Investment climate in Kazakhstan

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Understand

Native Kazakhs, a mix of Turkic and Mongol nomadic tribes who migrated into the region in the 13th century, were united as a single nation in the middle of 16th century. The area was conquered by Russia in the 18th century, and Kazakhstan became a Soviet Republic in 1936.

Current issues include: Developing a cohesive national identity; expanding the development of the country's vast energy resources and exporting them to world markets (an oil pipeline to China has been built; the gas pipeline is under construction); achieving a sustainable economic growth outside the oil, gas, and mining sectors, and strengthening relations with neighboring states and other foreign powers.

  Cities

• Astana (Aqmola) — second largest city, and capital since December 1998. Worth visiting but you only need a few days to get to the most recommended sightseeings. The city is brand new and being built very rapidly. If you want to see what Akmola (Astana previous name) looks like, you need to do it now as the old city is disappearing quite rapidly.
• Atyrau — oil capital of Kazakhstan, where large onshore Tengiz and offshore Kashagan oilfields are located.
• Almaty — largest city, and capital prior to December 1998. Definitely a must-see. Beside the western-style city, you may want to go to the Medeu and other places in the nearby mountains.
• Aktobe
• Karaganda — industrial city between Astana and Almaty; worth visiting if you like mining history.
• Pavlodar — Kazakh city in very north of the country, founded in 1720, closed until 1992 for its military significance in tank production, and home to one very impressive mosque, as well as other interesting Orthodox churches and various memorials
• Shymkent — Kazakhstan's second largest city, very crowded with Uzbek people, it is an old market town located near Tashkent and some beautiful mountains; now booming with oil exploration,
• Turkestan — another ancient city, long a border town between the Persian culture to the south and the Turkic nomadic culture to the north, now majority Uzbek and home to several important cultural-historical monuments
• Ust-Kamenogorsk — mining city in the Altai mountains

 Other destinations

• Aksu-Zhabagly
• Altai Mountains
• Baikonur
• Karkaraly National Park
• Talgar
• Zailiysky Alatau

 Get in

Generally, nationals of almost any country will be required to obtain a visa to enter Kazakhstan. However, nationals of certain countries may enjoy the simplified procedure for obtaining a visa. On presenting an application in writing, nationals of such countries may obtain a single entry tourist visa (up to 30 days) and double entry tourist visa (up to 60 days) at the relevant Kazakhstan diplomatic mission. This is a list of countries enjoying the simplified procedure: Australia, Austria, Belgium, United Kingdom, Greece, Denmark, Ireland, Iceland, Spain, Italy, Canada, Liechtenstein, Luxembourg, Malaysia, Monaco, Netherlands, New Zealand, Norway, Portugal, Singapore, USA, Finland, France, Germany, Switzerland, Sweden, Japan, South Korea, UAE, Saudi Arabia, Poland, Hungary, Slovakia, Israel, Croatia, Oman, Czech Republic, Romania, Bulgaria, Malta, Cyprus, Slovenia, Lithuania, Latvia and Estonia (this list was last updated in July 2009).

Citizens of Armenia, Azerbaijan, Belarus, Georgia, Kyrgyzstan, Moldova, Mongolia, the Russian Federation, Tajikistan, Turkey, Uzbekistan and Ukraine do not need visas to enter Kazakhstan.

For more information you should contact a Kazakhstan diplomatic mission in your area or Kazakhstan MFA's website Ministry of Foreign Affairs of Kazakhstan.

By plane

Air Kazakhstan stopped flying at the end of March 2004. The most important carrier is now Air Astana[1] which flies to Almaty, Astana, Aktau, Aktobe, Atyrau, Uralsk, Dubai, Kyzylorda, Moscow, Delhi, Beijing, Istanbul, Bangkok, Hannover, London, Amsterdam, Baku, Kuala-Lumpur, Frankfurt, and Seoul.

Lufthansa has also seven days flights to Almaty, from where you can go anywhere via local carrier SKAT, which flies to most cities in Kazakhstan. British Airways (Almaty-Heathrow route taken over by bmi from Sept 2007) and KLM now fly several times a week to Heathrow and Schiphol. There is also non-stop connection twice a week from Prague, operated by Czech airlines. Turkish Airlines is good passenger carrier, with flights to Istanbul (ask a travel agent about the student fares, which can be a great deal). There are twice a week flights from Seoul to Almaty; one is Asiana Airlines, and the other is Astana. Airbaltic also flies to Almaty; if you reserve tickets in advance, you can go there for ˆ130 (from Riga).

