachers in the classroom but mainly with the administration

staff, the HR people. I really en-joy doing that. Last year was cur-riculum development, so we wrote the new national curriculum and they’ve implemented it this year. It’s exciting; it’s a different job every day. Intense at times but again, you make of it what you want to make of it.

Continued on Page B8

One of many photos made by Mr Stamp during the team building activities. As he says, the reason he loves the country so much is its people.

Forums called My Destiny Is My Country’s Destiny are taking place throughout the country with the culmination scheduled for early July in Astana.

Violin maestro Bisengaliev wins Elgar award

Page B2

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By Marzhan Imanbayeva

ASTANA – Every April, pink fla-mingos flock to the heart of Kaza-khstan, settling in the Korgalzhyn State Nature Reserve near Astana, where they stay until late fall.

The Korgalzhyn State Nature Re-serve spreads over parts of Akmola and Karagandy provinces, about 130 kilometres southwest of Astana, in the delta of the Nura River. It is part of the UNESCO heritage site Saryarka — Steppe and Lakes of Northern Kazakhstan, a Ramsar site and biosphere reserve. The reserve, established in 1968, protects about 707,000 kilometres of lakes, steppes and semi-deserts. The territory of the reserve contains a large wetland with rushy cattails, channels and lakelets.

Continued on Page B6

Pink Flamingos Find Prairie in the North

Wednesday, 10 April 2013The Astana TimesB2

People

By Olga Berezhnova

MANGISTAU REGION – Nesip Erimbayeva recently celebrated her 103rd birthday with a party that in-cluded five generations of her de-scendants. Her seven children gave birth to 31 grandchildren, who have now had 72 great-grandchildren, nine great-great-grandchildren and four little great-great-great-grand-children. Erimbayeva’s friends and family celebrated the occasion with dozens of gifts and a huge bouquet of flowers.

Erimbayeva was born in the Mangistau region. When difficult times came, her family moved to Tajikistan. “I worked a lot, even from childhood,” she says. “Day and night I tirelessly worked in

fields, dug ditches and collected the crops.”

When the World War II started, her husband went to the front and she was left alone with their chil-dren. At night she picked cotton, then went to the mill and ground flour. At dawn she baked bread and then went to work. She is sure that the main secret of her health and long life is work.

“We saw famine and war and got through very hard times,” this great-great-great-grandmother says.

The main characteristics of Erimbayeva are her kindness and optimism: she always smiles and seems to love every minute of her life and all the people around her. Perhaps this, as well as hard work, is the secret to a long life.

Despite her age, Erimbayeva says she feels great, walks without a cane, hears well, reads news-papers and watches TV without glasses. Throughout her long life, she has never been to a hospi-tal, has not taken pills, and gave birth to all her children at home. Her youngest son is over 60 years old. Erimbayeva believes that she brought up decent people. Drivers and doctors, teachers and oilmen are among her descendants.

A dozen years ago, the family re-turned to Kazakhstan. Erimbayeva has witnessed the revolution, sur-vived two world wars and their famine and chaos, watched the collapse of the USSR, the era of perestroika and now has seen Ka-zakhstan independent.

By Nadezhda Khamitova

On March 15, Kazakhstan’s vio-lin virtuoso Marat Bisengaliev re-ceived the first Elgar Proliferation Award in Paris.

The award was given by the American Elgar Foundation (AEF) for Bisengaliev’s contribution to the heritage of the British compos-er Sir Edward Elgar.

Kazakhstan’s Ambassador to France Nurlan Danenov, AEF president Sir Richard Winter-Star-bridge and artist Ralph Lillford took part in the award ceremony held at the Embassy of Kazakhstan in Paris. Bisengaliev received the ceremonial golden disc and a por-trait of Elgar by the Australian painter Ralph Lillford.

Bisengaliev was born in 1962 in western Kazakhstan and made his concert debut at the age of nine. He studied at the Tchaikovsky Con-servatoire in Moscow with legen-dary violinists Boris Belkin and Valery Klimov. He is the father of singer Aruhan Galiev.

Bisengaliev won the 1988 Leip-zig International Bach Competition and the 1991 International Nicanor Zabaleta Competition in Spain. In 2000, he received the Platinum Tarlan Award and the Medal of Honour in Kazakhstan.

After the movie “Borat” was re-leased, Bisengaliev commissioned the “Zere” symphony from compos-er Erran Baron Cohen, the musical director of the movie and the brother of its star, Sacha Baron Cohen.

In 1989, Bisengaliev founded the Kazakh Chamber Orchestra and toured with it as a soloist throughout Europe. His recording of the Men-delssohn concertos with the North-ern Sinfonia became Gramophone Critic’s Choice of the year in 1998. Fanfare nominated his recording of the concerto by the British com-poser Havergal Brian with the BBC Scottish Symphony Orchestra for the 1999 Gramophone Award.

In 2006, Bisengaliev became ar-tistic director of the Symphony Or-chestra of India (SOI) in Mumbai.

Working with Khushhroo Sun-took, chairman of India’s National Centre for the Performing Arts, Bisengaliev made the SOI a world class body of performers.

Bisengaliev partnered with SOI Music Director and pianist Ben-jamin Frith in a chamber concert on February 19 and on February 22 performed the Tchaikovsky Violin Concerto.

“People who see me think that I have everything – family, children, career,” Bisengaliev wrote in his memoir “Do …Re….” “Seeing my own life through the eyes of the

student I was, it is a dream came true. All has been fulfilled.”

However, Bisengaliev believes that complacency is the enemy of continuing achievement and as a creative artist he must also set out to conquer new goals. “The end of the dream means death,” he wrote.

“If something can be carried out, it is not a dream, it is a plan,” believes Bisengaliev. “I hope the upward line of expanding achieve-ment will be non-stop, even if it is not straight and has its ups and downs. Every achievement should be higher than the previous one. I want to be a man in love with mu-sic and life. This is my way.”

Mangistau Centenarian Celebrates 103rd Birthday

Violin maestro Bisengaliev wins Elgar Award

From Page B1

Today, Serik Rustambekov is the recipient of numerous awards and titles for his professional activi-ties. Perhaps one of the most sig-nificant awards for him is the title “Honorary Citizen of Korgalzhin District.” More than four decades ago, the curious boy had no idea what his life would be. “I was part of the last generation of children of the Khrushchev era. At that time the only ways to the world were the radio and the district library, where I read all fiction. When I fin-ished the fiction, I started to read art books. Vividly illustrated alma-nacs on architecture impressed me as an 11th grade student. At school I found out that the Kazakh poly-technic institute enrolled students to the newly introduced faculty of architecture. So, I got there. The teachers were prominent architect-practitioners Bassenov, Seidallin, Tumanyan and others.”

Rustambekov’s younger brother, Akmurza, currently an honoured figure of Kazakhstan and president of the Union of Architects of Kaza-khstan, also contributed to the con-struction of the symbol of Astana, Baiterek, following the example of his older brother.

“There is a whole dynasty of ar-chitects. My brother’s wife is an architect. My son Samat chose this way for himself. I remember him asking me when he started to study whether he would survive with this kind of profession; whether maybe it would be better to stop his edu-cation and start his own business. This happened in uneasy times for the whole country. It was difficult to stay afloat... I asked my father the same question in the 1990s, but his ‘no’ was stronger than the desire to earn easy money. However, I experi-enced this. We became entrepreneurs with my friends. We bought some-thing, sold something. The country was feverish and the question “How to live?” was acute. Business some-times bordered with crime. I didn’t do it for long and, having under-stood that was not my way, I came back to my profession.”

At that time, Rustambekov was a prominent architect in the coun-try. After graduation, he was in-vited to the pan-union institution Kazgiprotorg, designing objects of trade and public catering. He was working not only in Kazakhstan, but also in Kyrgyzstan, Tajikistan and Turkmenistan. In Kazakhstan,

he worked in Almaty, Tselinograd, Shymkent, Arkalyk, Abakan, Ashkhabad, Frunze and other cit-ies. He passed all the stages of professional growth, from young specialist to chief architect.

The 1990s were the starting point of big changes. Unexpectedly, he became a member of the Supreme Council of Kazakh SSR, represent-ing the union of architects. “We were lucky to work at a time mo-mentous for all people of Kaza-khstan. We adopted the Declaration of Independence, state symbols and the first laws of the young re-public. As the deputy chairperson of the Committee on Construction and Architecture, I participated in the elaboration of laws relating to these spheres. At the same time, I studied at the faculty of law of Ka-zakhstan State University.”

When Rustambekov heard the news that the capital would be transferred, the former member of the Supreme Council supported the decision of the president and con-sidered it brave. Rustambekov cre-ated a team and started preparing a general plan for the future Astana. They presented the plan to Presi-dent Nursultan Nazarbayev, who supported the idea and afterward announced the open national com-petition for the best design. In the end, Rustambekov’s team’s project was acknowledged the best. The team included architects from Al-maty and Astana. Rustambekov’s list of projects included the living complex Samal, the Millenium Gallery, the square with the Tree of Life fountain, business centres and other areas. However, his largest project is the Ishim embankment.

When he was asked, “Did you ever consider leaving the country?” Rustambekov was very surprised and after a short pause said, “Why? ‘Motherland’ is not an empty phrase for me. This is my life, my children and grandchildren!”

In Tekeli, in the Almaty region, the “My Destiny Is My Country’s Destiny” forum started with planting fir trees along Dinmukhammed Ku-nayev Street, after which participants accompanied by bikers with state flags followed them to the local cul-tural centre. In the hall of the centre the exhibition “My City – My Happi-ness” greeted forum guests. Konstan-tin Nesterov, one of the participants, shared his story of how he gradually achieved success along with the de-velopment of the country.

