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Income gaps and protest risks put Kazakhstan’s regional policy under scrutiny
Plans for implementing the country’s regional policy concept for 2025-2030 has been published on the Legalacts.egov.kz portal by Kazakhstan’s Ministry of National Economy. Significant economic disparities between regions, ongoing migration from rural areas to cities and the potential risk of mass protests are in its spotlight. Notably, regional inequality marks Kazakhstan’s economic growth. For example, the difference in gross regional product (GRP) per capita between the Atyrau and Turkestan regions is 10.7%. The Atyrau region (30%) and the cities of Astana (15.9%) and Almaty (10.2%) concentrate more than half of the country’s fixed assets.
However, mining remains the main industry (76%) in western regions, despite their overall contribution to GDP declining from 29.9% in 2019 to 25.9% in 2023. Meanwhile, the share of southern regions in GDP increased from 13.2% to 15.1%, despite the low labor productivity (approximately $10,800 per worker, compared to the national average of $23,000).
Unevenness also touches infrastructure development across Kazakhstan. Utility networks remain critically the deteriorated, while 98% of urban residents and 94.8% of rural residents have access to water supply, and 58% have access to gas supply. 64% is the wear -and-tear rate for power supply, 55.9% for wastewater systems and 53.1% for heating infrastructure.
Strain is also present in education infrastructure. Repairs are required in nearly 17.6% of schools, while the student seat shortage achieved 270,100 in 2023.
Another social issue is the unemployment rate, that surpassed national average of 4.7% in Kazakhstan’s western and southern regions. 46% of workers are self-employed in the Turkestan region and up to 9% of residents in the south live below the subsistence minimum.
NEET category, i.e. not in education, employment or training, includes approximately 400,000 young people (7.3%). A risk of social instability and growing protest sentiment is especially significant in the Mangystau, Karaganda and Turkestan regions due to the high concentration of NEET youth.
Another issue highlighting regional disparities is migration patterns. 184,800 people left the Turkestan region, while 116,400 moved out of the Zhambyl region, according to recent statistics. On the contrary, in Astana and Almaty, there was an influx of 51,500 and 43,200 migrants, respectively.
Population decline is also actual for Northern regions. The decrease consisted 40,800 residents over the past five years, while the share of elderly people in the East Kazakhstan region has attained 15.6%.
According to the policy concept, there are three groups of the regions: high-growth (Astana, Almaty and southern regions), stable (the Aktobe and Zhambyl regions) and depressed (northern regions). The plan proposes economic diversification, infrastructure modernization, measures to mitigate social risks, to prevent destabilization and to ensure sustainable development.
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Read moreThe increase of business sector turnover attained 10% in Q4
The increase of the volume of business sector turnover reached 10.0 % and amounted to 62.0 billion GEL in the IV quarter of 2024, compared to the same quarter of the previous year. Meanwhile, the growth of production value equaled 23.5 billion GEL in the reporting period (10.8 % more year-on-year).
Overall, 67.6 % of total turnover accounted for large businesses, 14.9 % for medium size businesses, and 17.5 % for small business in the reporting period. Meanwhile, large businesses generated 43.8 % of total production value, 25.1 % – medium, and 31.1percent – small businesses.
Totally, purchases of goods and services attained 33.2 billion GEL (year-on-year 8.6 % more) in the reporting period, while the purchase of goods and services for resale reached 18.8 billion GEL (year-on-year 0.6% less). In October-December 2024, business sector employed 811.8 thousand people (up 3.8 %мyear-on-year). 43.7 % of them were female and 56.3 % were male.
Out of 764.2 thousand employees, 41.7 % worked for large businesses, 21.5 % for medium, and 36.9 % – for small businesses. Enterprises reported the total personnel costs of 5 536.6 million GEL (year-on-year 10.9 % more). In the reporting period, an employee earned 2 367.0 GEL a month (170.8 GEL increase year-on-year) on average, while women earned 1 847.3 GEL (159.7 GEL increase year-on-year) a month. Average monthly salary in large business was 2 466.2 GEL, in
medium business – 2 750.1 GEL, and 1 969.8 GEL in small business.
The highest share (35.1%) in the total turnover in business sector in the reporting period accounted for the arts, entertainment and recreation. Then followed trade sector (including repair of motor vehicles and motorcycles) (33.7%), construction (7.0%), manufacturing (6.9%), transportation and storage (4.6%), and other sectors (12.7%).
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Read moreFive more foreign nationals got Neo Nomad Visa from Kazakhstan
Five more foreign citizens, including three from the United States, one from the United Kingdom, and one from Latvia, got the Neo Nomad Visa from Kazakhstan.
Professionals can reside in Kazakhstan for up to one year while working remotely for foreign employers on this visa. The Ministry of Tourism and Sports reported the following requirements on March 11: a stable monthly income of $3,000, health insurance, and a certificate of no criminal record.
Mainly IT, marketing, finance, design, and consulting experts who wish to combine work and travel are targeted by the visa.
Only five people previously received the Neo Nomad Visa: a U.K. citizen working in the energy sector and citizens of South Korea and Singapore.
