Chairperson of the Tourism Industry Committee of the Ministry of Culture and Sport Mainiyura MURZAMADIYEVA:
$1 BILLION IN PRIVATE INVESTMENTS TO BE ATTRACTED TO KAZAKHSTAN TOURISM INDUSTRY BY 2023
By 2023 Kazakhstan plans to more than double the number of inbound tourists to 5.5 million, increase the number of domestic tourists by 30% to 12 million. Chairperson of the Tourism Industry Committee of the Ministry of Culture and Sport Mainiyura MURZAMADIYEVA talked in an interview with Interfax-Kazakhstan how Kazakhstan’s tourism industry would develop in the next 5 years, which projects would be implemented, and how much investment is to be attracted to.
- In July this year National Company Kazakh Tourism was established. What objectives does the company have and how are they to be achieved?
- Attracting anchor investors with successful experience of creating tourism clusters is one of the most important tourism development objectives, according to Step 57 of the Nation's Plan "100 Concrete Steps to Implement the Five Institutional Reforms" initiated by the Kazakh president.
In this regard, one of the main activities of National Company Kazakh Tourism is to attract investment to the tourism industry.
It should be noted that this offers a number of advantages to the tourism industry as Kazakh Tourism will establish direct contact with potential investors, among other things, by participating in various sectoral events, investment forums, b2b platforms and also by conducting an appropriate advertising campaign.
In addition, Kazakh Tourism will directly participate in the formation of sectoral investment projects in close coordination with the local executive authorities and businesses.
The ultimate goal is to attract and support investors according to the one-stop-shop principle for all tourism projects.
A database of investment projects has been set up, where investment projects will be formed, their implementation will be monitored and their effectiveness will be assessed.
- Does Kazakh Tourism plan to devise a strategy for the tourism industry development in Kazakhstan?
- Kazakh Tourism does not plan to devise a separate strategy for the tourism industry development in the country. It was reported that in June the Kazakh government adopted the concept of development of the country's tourism industry until 2023, within the framework of which activities will be carried out to develop the tourism industry.
- How much investment is to be attracted?
- It is expected that $1 billion in private investments will be attracted to Kazakhstan’s tourism industry by 2023, about 8,000 additional jobs to be created by 2021, the accommodations to increase by 5,000 beds by 2020.
- What growth do you expect?
- The number of domestic visitors is expected to increase from 9.6 million in 2016 to 12 million in 2023 with an average expenditure of 71,800 tenge (335.24 tenge/$1). The number of inbound visitors is to increase from 2.5 million in 2016 to 5.5 million in 2023 with an average expenditure of 248,000 tenge.
- How much investment is to be attracted to the tourism industry in 2017? How much was attracted in 2016?
- In 2016, 68.779 million tenge was invested in the industry for the arts, entertainment, leisure activities, according to Kazakhstan’s Statistics Committee.
The volume of investment in accommodation and food services in 2016 amounted to 80.780 million tenge (48.336 million tenge in 2015).
Investment in fixed capital of the arts, entertainment and recreation sector in January-August 2017 amounted to 35.989 million tenge.
In addition, on beach and health tourism at Lake Alakol - it is planned to open tourism facilities totaling an investment of about 4 billion tenge in 2017 on the Lake Alakol shores in Almaty regions and East Kazakhstan region, including 2.7 billion tenge with creation of 312 new jobs in Almaty region and 1.3 billion tenge in East Kazakhstan region.
- Earlier it was reported that many foreign investors are interested in projects in Kazakhstan’s tourism industry. Do you have preliminary agreements?
- Currently negotiations are underway with potential investors for the construction of the Kenderli resort and recreation area in Karakiyan district of Mangistau region. A German company has shown interest, which offered to study the feasibility of a project on building destinations in the Karaqia and Aschysor hollow areas in parallel with the Kenderli resort area project.
Three projects are at a development stage with the aim of attracting strategic (anchor) investors: a tourist destination on the Kapchagai reservoir northern shore [in Almaty region]. A potential investor is being defined with an expected investment of $ 2 to $ 5 billion; the construction of a spa treatment and hotel complex in the Saryagash resort area [in South Kazakhstan region] with a potential investor being defined and an expected investment of 50 billion tenge; the Mangistau recreation and tourist complex with a potential investor being defined and an investment volume is to be provided, the [project] feasibility study is being developed, the project 1st phase is scheduled for 2019-2025.
- Currently are tourism projects of national importance at what stage of development?
- Currently, the systemic activity of the government, local executive bodies and business is under way in connection with the Great Silk Road Sacred Sites. The construction of the Akbulak international tourism center in Talgar district of Almaty region, of the Mount Sinai medical tourism center in Almaty, of the Kenderli resort & recreation area in Karakiyan district of Mangistau region and the development of a tourist destination at the Baikonur cosmodrome are ongoing.
Infrastructure of beach health tourism at Lake Alakol, in the Bayanaul area, beach tourism at Lake Balkhash, beach health tourism in the Shchuchinsk-Borovoi resort area is developing.
The Shchuchinsk-Borovoi resort area is a pilot project and an exemplary event for the other regions showcasing systematic work on the public private partnership principle.
- Thank you for the interview.
October, 2017
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