“I started my journey in 1997 as

an art director of the cultural centre in the city of Tekeli. The same year I established and became the direc-tor of a radio-television company in Tekeli. From 1998 to 2006, I was the director of the cultural cen-tre, chief specialist of the culture department, and after that, head of the culture department,” he said.

Citizens of the city know Nes-terov as a poet, singer and perfect organiser. He is a very responsible person with high creative and exec-utive qualities. In 2009, he created the New City vocal-instrumental en-semble, which has become popular.

In 1997, he established and be-came director of the theatre studio Edelweiss. Tekeli’s citizens remem-ber many of his performances.

For his contribution to the devel-opment of culture, in 2010 Kon-stantin received a Letter of Thanks from the Mayor of Almaty oblast.

On Nov. 10, 2011, by presiden-tial decree, he was awarded with the 20 Years of Independence of the Republic of Kazakhstan medal. For his contribution to the patriotic upbringing of youth in 2012, he re-ceived the 20 Years of Contribution to the Internal Military Forces pin. Currently, he is the member of the city maslikhat (local representative body). Nesterov is an active partici-pant in public life and a member of the regional political bureau of Nur Otan. For his good work in the lead-ership of the pre-election campaign of the president of Kazakhstan, he received a letter of thanks from President Nursultan Nazarbayev.

The unique forum, “My Coun-try’s Destiny is My Destiny,” started its nationwide tour on Feb. 14 this year. The forum gathered interesting stories from people of Kazakhstan whose lives have been connected with the destiny of the country. The forum is designed to show the success Kazakhstan has achieved through the prism of the changing lives of the nation’s people. The forum was original-ly launched in July 2012 by the Nazarbayev Center and attracted wide attention, after which it was decided to hold forums annually in all regions of the country.

Regional forums will be held in two stages: first at the district level, second at the level of the oblasts and the cities of Astana and Al-maty. Some speakers will be del-egated to Astana for participation in the national forum, which will be held as part of the celebrations of the Day of the Capital.

Country and People Share Same Destiny

Nesip Erimbayeva, 103, surely knows a thing or two about the secrets of longevity.

Marat Bisengaliev, SOI Music Director, and Zane Dalal, SOI Resident Conductor, perform at the SOI’s February 2013 Season at the Jamshed Bhabha Theatre.

Wednesday, 10 April 2013 The Astana TimesB3

Culture

By Marzhan Imanbayeva

ASTANA – To commemorate the 20th anniversary of the estab-lishment of diplomatic relations between Kazakhstan and Italy, festivals called Days of Culture of Kazakhstan are being held in Rome, Milan and Turin. The events kicked off on March 21st in Rome, coinciding with the Kazakh festi-val Nauryz Meiramy, the holiday of spring renewal.

“It is symbolic that this impor-tant event in the cultural life of Kazakhstan and Italy, which is of great importance for strengthen-ing and developing Kazakh-Italian relations, was organised on this day,” Kazakhstan’s ambassador to Italy, Andrian Elemesov, said in his speech at the opening ceremony.Kazakhstan Film Week was held as part of the Days of Culture fes-tivals. The film “The Sky of My Childhood” by Rustam Abdrashov, depicting the childhood and youth of the first president of Kazakhstan, Nursultan Nazarbayev, was featured

on opening day. Italians also saw six of the most successful Kazakhfilm productions, including “Kyz Zhi-bek” by Sultan Khodzhikov, “The Old Men” by Ermek Tursunov, “The Thousand Young Warriors” by Akan Satayev, “Virtual Love” by Amir Karakulov, “Tale of the Pink Hare” by Farhad Sharipov and “Lit-tle Hunter” by Yerlan Nurmukham-betov. After the screenings, actors Nurzhuman Ikhtymbaev, Meruert Utekesheva, Asylkhan Tolepov, Alia Anuarbek, Erbolat Toguzakov and Maxim Akbarov, all stars of the films, met with Italian spectators.

Festival goers were introduced to folk crafts in the arts and crafts exhi-bition, which also included national costumes and books on the cultural life of Kazakhstan. A photo exhibi-tion captured modern Kazakhstan and the main political, economic, cultural and social achievements of the young state. Children adopt-ed from Kazakhstan and primary school students in Rome organised a children’s painting exhibition.

The symphony and folk instru-

ment orchestras from the Kazakh National Arts University (Ka-zNAU) presented their own jubi-lee programme. Students played compositions by European classi-cal composers as well as Kazakh folk music. The dance group Nur (“sunbeam” in Kazakh) performed national dances.

The main organisers of the Days of Culture of Kazakhstan events were the Embassy of Kazakhstan in Italy, the cultural development fund “Together for Europe” and the mayor’s offices in Rome, Mi-lan and Turin.

Cultural contacts between Kaza-khstan and Italy grow from year to year. Italy, known for its historical and cultural heritage, has become a favourite place for tours by Ka-zakhstan’s musicians and artists. The La Scala theatre trains young, talented Kazakh singers. In turn, Italian artists with international recognition share their talents with Kazakh audiences. Italian singer Son Pascal performs duets with Kazakh singers, sometimes even

singing in Kazakh. After the dev-astating earthquake in Abruzzo on April 6, 2009, the government of Kazakhstan provided financial as-sistance in the amount of 1.7 mil-lion euros for the restoration of his-toric monuments and the Church of San Biagio in Amiternum. Ka-zakhstan and Italy commemorated Kazakhstan’s soldiers who died during WWII during the liberation of the cities of Trieste and Gorizia by erecting a monument in Trieste.

In June 2012, during Italy’s Re-public Day, Astana hosted the exhi-bition “Sophia and Marcello,” dedi-cated to the two great Italian actors, as well as a presentation of classic Italian films over the annual Italian Language in the World Week.

Representatives of the Ministry of Cultural Heritage and Affairs, the Ministry of Foreign Affairs of the Italian Republic, the diplomatic corps, the office of the mayor of Rome and members of the Kazakh diaspora in Italy attended the open-ing ceremony.

Kazakh Culture Festival Held in Italy

By Yelena Kuznetsova

ASTANA – The soloists of the Kulyash Baiseitova National Op-era and Ballet Theatre continue on promoting the capital of Kaza-khstan abroad with their new vic-tories.

One soloist, Balkiya Zhanburchi-nova, brought back the gold medal of “Dance Olympus” competition festival in Germany. Zhanburchi-nova came to the theater at the be-ginning of the season after a one-year internship with her partner Serik Nakyspekov in the Academy of Russian Ballet named after A. Vaganova in St. Petersburg.

This year was very busy and intense for the country’s dancers: they have attended the school, mastering the intricacies and nu-ances of Vaganova academic style, worked with great masters of ballet Konstantin Zaklinsky, Igor Zelen-sky, Sergei Vikharev, Spanish cho-reographer Nacho Duato. Artistic director of the Academy Altynai Asylmuratova organized presen-tation of young Kazakh artists on the stage of the Leonid Yakobson Theater, where they performed leading roles in “The Nutcracker”.

Recently, Aigerim Beketayeva and Takhir Gatauov also demon-strated the successful performance at the gala concert “Young Stars of the World Ballet” in Germany. In the summer, Aigerim Beketayeva won bronze in a competition in Bulgarian city of Varna and now she has achieved a new goal.

Sixty dancers from 17 countries took part in the International Ballet Competition named after Rudolf Nureyev in the Hungarian capital Budapest. It was created in 1992,

during the life of the great dancer, by his friend Roland Bokor. The jury was presented by stars of the world ballet such as Charles Jude, Irek Mukhamedov, Jae Park Kuen, Lyudmila Semenyaka, Mary Aradi, who danced with Nureyev, Evelyn Terry, and George Szakaly.

In the first and third rounds Ka-zakh performers danced classics including the pas de deux from “Sleeping Beauty” and “Don Quixote”, and in the second round they demonstrated modern chore-ography. Professionals and spec-tators liked the performance of Aigerim Beketayeva and Takhir Gatauov to the music of Hungar-ian composer Gyorgy Ligeti “Fear of Mood” staged for them by Ka-zakhstan’s Honored Art Worker Galia Buribayeva, and they made a decision to dance it in the final gala concert.

Interestingly, the soloists of the Baiseitova Theater for the first time presented within this com-petition Kazakhstan’s new capital, which, due to the success of the ballet dancers becomes recognized in the world of culture. Thus Jea Park Kuen, delighted by the per-formance of Kazakh artists in the gala concert dedicated to the 20th anniversary of diplomatic relations between Kazakhstan and Korea, invited Beketayeva and Gatauov to take part straight in the second round of the Seoul competition which is a great credit.

The grand opening is scheduled for April 19. At the opening, which to be held in Opera and Ballet Theater named after Kulyash Bai-seitova, Aigerim Beketayeva will perform the leading role of Odette-Odile in “Swan Lake”.

Capital’s ballet dancers score double success at international competitions

By Gulyaim Tulesheva

ASTANA – A rather fascinat-ing educational guide “Danalyk alіppesі” (“ABC of Wisdom” in

Kazakh) was recently presented at the Kazmediacenter here.

This series include instructions, 12 magazines and an electronic pen. The ABC is a new word in the Kazakh science and was de-veloped by the team of Interactiv Kazakhstan company headed by the author of the project Nuraly Kudaybergenuly. Its uniqueness is in fact that the book can be read, or listened to. Both texts and music are performed by the best artists once you apply an electronic pen to the page.