As Deputy Minister of Tourism and Sports Yerzhan Yerkinbayev hopes, the visa will make Kazakhstan a “favorite place” for neo nomads in a recent interview with The Astana Times.
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Read moreIn Serbia unemployment rate achieved 8.6% in Q4 2024
As the National Institute of Statistics reported yesterday, the number of unemployed people in Serbia in the fourth quarter of 2024 was 273,100 (unemployment rate of 8.6%).
The previous data showed that the number of employed people equal to 2,894,900, and an employment rate of 51.4%.
Data from the Labour Force Survey report that the population outside the labor force was 2,462,200 people (43.7%).
The increase of the number of employed people is 50,700, compared to the fourth quarter of the previous year. Nevertheless, the decrease of the number of unemployed people is 11,600, and the downfall of the number of people outside the labor force is 65,300.
The increase of the employment rate is 1.1 percentage points, while the decrease of the unemployment rate is 0.5 percentage points. The rate of the population outside the labor force decreased by one percentage point.
The number of employed people decreased by 28,600, compared to the third quarter of 2024, while the number of unemployed increased by 16,000, and the number of the population outside the labor force raised up by 6,300.
11.9% was the overall informal employment rate. Agricultural sector demonstrated a rate of 48.5% and non-agricultural sectors – 6.8%.
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Read moreA surge of the demand for Blue-Collar Workers makes Kazakhstan Boost Vocational Training
Deputy Minister of Labor and Social Protection Askar Biakhmetov reports a growing demand for blue-collar workers in Kazakhstan, particularly in the construction, agriculture, manufacturing, and healthcare sectors.
As he stated, 979,000 job seekers were employed in Kazakhstan, including 714,000 individuals who secured permanent jobs, in 2024.
The aim of Kazakhstan’s Labor Market Development Concept is to increase the number of high-quality, well-paid jobs from 2.5 million in 2024 to 3.8 million by 2029 with the help of vocational training programs.
67,500 people took part in short-term vocational courses in 2023.
One of them is the Skills Enbek online training platform. 57,700 people used it and 14,600 secured jobs after completing one of 858 online courses (311 are free).
The statistics show that the total demand for labor over the next six years is estimated at 1.6 million workers. Biakhmetov added that around 900,000 jobs will require vocational education, including 400,000 positions in blue-collar professions.
Meanwhile, steps are taken by the government to reduce reliance on foreign labor. As Svetlana Zhakupova, Minister of Labor and Social Protection, announced, they will reduce Kazakhstan’s annual foreign labor quota from 22,000 to 15,000 in 2025.
The government’s priorities are to develop workforce through training initiatives and employment programs and to ensure sufficient skilled labor for the country’s growing economy, as Kazakhstan continues to modernize its labor market.
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Read moreIn Q4 2024 unemployment rate attained 4.6% in Kazakhstan
The results of Q4 2024 report of the International Labor Organization show that the number of unemployed in the country reached 448.3 thousand people (4.6%). 6.6% of young people are not working and not engaged in education or vocational training (NEET).
The statistics show that 95.4% of the workforce are represented by the employees aged over 15 years old (the employment rate of this age group is 65%).
Employment agencies helped more than 50 thousand out of 57.4 thousand applicants to find a job, sent 2.8 thousand people for vocational training and 1.7 thousand – for community service during the quarter.
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Read moreNew visa categories for skilled specialists and “Digital nomads” appeared in Kazakhstan
Kazakhstan’s Ministry of Foreign Affairs reports the launch of three new visa categories aimed at attracting skilled professionals, entrepreneurs, and remote workers to “strengthen the country’s position as a hub for global talent and innovation.”
Professionals and digital entrepreneurs who want to live in Kazakhstan and work remotely while maintaining their foreign income can get Neo Nomad Visa (B12-1).
In-demand IT professionals moving to Kazakhstan to obtain permanent residency can get Digital Nomad Visa (B9-1).
Qualified specialists in medicine, science, innovation, education, and creative industries should apply for Permanent Residency Visa (B9).
As Roman Vassilenko, Deputy Minister of Foreign Affairs of the Republic of Kazakhstan, emphasized, they designed these initiatives to welcome professionals seeking flexibility and opportunity in dynamic environments and to foster deeper ties with international partners to share priority, cooperate with respected governments and facilitate an exchange of talents, ideas, and investments.
There are additional requirements for applicants of the Neo Nomad Visa.
As Yerzhan Erkinbaev, Deputy Minister of Tourism and Sports of the Republic of Kazakhstan, explained, a stable income of at least $3,000, verified through bank statements covering the past six months, a tax declaration, certificates of non-criminal record and health insurance must be demonstrated by applicants for this visa that is valid for one year and can be extended for an additional year for the applicant and his family members.
Permanent residency, ensuring stability and integration into the local job market, can be applied for by professionals upon arriving in Kazakhstan.
The Ministry of Foreign Affairs emphasized that those seeking career advancement and a high quality of life are attracted by Kazakhstan’s strategic location, rapid economic growth, business-friendly policies and the possibility to balance employment with the excitement of travel.