By train

Popular routes include Almaty to/from Moscow (77 hours), Novosibirsk (35 hours) and Ürümqi, China.

The trains are a great way to meet people. A lot has been written about the pitfalls of being included in a vodka drinking party on a train, but for the most part fellow travellers are friendly, and keen to find out about you ("why aren't you married?" and, if you are, "why don't you have children?", and if you do, "why don't they have children?"!). Most travellers take food for the journey, as restaurant car provision is sporadic (and they expect you to share yours too!). If you don't have enough to last the distance, the trains generally stop for 15-20 minutes at each station and there are always people on the platform selling food and drink, at any time of day or night.

 By car

You can enter Kazakhstan by car through many of the border checkpoints on main roads into the country. However, be prepared to wait up to 24 (twenty-four) hours in the queues, with rather poor facilities.

 By bus

It is fairly easy to travel from Ürümqi to Almaty via sleeper bus, especially if you aren't in a hurry and don't mind living on a bus for a good 24 to 36 hours. The border crossing itself is a bit of a hike, and you may be made to carry all of your belongings with you for quite a ways in some seriously warm weather. The bus trip and "baggage fees" are around US$45. You can pick up your Kazakhstan visa at the embassy in Urumqi as well, but be prepared to chill for at least a week waiting, and be sure to get a copy of your passport before handing it over.

 By boat

Freighters travel regularly between Baku and Aktau, and it is possible to hitch a ride. Note, though, that it is common for ships to get held up, even for weeks, before entering port, so you had better stock up on food and water before boarding. See freighter travel to better understand how this works.

 Registration

You must register your visa within five days of entering Kazakhstan if your border entry card has only one stamp. After your first registration you must register in each destination if you stay more than 72 hours (see each destination for further details). If you stay in Kazakhstan less than five days then you may not need to register but this needs to be confirmed (28 July 2008).

If you have a one-entry tourist visa for 30 days, no registration is needed. In Almaty airport, custom officials say that you don't need to register as long as you don't plan on staying more than 90 days (only for tourists), as of July 2008.

 Get around

You can travel within country using taxis, buses, trains and planes, it depends on your budget and demands. Renting a car is rather costly compared to other means of transport.

In Semipalatinsk (Semey) a minivan costs 35 tenge, and a large bus costs 35-40 tenge (in Astana it ranges about 60-65 tenge), common taxi fare is minimally 300 tenge (at the time, March of 2009, USD 1 was approximately 150 tenge).

 By public buses

Public transportation in big cities is rather popular. You can use buses, trolleys, trams and minibuses. One big minus of all of them is that they never come on schedule and very crowded on peak time. Moreover, there is absolutely no plan with bus stops and schedule whatsoever. If you don't speak Russian, taking the bus will be quite tricky but not impossible.

 By taxi

Use taxis as they are very cheap (ˆ2 to ˆ6 within city). You don't have to use official taxis in most cities, basically you can stop almost any car on the street by raising your hand. It works good in Almaty & Astana, but in Karaganda the best way is one of taxis by phone. It some cheaper and even faster than hitch-hike waiting.

A note of warning, getting to the Almaty airport can be expensive, a taxi to the Airport can cost USD 50. Taxis to the airport vary greatly in price. Any foreigner will be quoted a fantastic rate but usually cabs will come down once they see they aren't going to be able to get that much. USD50 is outlandish. Do not accept the first price as it will result in your being overcharged. It should be less than USD10, although it can never be guaranteed that a foreigner will get that price. A better option are the minibuses and buses that go to the airport. The word "airport" is very similar in Russian and English.

A common way to get around is by unofficial taxis. Any time of day, just wave your hand and someone will stop. Locals do this all the time. Negotiate the price and destination before you agree to go. About $2-$4 is fair for a ride within the center of Almaty. If your Russian is poor or non-existent, you will be charged a lot more than locals; to avoid this, try to use public buses as much as you can and don't hesitate to tell the driver how much you are ready to pay (do this before he tells you how much he wants!). To be safe though, do not get in a car if more than one person is driving. Also, do not take these kind of taxis for long distances or anywhere that goes through remote areas, as there are frequent robberies, especially of foreigners.