President Nursultan Nazarbayev, in his introduction to the book said, “I believe that, having been devel-oped on the basis of innovative technologies, “Danalyk alіppesі” will expand your horizons, develop your speaking skills through pre-cious heritage of our nation, and will become a valuable tool for your spiritual enrichment.”

Nuraly Kudaybergenuly demon-strated to the audience the possibil-

ities of their creation. Silent pages spoke and sang on the touch of a magic pen.

According to the author, the book is made in accordance with the lat-est technology that allows reading out a special code printed on paper which is similar to the cash tape used in the shops at clearing and settlement operations.

“There are only two authors of this technology, one in Japan and one in Thailand,” said Nuraly Ku-daybergenuly. “I personally met with the Japanese scholar and re-ceived a license for the use of this know-how in Kazakhstan. ‘ABC of Wisdom’ includes folk songs, lullabies, tales, legends, epics, covenants of ancestors, music of kobyz and pipe...”

Much work has been done by the team over four years and great assistance in the collection and systematization of material was provided by outstanding scien-tists: Abduali Kaidarov, Mekem-

tas Myrzakhmetov, Kairat Baibo-synov, Serik Negimov, Bazarkhan Kosbasarov, Sherubay Kur-manbayuly, Amantai Sharipov, performer of kuis Abdulkhamit Rayymbergenov, singer Ulzhan Baybosynova and others. The texts were voiced by famous Ka-zakh akyns, singers, and perform-ers of kuis accompanied by kobyz and dombra.

It is planned to voice the classics with implementation of this tech-nology including the famous epic “The Path of Abai” by Mukhtar Auezov.

The new educational guide, re-leased with the print run of 10,000 copies, soon will be available for sale and will be distributed in schools. The cost of one set is KZT 45,000.

Representatives of the Presiden-tial Administration, the Senate of the Parliament and prominent sci-entists attended the launch of the new book.

Singing ABC introduced in Astana

Ballet fascinates spectators with its flawless and tender movements.

By Anel Adilbayeva

ASTANA – On March 27, the first personal exhibition from fa-mous jeweler Yestay Daubayev opened at the Museum of the First President of Kazakhstan in As-tana.

Daubayev has become one of the leading artistic jewelers of his generation in Kazakhstan and his designs have had a wide influence on popular culture. He has also be-come a prominent designer and or-

ganiser of international exhibitions and fairs.

Daubayev has helped design exhibitions of decorative art in the Presidential Centre of Culture (currently, The Nazarbayev Cent-er) in Astana, the “Golden Horde” Exhibition in Uralsk and theAby-lai Khan” Exhibition in Petropav-lovsk. His sculpture “The Defeated Warrior” won first prize at the Zhiger International Competition.

Daubayev told The Astana Times that his jewelry and sculptures were created as the result of long, painstaking research.

“We have to travel a lot and study historical and museum materials, archaeological finds and the works of folk craftsmen,” he said.

Daubayev has decorated saukele, traditional ancient Kazakh female high, cone-shaped hats, with silver and gold coins, pearls and corals. An example of this work is on dis-play in the exhibition.

Daubayev said his works are de-signed to speak in a universal lan-guage of harmony and perfection, and that they combined the herit-age of traditional skills with the expression of spiritual values.

“Skills can be learned by crafts-men and artists from each other and they can be taught to any capa-ble person,” he said. “However, the most important factors are inspira-

tion, inner feeling, intuition and spiritual condition.”

The exhibition is divided into different galleries. The first dis-plays traditional symbols of power such as scepters, maces, standards, rods, horse harnesses and weapons. The second displays his creations of women’s jewelry.

Daubayev was born on June 29, 1964 in the village of Kosagash

in the Almaty region. He gradu-ated from the Gogol Art School in Almaty, the Almaty State Institute of Theatre and Art and Abay State University in Almaty.

Kazakh jewelry art shares much with other Central Asian nations, but is also distinguished by its sculpture expressionism, its clarity of forms and its sense of space and symmetry.

Master Jeweler Displays Work at Museum of First President

Nuraly Kudaybergenuly believes his “ABC of Wisdom” will be in great demand.

By Bektur Kadyrov

ASTANA – A new series of short videos called “Opening Ka-zakhstan” hopes to educate and entertain visitors and the people of Kazakhstan alike with facts about this country. The 10 videos, lasting no more than two minutes each, were launched during Nauryz on the Kazakhstan and Khabar TV channels.

The bright, colourful short films aim to show audiences fascinating

tidbits about Kazakhstan. Topics include the rules of the game asyk atu and the aitys bard contest, the processes of making a dombra (a Kazakh musical instrument), as well as basic history and the rich-ness and imagery of the Kazakh language. Sport enthusiasts can learn about kazakh kuresi (a Ka-zakh wrestling) and tazy hounds. There are also shows about na-tional style and the production and health properties of kumis, a traditional dairy product made of mare’s milk.

The project’s representatives are Chair of the Board of RTRK Ka-zakhstan Nurzhan Mukhamedzh-anova and Deputy Chair of JSC Agency Khabar Almagul Ah-metzhanova. The idea for the project came after President Nursultan Nazarbayev’s meeting with media representatives in De-cember 2012. Then, the president asked, “How should we open up and show the youth the unique way of life and culture of our people? I think it should be done through original projects, promoted on

TV, but in plain language and in a modern format.”

All ten videos will be shown throughout the year on the Kaza-khstan, Khabar, El Arna, Kazakh TV, 24KZ and Bilim channels. In addition, they are available on YouTube and photo materials and infographics are available on the photo hosting website Flickr.

At the event to launch the films, organisers played asyk, an ancient bone game. A journalist from the newspaper Zan, Tynysh Ahmetzh-anova, won the mini-tournament.

Short Videos Highlight local Culture

Yestay Daubayev’s jewellery impresses with its fine lines and colour play.

Wednesday, 10 April 2013The Astana TimesB4

Country

The Monument of Lovers is a popular place for photo sessions of the newlyweds.

By Maral Zhantaykyzy

ASTANA – From March 15 to April 6, the Alliance Française (the French Alliance) and the embas-sies of five French-speaking na-tions are holding a cultural festival in Kazakhstan, called the Feast of Francophonie.

On March 23, the embassies of France, Belgium, Canada, Roma-nia and Switzerland held a trade fair in Astana. Visitors purchased goods on display from these coun-

tries and enjoyed free French cr-oissants, cheeses and wines.

The Office for Campus France offered education programmes and courses in French. Students from the French Alliance School performed songs in that language. Embassy officials held a quiz on the history of their countries and a lottery.

“Thank to this annual festival I started learning French two years ago. Today I invited my friends for this holiday, and I want to show

them the world of my interests. Together we participated in a quiz and won gifts,” Anara Abilova, a student at the Alliance Française school, told The Astana Times.

Films from the participating countries were screened in the cit-ies of Astana, Almaty, Karaganda, Kostanay, Shymkent and Oske-men including the Oscar-winning “Amour,”“The Barons,” “Mr La-zar” and “A Small Room.” The films were shown in French with Russian subtitles.

The Alliance Française also held a French language music contest in those six cities and the regional winners came to Astana for the fi-nal. The winner received a linguis-tic trip to France.

The jury determined winners in two categories: Darya Ossipova from Kostanay won in the catego-ry “the no-francophones” (people, who don’t speak French). She got a round ticket to Paris. Almira Kai-rzhanova from Astana became a winner in the category “the Fran-cophones.” With the song “The Levity” she won the linguistic full board holiday in France.

“I’m very happy because I have been involved for the second time. Last year I didn’t win, and now my dream came true and I will finally see Paris. I have studied French from the school, for already 7-8 years, now, I study the law at uni-versity, but I didn’t back out my dream. I love French songs, es-pecially from the repertoire of Camille. I like her unique style and songs,” Almira shared ther feelings with the Astana Times

After the contest, the partici-pants were invited to the recital of Almaty jazz singer Irene Aravina “Uno Tango”, to enjoy the French chansons of the early 20th century.

Diplomats from the five embas-sies also participated in the annual Nauryz spring festival celebrations around the country.

Starting on March 15 in Kara-ganda, French artist Nicolas Jour-net held a travelling exhibition of his comic book called “Més que un blog” (More than a blog), whose protagonist Bakhytzhan (Bakha)

Zhumanov comes from Almaty.Bakhytzhan adores his little sis-

ter, loves “hanging out” online, playing computer games, watching action movies and historical mov-ies, going to a water park with his father, spending weekend with his mother in their cottage house. Just like all young men of his age. But he is not like everyone else. Ba-khytzhan is disabled, he has severe poliomyelitis. He is a big fan of the “Barcelona” football club and especially, Leonel (Leo) Messi. The motto of the club “Més que un club”, which in Russian means “More than a club,” in tune with the title of the exhibition – “More Than a Blog.” It expressed the de-sire of the artist and the hero of his reportage not just to tell the story of their meeting, but cover some-thing more important.

“Seeing Bakhytzhan’s life story every day, the visitors will feel that the people with disabilities are or-dinary people who have the same tastes and interests and don’t differ from our habits and activities. And if we feel uncomfortable around them, feeling shame, embarrass-ment, curiosity or fear, then it is in-dicative of our inferiority and lack of cultural behaviour,” Nicolas Journet said, hoping that his exhi-bition will encourage the viewer to sympathize, and to reflect.

The comic book exhibit will be shown in all six cities where French language cultural events are being held. The Embassy of France in Kazakhstan helped organize a travelling exhibition in Almaty, Astana, Shymkent, and after Ka-raganda it is awaited in Oskemen, and Pavlodar. It is possible that the exhibition will be presented in St. Petersburg, and around the world, the socialized comic “Més que un blog” already is widely known among Internet users, where it was demonstrated for the first time.

