Kazakhstan become China's main regional trade and economic partner

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Kazakhstan-China relations represent a model of effective partnership, within which Kazakhstan has become China's main trade and economic partner in Central Asia, stated President of Kazakhstan Kassym-Jomart Tokayev during his speech at the Boao Asian Forum on the Chinese island of Hainan.

Last year, the trade turnover between the two countries reached a historic record of $41 billion. In 2023, the volume of freight traffic between the states increased by 22%, reaching nearly 30 million tons, Tokayev reported.

He reminded that the "Belt and Road" initiative was first presented during the visit of Chinese President Xi Jinping to Kazakhstan over a decade ago. "This project serves as a key bridge between East and West, and 80% of all overland shipments between China and Europe pass through Kazakhstan. This is a crucial advantage that we must fully utilize," Tokayev said.

He added that Kazakhstani investments are strategically linked to the "Belt and Road" initiative and aimed at creating modern multimodal, environmentally friendly, and sustainable infrastructure.

Tokayev also noted that the global GDP growth rates will be the lowest in the last 30 years. Nevertheless, in 2024, Asia will account for 60% of global GDP growth.

"The continent accounts for 53% of global trade, hosting several of the world's largest and fastest-growing economies. Foreign direct investment in Asia has significantly increased in recent years. The region also hosts leading technological centers in the world, accounting for 70% of patent developments. The continent possesses significant human resources, with 21 of the world's 30 largest cities located in Asia. Of the expected $30 trillion increase in middle-class consumption by 2030, only $1 trillion, it is assumed, will go to Western economies. In aggregate, all these factors point to what is called the Asian Renaissance," said Tokayev.

Tokayev devoted special attention to Kazakhstan's new economic course. "Last year, our country's economic growth was 5.1%, which is almost twice the forecasted growth rates of the global economy. In the medium term, we intend to maintain growth at a level of at least 6% and double the size of our economy by 2029."

Kazakhstan's leader called on the international community to take more effective measures in sustainable financing. The President of Kazakhstan believes it is important to strengthen technological cooperation, especially in the field of artificial intelligence (AI) to ensure sustainable global economic growth.

In this context, he supported China's "Global Initiative on Artificial Intelligence Governance". Tokayev expressed Kazakhstan's interest in cooperating with leading Asian technology giants to implement joint innovative IT projects.

Another promising area of cooperation, Tokayev said, is the extraction of critical raw materials. "Rare earth metals have become a crucial component for a wide range of technologies. They are necessary for achieving zero emissions balance, as well as in strategic sectors such as industry, digital technologies, space, and defense. We continue to work with international partners on the most effective ways to develop our large deposits of uranium, lithium, titanium, and other rare earth elements," the President of Kazakhstan announced.

CentralasianLIGHT.org

April 4, 2024