Always try to have exact amount of money in cash (the price which you negotiated with a taxi driver), since usually the will not give you a change. So if the price would be 350 tenge, give the driver 350, not more (otherwise he/she might not find a change for you).

 By train

Train is the most popular way of covering the huge distances between Kazakhstan's main cities. Main train stations are located in Astana, Karaganda and Almaty, but they can be found almost in every big city.

You will have to buy a ticket in advance (sometimes even one day before departure) and a seat/bed number will be given to you. Ticket offices can be found in other locations than the really busy (and extremely slow, I mean it!) ticket offices found in the train stations. Also don't forget that you will need your passport to buy a train ticket.

Most long distances trains leave in the evening and provide beds with clean sheets for the journey ahead.

Kazakhstan is a large country. For instance, it will take you almost 24 hours to get from Almaty to Astana. However, going by train is most fun way of travelling, since you will be able to meet different people and have a nice discussions. There are three types of tickets:

• platscart - cheapest. Whole vagon will be shared between people. It will be very hot in winter, can be quite smelly inside.
• kupei - average price (about 40-50 USD for return ticket from Almaty to Astana) - the best choice. You will have a room shared between 4 random people (both men and women), one table in between, baggage compartments. If you have a glass, you can use boiler for making tea at the end of the vagon.
• sv - more or the less the same as kupei, but the room will be shared between 2 people. Price of the ticket will be more expensive.

There is also a train called Talga, which is able to cover distance between Almaty and Astana in 9 hours. The cost of the ticket is about 9000 tenge.

 By long distance buses

They are a popular alternatives to trains and are faster but less comfortable than them. As for trains, you will need to buy your ticket in advance and will be given a seat number. Be careful when the bus makes a bathroom stop, the driver don't check if all passengers are on board before resuming driving!

Fares are relatively low, for instance a single from Almaty to Karaganda (14 hours) will cost you 2500T, much cheaper than an flight ticket.

 By plane

Air Astana provides offices in a few major hotels in big cities; it's the fastest way of travelling within the city for those who can afford it. Planes are brand new and match European standards in quality.

 Other

A fun and cheap way to get around is by taking a "marshrutka". These are the dilapidated vans that cruise around town. They usually have a sign (in Russian) listing the destination, and the driver will usually call out where they are going. But you will not find them in Almaty.

 Talk

For too many foreigners the Kazakh language has been seen as very difficult to understand and to pronounce; however, it has been contrasted as easier than some other regional languages like Kyrgyz. Actually, travellers proficient in Turkish might be able to get by because Kazakh is of the same Turkic language family.

If you speak and/or understand the Russian language, then you should be fine. Still, Russian is considered to be tougher to learn (grammatically speaking). At the very least, become familiar with the Cyrillic alphabet and learn a few phrases.

Note that despite the president's campaign to stamp out the Russian language, Almaty and much of the North are still predominantly Russian speaking.

Many people under age 20 will know some English as well as many customs officials and airport people know English.

It is difficult to get around the country without some Russian or Kazakh language skills; though, within the more modernized cities, it is easier. Have your place of residence written on a card and get a cab if you get lost (you might be somewhat overcharged by the cab, but it is better than being lost).

The national currency is Tenge (KZT, Cyrillic: òåíãå). As of December, 2009, the exchange rates are:

• US$ 1 = KZT 148.5
• ˆ 1 = KZT 213.5

Even for people who are not big shoppers, the beautifully crafted felt items will appeal. They are also easy to carry, and inexpensive to post.

 Eat

Meat, potatoes, rice and pasta. And lots of it. If you're vegetarian be wary, because if it doesn't have meat in it, it was almost certainly cooked on meat stock.