International Francophonie Day is celebrated every March since 1970. It unites more than 200 million French-speaking people around the world.

From Page B1

She didn’t love Kodar and wait-ed for Kozy-Korpesh. Fearing their meeting, Karabay and Kodar took Bayan-Sulu away but she left clues on the road. On a mountain, she left her comb. That mountain is still called Altyn Tarak (a gold comb in Kazakh). She dropped her belt in a valley, and this valley is called Kyzyl belbeu (a red belt in Kazakh). She scattered a necklace, and the mountains were called Monshakty (the beads in Kazakh). By these traces, Kozy-Korpesh followed her clues and found her. They fell in love at first sight. But then Kodar, having failed to defeat Kozy-Koresh in a fair fight treach-erously murdered him in his sleep.

Bayan-Sulu took her revenge. She asked Kodar to bring water from a deep well. Kodar agreed to climb down into the well using her hair braids as a rope. But then Bayan-Sulu cut her hair braids and left Kodar to die in the well. She

couldn’t live without Kozy-Kor-pesh and stabbed a knife into her own heart.

Kozy-Korpesh and Bayan-Sulu were buried together. The poem about them has passed from gen-eration to generation and visitors still come to their tomb near the village of Tansikin in the Ayagoz district of East Kazakhstan. Young couples go there to request protec-tion, and lonely singles ask to meet their future mates.

This famous tomb is one of the old-est in Kazakhstan. It is built of stone and has a pointed dome tapering up-ward to 12 metres (39.37 feet).

Various versions of this epic ex-ist in the folklore of some Turkic-speaking peoples. The Bashkiri version of the poem is called “Kuzy Kurpesh Menen Mayan Hylu,” the Tatars call it “Kozy Korpesh” and the Altais call it “Kozy Erkesh.”

The Institute for Cultural Devel-opment and the Tagylym literary society are planning to translate the poem into English.

Country hosts festival of French-speaking nations

National Day of lovers to Recall legendary Romance

By Yuri Kubaychuk

In four years, Astana will host the international exhibition EXPO 2017, which is a symbol of industri-alisation and represents a platform from which to demonstrate tech-nical and technological achieve-ments. The theme offered by our country, “Future Energy,” was inspired by the search for qualita-tive changes in the energy sector, including the development of alter-native sources of energy and new ways of its transportation.

Kazakhstan has large reserves of energy resources, but the share of renewable energy in the overall energy balance of the country is less than one percent. According to experts, wind energy is the most promising direction for the devel-opment of renewable energy sourc-es in Kazakhstan. The country is ranked first in the world in terms of potential of wind energy resources per capita. The average wind speed in Jungar Gates, Shelek Corridor and the cities of Astana, Arkalyk and Fort Shevchenko is seven to nine metres per second.

In 2009, Parliament adopted the law “On supporting the use of renewable energy sources.” It identifies the objectives, forms and directions of state support for their use. The main purpose of the law, the incorporation of clean energy and environmental protec-tion measures into the country's energy sector, remains unfulfilled. Nevertheless, after the adoption of this law and a number of legal acts containing measures aimed at promoting and developing the use of renewable energy, domestic and foreign investors showed increased interest in the sector. A number of projects in the field of renewable energy have now been launched.

Last year, Parliament adopted a new law, “On energy saving and energy efficiency.” This law was developed to improve energy ef-ficiency; its comprehensive plan focuses primarily on companies in the industrial sector and provides a set of regulatory, promotional and administrative measures. In

particular, it proposes to provide a mechanism for preventing the commissioning of new facilities that will consume energy but are not equipped with metering devic-es and automated systems of heat control.

In 2012, the government approved rules of implementation for envi-ronmental (“green”) investments. Today, the total sum of investments in the development of renewable energy projects in Kazakhstan is more than 107 billion tenge.

The energy balance in the world is changing rapidly: the develop-ment of alternative fuels and re-newable energy and the transfer from coal to gas confirm this. And here I would like to note the po-tential for transferring energy and industry in Kazakhstan to methane that has been proven by the inter-national experience of its use for power generation in coal mines.

Objective prerequisites for or-ganising commercial production of methane from coal beds in the Ka-raganda basin are positive world experience, the availability of tech-nologies for efficient extraction of methane, and its presence in large amounts in the depths of not only Karaganda basin, but other coal deposits of Kazakhstan. Methane from the coal fields can be effec-tively used by powerful thermal stations, Karaganda Metallurgical Plant, Pavlodar Aluminum and the Aksu Ferroalloy complexes.

The use of methane in industry and energy, gasification of private sector, transfer of vehicles to gas: all this will have a huge economic, environmental and social impact. The organisation of coal-gas pro-duction in the Karaganda basin alone will solve another pressing problem: the Environmental Min-istry annually collects about 50 billion tenge for emissions into the atmosphere.

I think the government should de-velop a national branch programme for the production of methane from coal beds. To increase the invest-ment attractiveness of the project, it is expedient to make appropriate changes in existing legislation on

the reduction or abolition of cus-toms duties on import of equipment and materials for the production of coal bed methane, as well as invest-ment incentives for income tax for a period of return on investment.

Moreover, organising the pro-duction and utilisation of meth-ane from coal deposits will also contribute to Kazakhstan’s com-mitments to the international com-munity to reduce greenhouse gas emissions.

The president, in his address in December 2012, highlighted the fact that as a major player in the hydrocarbons market, we need to develop alternative forms of en-ergy production and actively in-troduce technologies that use solar and wind energy.

In accordance with the Strategic Development Plan through 2020, the share of alternative energy sources in total energy consump-tion is to reach 1.5 percent by 2015 and more than three percent by 2020. But it should be noted that, according to a new strategic docu-ment, by 2050 alternative and re-newable energy should account for at least half of the total energy con-sumed in the country. Therefore, many of the adopted renewable en-ergy programmes must be adjusted in accordance with the objectives set by the president in Strategy Kazakhstan-2050.

Today, the country is actively preparing for EXPO 2017. Lead-ing experts from foreign countries in the field of modern energy have been invited. Overall, despite some difficulties, renewable energy in our country has begun to be de-veloped. The necessary legislation and government programmes have already been implemented. EXPO 2017 is a powerful incentive and a chance for a sharp turn toward a green economy.

To positively represent ourselves at the global event, the government today should actively promote the adoption and implementation of the project for the extraction of methane gas, which can become one of the breakthrough projects under the theme of the exhibition and which can have a positive im-pact on the economic development of Kazakhstan.

The author is a member of the Senate of the Parliament of Kaza-khstan.

Time for Energy of the Future Is Now

As part of the Feast of Francophonie, a colourful exhibition was organized at one of Astana’s malls.

Wednesday, 10 April 2013 The Astana TimesB5

society

By Nadezhda Khamitova

ASTANA – On March 31, KIMEP Alumni Association in As-tana organized a charity concert for the residents of the state Home for the Elderly and Disabled to com-memorate the Nauryz holiday. The event was held against a backdrop of heavy snow, but more than 30 former KIMEP students and their friends came to perform.

Ibragim Eskendir performed the popular patriotic song “Kok Tudin Zhelbiregeni” (“The Blue Flag”), Murager Sauranbayev performed “Alkissa” by Nurgisa Tilendiyev on the dombra, Bag-lan Bektas sang the song “Toi” (“Wedding”), Daulet Kozhabe-kov sang “Ana Turaly” (“About Mother”) and a young acapella group performed.

“Those two to three hours spent with them are only a drop in the time scale, but we believe that the concert will make those elderly people smile even two or three months,” young poetess Zhanar Salybay told The Astana Times.

Sauranbayev, the dombra art-ist, told The Astana Times that the KIMEP students wanted to revive Nauryz traditions of serv-

ing the elderly and rejoicing on the holiday.

“In the past, young people started the Nauryz celebration by presenting special plates of food called ‘belkoterer’ to elders. Then the elders would give them a ‘bata’

(blessing). We were inspired by this tradition when we planned our concert,” he said.

“I think traditional music will al-ways be in demand. I want to wish our grandparents long years of liv-ing and strong health. Now we are

looking forward to our next meet-ing,” he added.

Eskendir, a popular singer, said he felt an obligation to perform at charity events. “I am always happy to support such initiatives,” he told The Astana Times. “I am very grate-ful for the invitation and I want to express my appreciation to KIMEP graduates for coming up with such a wonderful idea. They sang and danced and shared their joy with the elderly residents of the institution. Such events unite us and bring us a sense of patriotism. We are all citi-zens of one country, we have to be united no matter what and we have to preserve these good traditions.”

In August, the KIMEP group bought toys for patients for an As-tana hospital and then visited it to meet the children there.

The KIMEP Alumni Associa-tion in Astana is a club of former KIMEP students. They organise social, charity and sporting events, support recent graduates and pro-mote career growth.

The group is an example of the power of private individuals to change society for the good and help the unfortunate.

By Assem Kazybay

ASTANA – The first meeting of the Youth Inter-Parliamentary As-sembly of the Commonwealth of In-dependent States was held on March 29 in St. Petersburg, Russia.The as-sembly served as a platform, where young people from the 12 CIS na-tions introduced positions and pre-sented opinions on issues concern-ing them.

The meeting marked a major ad-vance on the international scene for youth movements in Kazakhstan. Starting last year, the nation’s youth movement has played an increasing role in CIS youth activities.

In April 2012, in Baku the capital of Azerbaijan, Shakhmardan Baim-anov became a deputy chairman of the international youth public organ-ization, theSilk Way. He is also head of the Youth Policy Department of the Akmola region. In July 2012, in Moscow Chingiz Lepsibayev was elected as a first deputy chairman of the Sodruzhestvo international youth public organisation. Lepsi-bayev is also head of the directorate of international programmes of the

Civil Alliance of Kazakhstan, an as-sociation of non-governmental or-ganisations (NGOs).

The international inter-parliamen-tary youth movement was founded in 1987, when the European Youth Parliament (EYP) was created in France. The first Youth Assembly of the Parliamentary Assembly of the Council of Europe was held in 1999.

The next step came when a Youth Assembly was held on Oct. 5-7, 2012 in Strasbourg, one of the three capital cities of the 27-nation Euro-pean Union. Representatives from Kazakhstan participated as observ-ers.

The Russian-German Youth Par-liament is a joint project of the International Youth Exchanges Foundation in Moscow and the German-Russian Youth Exchange Foundation in Hamburg. The first Russian-German Youth Parliament was held Oct. 7-11, 2006 in Ger-many.

The first Euro-Mediterranean Youth Parliament was held from May 26 to June 3, 2007 in Berlin when Germany chaired the Europe-

an Union. It was founded on the ini-tiative of the Ministry of Foreign Af-fairs of Germany and was organised by the European Youth Parliament, the Heinz Schwarzkopf Foundation and the Goethe Institute with the support of the European Commis-sion, the Anna Lindh Foundation and the European Youth Forum.

The CIS Youth Inter-Parliamenta-ry Assembly was launched in 2008. In Russia, a working group was launched by the Youth Parliamen-tary Assembly under the Federation Council, the upper house of the Rus-sian parliament.

In 2009, young people in Kyr-gyzstan created a parliamentary youth movement to work with the wider CIS movement.

In 2011-2012, workshops for young parliamentarians and youth leaders were held at the CIS Inter-Parliamentary Assembly and the Kazakhstan delegation took an ac-tive part.

On May 18-20, 2012, the found-ing documents of the CIS Youth Inter-Parliamentary Assembly were approved at a meeting in St. Peters-burg, Russia.

Youth Parliaments Forge Ties in CIS

KIMEP Alumni Bring Nauryz Joy to Elderly

From Page B1

“The most topical issue on the agenda is quality,” one organiser of the event, Daniyar Alan, said. “Moderators and users are facing a challenge not just to keep pace with modern trends, but also to more consciously perceive and ob-serve ethical norms. In the virtual world there is no supervisor who gives advice on how and what to write. Everything depends on the conscience of every user, his desire to adhere to the rules and regula-tions.”

Speaking at the opening of the meeting, Akim (Governor) of the South Kazakhstan region Askar Myrzakhmetov stressed that Ka-znet is now developing rapidly but that’s no reason to be satisfied with what has already been achieved.

The issue of creating content and increasing the number of web-sites in the state language today is not such a critical problem as it was during the first kurultai. Over the past few years, the number of websites in the state language has considerably increased, as has their quality. A website based in the city of Shymkent and created in a question and answer format is ranked among the top 10 sites of Kazakhstan, which is a significant success.

Today there are about 300 blogs in Kazakh. However, the propor-tion of sites registered under the domain “.kz” is just nine percent of the informational space of Ka-zakhstan.

In addition, there are Internet us-ers residing outside Kazakhstan, in countries such as China, Mongolia, and in parts of Europe, who also write blogs in the Kazakh language and thereby actively participate in the development of Kazakh con-tent online.

The organisers of the meeting

believe that working alone, they cannot reach their goals, because they often go unheard. There is a need, they feel, to create a special platform that can unite all Kazakh bloggers. This format will provide them with an opportunity to devel-op their initiatives.

The progress of information technologies now also contributes to the development of freedom of speech.

“The Internet is the main plat-form for the exchange of views and ideas that could not be aired on pub-lished and broadcast mass media in the state language,” said blogger Nurgis Salybekov. “For a long time on a subconscious level there was a certain taboo about political topics in the official language. And I’m not talking about a destructive ap-proach in the discussion of issues. I think that many writers and public figures are beginning much more to dare express their thoughts and opinions. I’m sure this will affect the consciousness and erudition of Kazakh youth.”

The virtual world has a huge real-world base among teenag-ers and young adults. Ideological work with them is necessary. It was decided to hold such meetings annually, alternating meeting sites among regional centres. The result of this kurultai was the exchange of experiences and ideas and new projects that will be launched in Kazakhstan.

Kazakh-language Bloggers Discuss Prospects for Kaznet

Chingiz Lepsibayev (l), first deputy chairman of the Sodruzhestvo international youth public organisation, Khelel Bakirov (c), permanent representative of EYP in CIS, and Almas Turtayev (r), member of the Mazhilis of the Parliament of Kazakhstan.

today there are about 300 blogs in Kazakh. However, the proportion of sites registered under the domain “.kz” is just nine percent of the informational space of Kazakhstan.

Esbol Atakulov invited a resident of the Home for Elderly and Disabled for a dance.

After the concert, the grateful audience gave KIMEP students ‘bata’ (blessing) for their good intentions.

Wednesday, 10 April 2013The Astana TimesB6

Tourism

By Galiya Nurzhan

ASTANA – Kazakhstan has improved its position as a global tourist destination in a new report issued March 7 by the World Eco-nomic Forum.

The biennial Travel and Tourism Report, entitled “Reducing Barri-ers to Economic Growth and Job Creation,” reported considerable movement in the Travel and Tour-ism Competitiveness Index’s top 10 countries.

Over the past two years, Kaza-khstan has climbed five positions from 93rd in 2011 to 88th this year among the 140 countries in the re-port. It monitors such criteria as national legal systems, environ-ment, safety, health and hygiene, the priority of tourism, internal air and land transport, tourism infra-structure, pricing, human resources and national culture.

Switzerland ranks first as a glo-bal tourist destination followed by Germany, Austria, Spain and Brit-ain.

Estonia led the former Soviet republics in the index at 30th and the other Baltic states of Latvia and Lithuania ranked 48th and 49th. Russia was at 63rd, between Saudi Arabia and South Africa, Georgia was at 66th and Ukraine at 76th.

Kazakhstan has been developing its tourism industry. The number of visitors grew from 11 million in 2004 to nearly 17 million last year. Tourism is now an important sector for foreign investment, a roundta-ble conference on the subject was told in Almaty on March 15.

The International Academy of Business (IAB), the Kazakhstan Tourist Association (KTA) and the Kazakhstan Association of Hotels and Restaurants organised the March 15 conference on “The Creation of Kazakhstan’s Tour-ism Brand in Anticipation of New Property and Financial Sector Initiatives.” Government officials, business leaders, NGOs and sci-entists discussed tourism develop-ment.

Dagmar Schreiber of the Kaza-khstan Tourist Association (KTA)

said that Kazakhstan was poorly differentiated in global advertis-ing and was not perceived as an attractive destination. She said the Silk Road and mountains and great natural resources were major assets, but the domestic tourist in-dustry was not sufficiently devel-oped while hotels and flights to the country were still too expensive.

A single room in the Alatau sana-torium costs 18,300 tenge ($122) per night, a double room costs 27,500 tenge ($183) a night and a suite costs 35,000 tenge ($230) a night. In some Middle East coun-tries comparable rooms at three-star hotels were half the price, she said.

Journalist Arkady Pozdeev told the conference Kazakhstan still had great tourism potential but its resources needed to be developed.

Participants agreed the country’s strongest tourist attractions were the Tien Shan mountains, Alakol Lake, the Great Silk Road, Genghis Khan legacy, hunting with falcons and eagles, national games, the cit-ies of Astana and Almaty the snow leopard and the Golden Man, the ancient Scythian prince excavated in full warrior garb.

Experts agreed Kazakhstan needs to build new facilities and develop its tourist industry. It needs to de-regulate private businesses in tour-ism and offer them cheap loans. New road and rail links need to be built to major tourist attractions.

Since 2010, the tourism industry has been expanded within the 2014 Tourism Industry Development Programme.

On March 21, Deputy Prime Minister and Minister of Industry and New Technologies (MINT) Asset Issekeshev unveiled the 2020 Kazakhstan Tourism Industry De-velopment Concept, drafted on the instructions of President Nursultan Nazarbayev.

Issekeshev told tourism industry executives that the sector would be developed on a four season, all year active basis. Over the next seven years, 550,000 new jobs would be created in the tourism industry to serve an additional 8.2 million tourists per year.

“We plan to make Astana the main tourist centre, as well as Al-maty. We plan to develop beach tourism in the Mangistau region. We also plan to organise tours to historical monuments in the East Kazakhstan and South Kazakhstan regions. The programme will cost $10 billion,” Issekeshev said. About 70 percent of the investment will come from foreign investors, he said. The government would de-velop five main tourism centres and more than 20 regional projects.

“The state must play a pivotal role in developing the national tourism industry. The experience of Malaysia, Singapore, Spain, Mexico, Morocco and other coun-tries shows this is crucial,” Prime Minister Serik Akhmetov told the meeting.

Akhmetov said new infrastruc-

ture had to be built to expand the tourist industry.

“Kazakhstan has a vast territory with potentially attractive tourist areas. Increasing the flow of for-eign tourists will generate new jobs and new profitable businesses,” he said.

The government is building a new tourist entertainment com-plex at Burabay in the Akmola Special Economic Zone (SEZ) for 450 billion tenge ($2.98 billion), the Zhana Ile international tourism centre on the coast of Kapshagay reservoir in the Almaty region for 345 billion tenge ($2.29 billion), the Kenderli international resort on the shore of the Caspian Sea in the Mangistau region for 345 billion tenge ($2.29 billion), and the Kok Zhailyau ski resort near Almaty.