Some recommend dishes:

• Laghman - a thick noodle dish, usually served as a soup
• Manty - large steamed dumplings full of meat and onions
• Plov - wonderful dish of fried rice, meat, carrots, and sometimes other bits such as raisins or tomatoes
• Besh parmak - wide, flat noodles, with boiled mutton on top - the traditional meal of Kazakhs
• Shashlyk - skewered, roasted chunks of meat, served with some sort of flatbread (usually lavash) and onions

If you're a vegetarian, you're probably thinking there's nothing for you in Kazakstan. And you're right - so long as you eat out. But if you're cooking your own food, you'll be more than satisfied. Kazakstan has some excellent produce available at little markets everywhere. For a treat in Almaty, try Govinda's, a delicious vegetarian Hare Krishna restaurant. Malls have food courts with some vegetarian options too. Even some small Kazakh eateries will prepare vegetarian meals for you if you make it very clear to them (e.g. "byez myasa" (without meat), "ya vegeterianetz" (I [male] am a vegetarian), "ya vegetarianka" (I [female] am a vegetarian) in Russian). At some places (e.g. smak) you can even find vegetarian manty made with pumpkin.

The legacy of Korean resettlement in Kazakhstan means that Korean dishes, particularly salads, are very common. At the country's many bazaars (independent food and goods markets), look for the Korean ladies selling these. They will wrap you up any number of delicious, often spicy and garlicky salads to take away in plastic bags. If you are vegetarian, this may be the only decent thing you get to eat while you're in the country.

On the other hand, in Kazakhstan you can find any dishes you want, but Chinese and Japanese dishes are very expensive. The most delicious is caviar, which is very cheap, you can buy 1 kilo of caviar for less than USD300 in Almaty Zyeloniy Bazaar, but you can't export or take it with you home, you will be stopped at airport and pay high fines.

Eating out is relatively cheap; you basically order the meat dish and then add rice, potatoes, etc. Each element is priced individually, so you can order for instance only meat or only rice. Prices are relatively cheap, count 300T for chicken and up to 600T for beef. Of course, the fancier the restaurant, the higher the price. If you don't speak Russian, things are relatively hard as the majority of restaurants don't have English menus (with the exception of some hyped places in Alamty).

 Drink

You can find any sort of drink you want, some of the traditional beverages include:

• Kumiss - fermented mare's milk.
• Kumyran (Shubat)- fermented camel's milk
• Kvas - described as similar to root beer it can be bought in a bottle in a store, or by the cup from people with giant yellowish tanks of it on the street

Cheap alcoholic drinks can be found at every little corner shop (called the astanovka). These places are open 24/7, just knock on their door if the shopkeeper is asleep. Kazakhstan's specialty is cognac, though stores still sell vodka cheaper than bottled water at times. However, some of these astanovka sometimes sell alcohol of dubious origin; for the sake of your stomach you may want to buy your beverage in a supermarket, although the price will definitely be higher.

The juices, in cartons, are delicious, especially peach juice.

 Sleep

There are numerous hotels, from very cheap ones (10 Euro per night) to the luxurious ones. You wouldn't find the cheapest ones on the web; the only way to book them is to call directly, but in that case you'll have to speak Russian at the least.

There are almost no camping sites except in Burabay/Borovoe in Kazakhstan. You can, however, camp almost anywhere due to the huge uninhabited spots. The scenery is beautiful but because of the very hot weather: don't forget to take plenty of water with you as you can very easily spend many of days without seeing anybody. If you camp near a nomadic tribe, ask for the permission to stay near; it will not be refused.

 Work

Work is not impossible to find. English teaching schools are sprouting up all over. The English department at KIMEP might be a good place to start, depending on credentials and experience.

 Stay safe

The general rules of safety in Kazakhstan are the same as in any other civilized country of the world. Besides the normal risk of pick-pockets, etc. The main risk is meeting a group of corrupt police; try to avoid being taken to the police station. However, in general, Kazakhstan is a very friendly country where foreigners are respected as hospitality is one of the Kazakh main traditions. It is good to have a passport and migration card or copy of them in pocket, because the policeman may to want to check it in any time, especially at night.

Fire brigade: dial 101 (land line and any mobile phones) Police: dial 102 (land line and any mobile phones) Ambulance: dial 103 (land line and any mobile phones)

Rescue service: dial 112 (any land or mobile phone), describe the problem and your call will be redirected to the according service. However, you need to know Russian or Kazakh in most cases for conversation with a dispatcher. All calls are recorded.

 Cope

Avicenna: the best private hospital in Kazakhstan is in the city of Kokshetau. It has the best service and real professionals. If you get sick and you are near Kokshetau, visit Avicenna.

Marat Makhanov maratmakhanov@mail.ru 2010