Kazakhstan Rises in Global TravelRankings

By Assem Kazybay

ASTANA – “There is a need to create national brands and inno-vative approaches to attract for-eign tourists to Kazakhstan,” the country’s Minister of Industry and New Technologies Asset Isseke-shev said on March 29.

According to Issekeshev, this has already been discussed with artisans and cultural workers. Ex-amples of ways to promote tour-ism include holding festivals, developing Kazakh auyls (“vil-lages” in Kazakh) and identify-ing national historic sites for the development of domestic tour-ism, especially for the patriotic education of children. In addition, ways to improve routes to tour-ist sites were thoroughly exam-ined. This request was forwarded to the Ministry of Transport and Communications for inclusion in the Programme for Infrastructure Development, which the ministry is elaborating. A joint team will work out all the proposals. These issues are now being worked out with the Ministry of Transport and Communications.

Issekeshev also mentioned is-sues that were discussed in the framework of the Tourism Devel-opment Programme. Issues of per-sonnel training with the possible founding of a university in coop-eration with foreign partners and issues of guides training are still on the table. Issekeshev reported that issues regarding the develop-ment of airports, tourist trains and buses were raised.

Recently, Almaty International Airport and Lufthansa Consult-ing finalised a comprehensive master plan development project. Now Kazakhstan’s largest inter-national airport is on track to face future challenges in its market en-vironment and meet international safety standards. According to the master plan results and the inte-grated traffic forecast to 2031 and beyond, the airport will be able

to accommodate future growth in terms of passengers, cargo and aircraft movements. The expected air traffic expansion will have an important impact on the economic and social development of Almaty and Kazakhstan as a whole.

Issekeshev also emphasised that it is important to take into account the social side of these projects. It is necessary to consider ecological issues and take a careful attitude to nature, as well as to develop tourism for the disabled.

As Minister Issekeshev reported, protocols have been drawn up on each issue and all arrangements on further steps have been set forth. Most importantly, the government has decided to revive the Tourism Council with the participation of all concerned bodies and business representatives. The first meeting will be held in April, during which answers to the questions put forth so far will be discussed.

Natural landscapes, geograph-ic features, cultural heritage, a well-developed infrastructure and safety attract tourists to potential destinations. Kazakhstan has the opportunity to cultivate a positive tourist image. It is situated in the heart of Eurasia, on the crossroads that connect the largest Asian and European countries. This benefi-cial geographic location can have a favourable effect on the devel-opment of international tourist relations.

Kazakhstan also has many unique wilderness areas and na-tional reservations, as well as archaeological and historical monuments. Kazakhstan’s “Stone-henge” and the ancient Turkic clocks of Bayanaul National Park can become a brand of Pavlodar region, for example. According to archaeologists, the restoration of these sites will not only recreate their original forms, but will make the Bayanaul National Park one of the centres of tourism in Kaza-khstan.

Government Seeks Tourism Sector Innovations

Kazakhstan’s major carrier develops new routes for the convenience of its passengers.

By Maral Zhantaykyzy

ASTANA – Kazakhstan’s lead-ing airline company, Air Astana, has launched two new international di-rect flights from Astana and Almaty to Kiev, the capital of Ukraine.

An Embraer 190 aircraft now flies the Astana-Kiev-Astana route on Mondays, Wednesdays and Satur-days. Flights from Almaty to Kiev and back are conducted on Tuesdays, Fridays and Sundays on an Airbus A320. With the launch of new flights to Kiev’s Borispol Airport, Air As-tana’s international route network has expanded to 40 flights.

“The launch of flights to Ukraine, with its favourable geopolitical lo-cation in Eastern Europe, has great strategic importance for the devel-opment of the airline, especially in terms of the implementation of tran-sit passenger capacity between West-ern Europe and the Asian region. In addition, a direct flight between the capital of Ukraine and Kazakhstan’s largest cities will strengthen bilateral political, trade and economic rela-tions between the countries.

I am sure that the capital of Kievan Rus’, abundant with beautiful sights, will strike the fancy of Kazakhstan’s tourists, who appreciate opportuni-ties for convenient connections on

the way to Europe. And the people of Ukraine will certainly be attracted to the young capital of Kazakhstan, Astana, as well as the business and cultural centre of country, Almaty,” President of Air Astana Peter Foster told a press conference on April 1.

“Thanks to the new flights to Kiev, we hope to increase transit volumes from Asia to Europe and back using Astana and Almaty as transit hubs. We have increased the number and quality of Ukraine connections not only with Kazakhstan but also with Asian destinations,” Foster added.

Before Air Astana’s expansion, daily flights from Ukraine to As-tana and Almaty were flown only by Ukraine International Airlines (UIA).

However, tickets now offered by Kazakhstan’s air carrier are cheaper. A round-trip airfare from Astana to Kiev is 47,717 tenge ($318) for economy class or 210,717 tenge ($1,405) for business class. A round-trip airfare from Almaty to Kiev is 49,356 tenge ($329) for economy class and 211,358 tenge ($1,410) for business.

Members of the Nomad Club fre-quent flyer programme will be able to accumulate points with the flights and Nomad Club Silver or Nomad Club Gold members can take advan-

tage of benefits for premium club members.

Now with the new route, flights to Europe are cheaper, particularly the Youth Fare segments. Travellers can stay in Kiev and admire the beauty and attractions of the city or visit friends in Ukraine, because Kaza-khstan citizens can stay in Ukraine without a visa for 90 days a year.

According to Air Astana president, in the very near future Air Astana also plans to launch flights between Astana and Orenburg and open a route from Atyrau to Moscow. The company continues to implement its strategy of increasing passenger traffic. Last year, passenger traffic increased 14 percent.

Air Astana, a joint 51-49 percent venture between the Samruk Kazy-na National Welfare Fund and BAE Systems PLC, conducted its first flight on May 15, 2002. Currently, its route network includes 60 inter-national and domestic routes from Almaty, Astana and Atyrau.

Air Astana was named Best Air-line Central Asia and India at the 2012 World Airline Awards held at the Farnborough Air Show in June 2012. In addition, Air Astana is the first carrier based in Russia, CIS and Eastern Europe to be awarded the prestigious 4-Star rating by Skytrax.

Air Astana expands network across Eurasia

From Page B1

The water of Korgalzhyn Lake is so desalinated that it is even drink-able.

In 1976, the Tengiz-Korgalzhyn lakes were included in the Ram-sar List of Wetlands of Interna-tional Importance. In 2000, Ten-giz Lake became the only lake in Kazakhstan to be introduced into the international network, Living Lakes. In 2007, the protected lakes were included in the international network of Important Bird Areas (IBAs). In 2008, its territory was named part of the UNESCO World Natural Heritage. In 2012, it was recognised by UNESCO as the first biosphere reserve in Kazakhstan.

The air on the reserve is thick with the scent of flowering grasses and sagebrush. The reserve contains more than 500 species of flowering plants. About 40 percent of them are from the family Compositae, cereals and chenopodiaceous plants. Half the species are typical steppe forms. There are no trees, but there are 12 types of bushes adapted to flood plains, including shrubby willows, briars and honeysuckle. The reserve protects 45 species of rare and native plants like Shrenk tulips and double-flowering tulips, blue onions, Ural licorice, sandy everlasting, marsh-mallow, black wormwood, Lessing feather grass, steppe sage and oth-ers. The fauna of Korgalzhyn is typ-ical for the local area and includes 43 species of mammals, 347 spe-cies of birds, six species of vermi-grades, six species of amphibians, 300 species of beetles and 14 spe-cies of fish. The local steppe inhab-itants are unique and protected by Kazakhstan’s Red Book. They are the Demoiselle crane, Vanellus gre-garious (sociable lapwing), Ciconia nigra (black stork), Cygnus cygnus (whooper swan), Branta ruficol-lis (red-breasted goose) and oth-ers. Foxes, wild boars, grey hares, mountain hares and Hemiechinus (long-eared hedgehog) are perma-nent inhabitants of the steppe region.

From time to time, forest dwellers like lynxes, roe deer and elk come into the reserve area from Northern Kazakhstan and Western Siberia.

But it’s the pink flamingos that give this place its particular charm and make it a paradise for bird-watchers. The spectacle of mass flight and the large gatherings of fla-mingos and other waterfowl on the lake create indelible images. Kaza-khstan’s flamingos form the world’s northernmost breeding colony. They have been nesting here since the Paleogene period, when the whole Tengiz-Korgalzhyn basin was covered by the sea of Tethys. The population of flamingos in a season reaches 50,000-60,000 individuals.

Every year, more and more tour-

ists come here to admire the pink sky, covered with flocks of flamin-gos, and contemplate unspoiled nature. The reserve is always open for Kazakhstan’s and foreign scien-tists. In 2009, the visitor’s centre of Korgalzhyn Reserve began work as an environmental education centre. Since then, about 20,000 people from Kazakhsan and abroad have visited the centre. There is also the Baldauren children’s ecocamp, which every summer helps chil-dren get aquainted with the reserve. Various tour operators offer tours or guests can come alone in a car or shuttle from the bus stations of Astana. The trip takes three hours from Astana on the Korgalzhin route.

Pink Flamingos Find Prairie in the North

Not only flamingos inhabit lakes near Astana, but also pelicans and cranes.

Wednesday, 10 April 2013 The Astana TimesB7

Sports

Golovkin (l) was ready for the fight and his strong punches were right on target.

Golovkin KO’s Challenger, Retains World Middleweight Title

From Page A1

Golovkin, 30, dominated the fight from the starting bell.Ish-ida, 37, tried to fight back but his punches lacked focus. Golovkin was always well ahead on points and hammered his opponent be-fore finishing him off.

“I like this city, this country. Thank you all,” Golovkin said after his victory. In the hall, Golovkin had many supporters including Kazakhstan’s Olym-pic champion cyclist Alexandr Vinokourov.

Prince Albert II of Monaco pre-sented Golovkin with the champi-onship belt to Golovkin.

Heavyweight world champion Vladimir Klichko said Golovkin was now the dominant middle-weight of his generation. “Gen-nady Golovkin stands out in his weight class. It’s very hard to compare him to any other boxer. He has a solid record and more than 85 percent of his fights end in knock-out victories,” he said.

“Golovkin wanted to be active this year, and this fight gave him the opportunity to defend his title again in front of a major Euro-pean audience,” boxing promoter Tom Leffler said. “He has estab-lished himself as one of the most dangerous fighters in the middle-weight division and he will fight anywhere in the world without any hesitation.”

Golovkin said he had wanted to be a champion boxer since he was a young boy. “It all started when I was 10 years old. I went with friends to the district boxing hall,” he recalled after his vic-tory. “My first coach was Victor Dmitriyev. He was the man who managed to find an individual ap-proach for each of his students and he made everyone interested in training. I cannot stop thanking him for that.”

The boxer said he next wanted to fight Argentina’s Sergio Mar-tinez.

“All my friends were engaged in sport, so I did not have some difficult choices,” Golovkin said.

“I quickly began to achieve good results. Today, I can say that I’m happy. Destiny laid it down. I am satisfied that now I can do the things I love and with great joy come home to my beloved fam-ily. And this is the most important thing for a man.”

Golovkin’s next fight will take place in June. He has now won 27 professional fights, 24 of them by knockouts. His previous victory was in New York City on January 19 when he defeated Gabriel Ro-sado of the United States in Madi-son Square Garden by a technical knockout (TKO) in the seventh round.

Statistics: Gennady Golovkin - Nobuhiro Ishida

General strikes: Golovkin - 105 of 205 (51 percent), Ishida - 28 of 147 (19 percent).

Front hand punches (jabs): Golovkin - 53 of 108 (49 percent), Ishida - 13 of 75 (17 percent).

Power punches: Golovkin - 52 of 97 (54 percent), Ishida - 15 of 72 (21 percent).

By Oleg Taran

ASTANA – In 2007, the Head of state assigned Bulat Utemuratov the task to develop Kazakhstan’s tennis. As head of the national Tennis Federation, Utemuratov has done much for that, but the main thing is that this sport in the coun-try is actively developing and ten-nis players from Kazakhstan have significantly improved their level and won the right to participate in prestigious international competi-tions, such as Davis Cup.

Did you think back then in 2007 that it would take only six years to reach the results that Kazakhstan’s tennis has achieved now?

When in 2007 I became chairman of the Tennis Federation of Kaza-khstan it can be said that it did not exist in fact and de-jure. Moreover, all relations with the International Tennis Federation were broken off, which had a negative impact on the image of our sport organization. We had to start from scratch.

The Federation’s structure was established in the regions – direc-torates and affiliates, which to-day effectively work, managing through strong vertical ties in all major cities; tennis courts were built and tennis clubs were opened. We have supported young promis-ing athletes understanding that this is our future.

Five years ago for the first time as chairman of Kazakhstan’s Tennis Federation I met Francesco Ricci

Bitti, President of the Internation-al Tennis Federation. We talked about the promotion of tennis in Kazakhstan and he asked about our plans. I told him that our goal is to play in the World Group. He was surprised, and replied that it would take time: you need to build courts and to prepare good coaches who will grow future champions, he said. And, most importantly, it is necessary to be patient, because results will not be quick to come. But I did not agree with his last statement...

What path did you choose then?

I understood there were only two promising players then, Alexey Ke-dryuk and Syrym Abdukhalikov. We especially supported Abdukha-likov, but having won the cham-pion title in Kazakhstan, he did not justify our hopes in the future. And Alexei Kedryuk is already an aged player, although he is a good ath-lete and works a lot.

How could we break into the international competitions? It re-

mained to find and invite promis-ing tennis players who could ad-equately represent Kazakhstan in the international arena and who, through their success, would pro-mote tennis in the country and at-tract young people.

Of course, no one would give us the world No 1 in tennis, but with the help of Shamil Tarpishchev, president of the Russian Tennis Federation, we had an opportu-nity to invite players who were not able to show their full strength then such as Yuri Schukin, Mikhail Kukushkin, Andrey Golubev and Evgeny Korolev. The women’s team included Yaroslava Shvedova and Galina Voskoboeva and was “enhanced” by Bulgarian athlete Cecil Karatancheva.

We had an individual approach to each player, and discussed with them the prospects and opportunities. Of course, we created all conditions that we had promised, including training process and good psychologists, and never laid any claim to their prize money... We all work together on the result, as one team.

We have talked about the past and present of tennis in Kaza-khstan. And how do you see its future?

It takes several years to prepare a strong tennis player and it’s bet-ter to begin training when a boy (or a girl) is 5-6 years old, since some experts believe 8 years old is al-ready too late.

We created our Tennis Academy of boarding type in Astana – with the secondary school, accommoda-tion, training, excellent conditions and four meals a day. Children work with coaches, teachers, and psychologists. Parents believe in us and trust their children to us. Similar bases were set up in the cit-ies of Almaty and Shymkent.

The main task is to promote sport in the country, to make it a widely spread sport. For that, we build new courts, organize tourna-ments and workshops, and prepare coachers.

As for my own dream, I want to see our Kazakh tennis players as winners of a Grand Slam. Let it be tomorrow, but I’m sure that it will come true! And our federation is doing its best for that.

Head of Tennis Federation Sees Kazakh Players Winning Grand Slam Titles in Future

By Miras Abykov

ASTANA – Andrey Gundarev is known as the first citizen of Kazakhstan to ascend the highest volcano in the world called Ojos del Salado (6,893m) as part of the Kazakh-Russian expedition. Thus, he is well on his way to achieving his goal of scaling the “seven high-est volcanoes on the seven conti-nents.”

Recently, he became the first Ka-zakh climber to make a successful ascension on the highest volcano of North America called Orizaba. Orizaba, with the height of 5,700 meters above sea level, is located in Mexico near a small town of Puebla-de-Zaragoza.

“We went up, even more, climbed

on the highest volcano of the con-tinent of North America, Orizaba. For acclimatization purposes, we earlier went up the third highest volcano in Mexico, with a name difficult to pronounce, Istasihuatl (5,200m). Now the whole team relaxes on the island of Cozumel in the Caribbean Sea,” the climber said about his mission.

Pursuing the so-called “seven highest volcanoes on the seven continents” programme, Andrey Gundarev has already been on the summits of four volcanoes includ-ing Elbrus (5,642m) in Europe, Kilimanjaro (5,895m) in Africa, Ojos del Salado (6,893m) in South America and Orizaba (5,700m) in North America.

Gundarev’s main job is a moun-

tain guide. Usually he conquers mountains and volcanoes with his clients. He spoke to the Astana Times about what drives him to do the things he does.

You are known as the conquer-or of volcanoes, but all know that you “collect” not only volcanoes, but the highest mountains. Do you have other nicknames among your fans?

In the newspaper “Wind of Wan-derings” I was called “the chief vulcanizer”. (Smiles).

You’ve been mounting with the clients in many countries around the world, which of those ascents was the most impressive?

I travel with my clients in most

of my expeditions. But sometimes I take my family with me. The most impressive mounting was when we were climbing Mount McKinley in Alaska. The weather conditions were very bad. But because of our good preparation and trainings we could successfully scale the moun-tain in 2010.

Who are your clients mostly? I work with different clients,

not only from Kazakhstan. I have regular clients from Russia and the USA. And recently I climbed Mount Ararat with Turkish clients.

How do they get in touch with you?

The best advertisement is when someone recommends your serv-

ices to others. But clients find me via my internet site.

You graduated from the Almaty Institute for Energy and Commu-nications and in 1994-99 worked as an engineer of electronic tech-nology. After that, have you ever used the diploma or the profes-sion? Which of the professions is your favourite one?

I don’t even know what I would do without tourism and climbing. It’s a hard question. I like my cur-rent job. By the way, I also com-pleted a tourism course at the Turan University in Almaty with an honours degree.

Once you mount all the peaks of the world, what will you do?

There are many interesting alter-natives in tourism except mount-ing. I will continue travelling.

What do you plan for the near-est future?

Soon, I am going to conquer vol-canoes Kazbek in Georgia and De-mavend in Iran. Also, with an ex-pedition group from Kazakhstan, I will travel to Tibet for a month in August.

What would you advise to young climbers?

I would advise to work hard and to aspire to high results, and to re-member that your work should not only benefit you but also people around you. If you have a motiva-tion, the success won’t leave you.

Kazakh Climber Successfully Ascends Highest Volcano of North America

Andrey Gundarev wants to mount all peaks of the world.

Head of the national Tennis Federation, Bulat Utemuratov (l) discussed prospectives for local sportsmen with the president of the International Tennis Federation, Francesco Ricci Bitti, in Astana.

the main task is to promote sport in the country, to make it a widely spread sport. For that, we build new courts, organize tournaments and workshops, and prepare coachers.

Wednesday, 10 April 2013The Astana TimesB8

Capital

From Page B1

Could you tell us about your im-pressions of Kazakhstan?

I love this place, I’ve loved it since about two weeks after I arrived. I just fell in love with it. It’s like nowhere else I’ve ever been. It’s the people, actually, that’s why. It’s not the cli-mate, it’s not the landscape and all of those things. Because it’s such a vast area, you tend to stay in one place. I’m ashamed to say I haven’t trav-elled very much at all, but you have to allow time for that. Certainly trav-elling around here is easy, but you have to plan it.

It’s a stable place to live, though. As an expat, it’s a very safe place; it doesn’t feel threatening in any way. I mean I feel safer here than in some cities in Britain. I know a lot of young female colleagues that have no qualms about getting into a taxi late at night on their own. You put your arm out, a car stops and you get in it. There’s an element of trust there. We certainly wouldn’t do that in the UK. We stopped “hitchhik-ing,” as we used to call it, years ago. You wouldn’t recommend anybody to hitchhike at all now. Which is a real shame, because it’s a great way to move around the country and see places. It works very efficiently here. And some of the most interesting moments are in these cabs; they’re great. I mean, people find out that you’re English and they just want to talk to you and name all the football teams in the world. I hate football by the way, but I did have one taxi journey where the only English that the driver knew was literally football teams. Unfortunately, it was a long journey and I think we got down to Leyton Orient, which is a very small

team in the UK. But he knew it, he knows his football. People don’t un-derstand that I’m from Britain and I don’t like football. I’m happy to go and watch a live match, which I do here, but that’s different from on tel-evision.

Tell us more about your life in As-tana. Could compare it with other cities in the country?

Astana is a very easy city to get around: the buses are good, the cabs are good. It’s a bit difficult in the snow and ice but you just adjust to it. Almaty is harder; I keep getting lost there. The taxi drivers don’t seem to know where they’re going. It should be easy because it’s a grid, and it’s either up or down, but no. I couldn’t live in Almaty, but I like it. It’s a great place to visit; there are a lot of things going on. And I like the weather. I was there for Nauryz and it felt like spring, I finally under-stood what the celebration is about. The trees were in bloom, the birds were singing, the sun was shining, whereas here last year it was just an-other day in winter.

Please tell us a story you have ex-perienced here that wouldn’t have happened anywhere else.

This is the perfect place for a Brit-ish person to come because Kazakhs love to talk about the weather, and that’s what we do all the time. We have something in common. And tea drinking, a lot of teas drunk here. Something else: a lot of people in Britain like horses, but they don’t eat them. That is an issue here. People say to me, “Oh, I couldn’t eat that.” But you have to understand that they’re actually farmed for eating. A lot of people like cows and just like

the horses, they’re there for a reason. This isn’t the family pet or the loser of a race; this is there for eating. And it’s actually very good for you, very healthy. A very small amount of fat in

it; it’s very lean. And it’s very tasty. And that’s also another thing that I love about Kazakhstan, apart from the people - I love the food. I don’t think I could eat traditional Kazakh food every day. There’s a limit to how much beshparmak you can con-sume. I was here when they did the world record in Khan Shatyr for the biggest beshparmak. I was actually a judge. It fed a thousand people. I got the figures for how much horse was in it; it was something like 40 kilos of horse. As a judge I had to watch how they made it and taste it. It was a funny day, the whole thing was very funny. It was part of the 20th anniversary celebrations and I just happened to be at the wrong place at the wrong time and ended up being a judge. The problem was that everyone thought I worked for the Guinness World Record. And all of the questions were something like “How long have you worked for Guinness World Record?”. “Well, I don’t.” “How many of these have you done?” “Well, I haven’t.” I don’t speak any Kazakh or Russian, and I spoke even less then, so I grabbed somebody I knew from the crowd to

come and translate for me. At the end of the event the organisers thanked me and three other judges and took us to a restaurant and gave us - you guessed it - beshparmak. The whole day was very funny, and I’d only been here for two or three months and thought to myself that this is what this place is like: totally mad.

What do you think about the fu-ture development of our country?

The opportunities here to do busi-ness are great. Personally though, I think it’s the small- and medium-sized business that are the opportunities, I don’t think big business is the right way to do it for development. Grow-ing an economy, you need people to be involved in business. If you have a big company, you go and work for that company and people just see it as a job, they work and then they go home, whereas if you run your own business you’re more determined to make it work. I mean, a country of entrepreneurs is a vibrant country. People have so many ideas here. It’s one of the reasons why in the eco-nomic crisis places like Germany are seen as some of the best places because they’re actually relying on small and medium businesses. Other countries aren’t. Great Britain is de-pendent on big business, it doesn’t

grow. If you think of the amount of money Germany spent bailing out East Germany, Greece, they’re still vibrant, and they seem to be doing much better than other countries. I think there’s a model there that Ka-zakhstan could follow. If we keep talking about business, a lot less red tape would be nice. A bit more trust, so that you’re not inspecting things all the time, blaming people, and just letting it flow. Just relax. You’re al-lowed to make mistakes. It’s not a problem; you shouldn’t be jumped on for making mistakes.

Is there anything else you would like to share with our readers?

People don’t believe me when I say this, but I do wake up and still now, it’s been two years that I’ve lived here, wake up with my eyes closed and open my eyes and think “Yep, it’s still here, it’s still real.” Because it is like a dream. It’s a dream place. You can’t explain how good this place is. My lifestyle here is com-pletely different. I’ve got so many friends here, it’s unreal. There’s no way I would’ve been in this situation in the UK. I don’t feel pressured, I feel relaxed. I’m doing more work than I would’ve done in the UK, I work longer hours but I don’t care.

Of Astana, Its People and Beshparmak

Gareth Stamp (r) enjoys living in Kazakhstan and even promotes Kazakh language back home.

By Anel Adilbayeva

ASTANA – On April 9, a week-long exhibition “Kazakhstan: A Space Harbour” opened at the Nazarbayev Center. The exhibi-tion is timed to coincide with UN International Space Day marked on April 12.

Officials, students and the me-dia attended the opening cer-emony including Chairman of the National Space Agency of Kazakhstan Talgat Mussabayev, ambassadors of Finland, India, Indonesia, Israel, Latvia, Russia, the head of the OSCE mission, as well as diplomats from Saudi Ara-bia, the United States and other

countries. Students from Astana’s specialised ‘space’ school No 50 not only participated, but have also provided hand-made models of spacecraft for the exhibition.

“The participation in space ac-tivities to a significant extent de-termines the political prestige of a modern state, its economic, scien-tific and technical power. Howev-er, not only economic pragmatism, but a special, I would say, philo-sophical and ideological vision of the leader of our country directs the priorities and objectives of our national space programme,” Ro-man Vassilenko, deputy director of the Nazarbayev Center, said wel-coming guests to the exhibition.

“Space industry, with its huge potential, will be one of the most important components of the im-plementation of Strategy “Kaza-khstan 2050”. Its development in cooperation with international partners will benefit our society and every citizen of Kazakhstan… Space journeys of Kazakh astro-nauts Tokhtar Aubakirov and Tal-gat Mussabayev, the subject of pa-triotic pride of our nation, became part of our national identity at the time when our state was gaining independence,” he added.

Chairman of the National Space Agency of the Repiblic of Kaza-khstan, Halyk Kaharmany (Peo-ple’s Hero) of Kazakhstan and,

at the same time, Hero of Russia, Talgat Mussabayev congratulated the gathering on the upcoming International Space Day and re-called: “In 1961, on April 12, I was 10 years old. On that day, we were gathered at a lineup and an-nounced that Yuri Gagarin went into space. All began to run and scream ‘I am Gagarin, I am Gagar-in,’ and I shouted, ‘Talgat Mus-sabayev checking in from space.’ My dream came true 33 years later, after years of hard work and training and preparations.”

Mussabayev flew into space three times, spending there 341 days overall. On his last mission as commander in 2001, he took with him Dennis Tito from Cali-fornia, the world’s first space tour-ist, and they spent eight days at the International Space Station.

“Our contribution to the space industry is significant. Today it is maintained at the highest level in the Russian Federation. We have begun work on a new launch site in the east of Russia, but the main thing for us is still the Baikonur space port, and with great satis-faction we welcome the coopera-tion on this issue with our Kaza-kh partners to use this important space center until 2050,” Ambas-sador of Russia to Kazakhstan Mikhail Bocharnikov noted in his remarks at the event.

The exhibition begins with a section devoted to the Soviet pilot-cosmonaut, the first man in space Yuri Gagarin, as well as to the birth of a new era of manned space flights. Photo stands present pictures of the first representa-tive of the Kazakh people to fly into space, honoured test pilot and Hero of the Soviet Union Tokhtar Aubakirov, Talgat Mussabayev, Soviet cosmonauts Valentina Ter-

eshkova, Vyacheslav Zudov, Svet-lana Savitskaya, prominent space scientists Tsiolkovskiy, Korolev, Petrov, Glushko, Ryazanskiy and others.

Of particular interest is the graphical scheme of Baikonur, photos of the world’s first larg-est cosmodrome and photographs that reveal the secrets of outer life such as the way cosmonauts have lunch in a state of weightlessness, or what diet they have.

In addition, the exhibition demonstrates gear of cosmo-nauts, including Mussabayev’s headset with microphone, a space diet, maquettes and models of satellite stations Phobos, Proton LV, Zenit LV, Buran kenesі LV and others. The books from the funds of the Nazarbayev Center cover the history of space explo-ration.

The exhibition is free of charge and will be open until April 14.

Exhibition Shows Space History, Ambitions

Talgat Mussabayev is surrounded by students of Astana’s specialised ‘space’ school No 50, who dream of going into space.

Talgat Mussabayev and Mikhail Bocharnikov cut the ribbon as they unveil an exhibition “Kazakhstan: A Space Harbour” at the Nazarbayev Center on April 9.