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Read moreOn 1st March 2025 new rules for obtaining a work visa will come into effect
The new regulations allow foreign nationals who wish to stay and work in Serbia to apply for a visa entirely online by themselves via Web Portal (https://welcometoserbia.gov.rs/home) or by their employers registered on the eGovernment portal on their behalf if the application is for a long-term visa for employment or seasonal work.
Confirmation of successful submission, all subsequent notifications, decisions and instructions, are sent after selecting the relevant service and completing the online form to the registered email address. All required documents must be submitted in electronic format and translated in Serbian.
A parent or legal guardian with the necessary supporting documents must submit the application for minors, while group applications can be submitted for seasonal workers.
Financial stability, appropriate accommodation in Serbia and an intention to return to their home country, as well as adequate travel insurance must be proved by applicants. They may need additional documents such as an invitation letter or proof of accommodation, depending on the purpose of travel.
A Type C visa (for short stays) may be obtained upon providing relevant evidence by foreign nationals entering Serbia for humanitarian reasons, due to force majeure, or in the interest of the state. Medical documentation, diplomatic notes, and invitations from competent institutions are included. They may grant a visa even without additional proof in certain cases.
One must meet clearly defined conditions to get a Type D visa for long-term stays in Serbia (a job contract or proof of registration and professional qualifications).
Accredited foreign journalists, volunteers, project experts and representatives of international organizations form a special category that must submit appropriate contracts, permits and certifications.
Serbia issues to foreign nationals participating in film or television productions in the country a Type D visa based on a contract between a domestic and foreign producer, confirmation from a Serbian production company and a document specifying the duration of engagement.
Proof of enrolment in a school, a course or university, verified by the Ministry of Education must be provided to students who wish to study in Serbia.
A contract with an accredited research institution in Serbia is needed for individuals coming to Serbia for scientific research, training and professional retraining.
Proof of relationship, such as a marriage certificate, evidence of a common-law partnership, or documentation confirming dependence on a family member in Serbia must be provided by foreign nationals who wish to reside in Serbia based on marriage or family ties.
A contract or confirmation of engagement from a registered religious organization in Serbia must be submitted by clergy and religious officials. A referral from a healthcare institution is needed for foreigners coming for medical treatment. A visa based on a title deed or another legally valid document can be obtained by property owners.
Individuals or legal entities must send all invitation letters electronically via the Foreigners’ Portal to speed up the visa application process.
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Read moreWill the lack of affordable labour make foreign investors leave Serbia?
There is a tendency for foreign investors to leave Serbia in recent years.
For example, the Benetton factory in Niš will be closed by April.
Receiving significant state subsidies is a common feature among many of these foreign investors. This situation has various reasons, but the crisis in the automotive industry in Europe and in the world is certainly one of the most prominent.
Relocation to other countries with more favourable business conditions could be another reason why foreign investments are withdrawing from Serbia.
As Milorad Filipović, a professor at the Faculty of Economics in Belgrade, says, Benetton operates in a low-margin and low-profit sector. He adds that even 20 years ago all production was taking place in Asia (Pakistan, Sri Lanka, Vietnam), while in Italy, only strategic development, product design, finance, and high-level management were based, so Serbia may have been an attractive location for Benetton more than a decade ago because of the financial incentives it received and due to the low labour costs and generally low unit production costs, such as electricity and utilities. Nowadays Serbia has stopped being a country with an abundance of cheap labour. Unit production costs have increased making Serbia’s competitiveness in investment sectors such as textiles, footwear, and other unprofitable industries significantly decline.
Serbia’s heavy reliance on Western countries’ automotive industry is another reason why some investors are leaving the country.
Filipović explains that the forced “transition” to more expensive energy sources and the severing of ties with Russia are the main causes of the automotive industry crisis in Europe.
According to economist Aleksandar Stevanović, companies can fail, emerge, merge and relocate in any business. The time for investments attracted ten years ago when Serbia tried to employ poor classes has passed.
As the Mayor of Niš, Dragoslav Pavlović, has confirmed, around 900 employees will be unemployed after the closure of Benetton. A support has been promised to the affected workers by the Ministry of Economy, the Government of Serbia, the National Employment Service, and the Serbian Chamber of Commerce.
Pavlović promised that in the coming months suitable job positions in other companies will be offered to Benetton workers, as there is a demand for labour in Niš.
Pavlović stated that, as in previous years, active employment and self-employment measures will be implemented for all those who wish to start their own business, as well as for hiring individuals from hard-to-employ categories and those who are considered essential in the labour market.
The mayor promised compensation in accordance with their years of service and assistance to Benetton workers in registering with the National Employment Service.
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Read moreSerbia issued around 79,000 work visas last year
According to Marko Đurić, Serbia’s Minister of Foreign Affairs in the caretaker government, the country issued around 79,000 work visas last year, that shows a significant facilitation of the domestic labour market.
A statement from the Ministry of Foreign Affairs reports that he presented Serbia’s economic results and investment potential at a roundtable in The Hague, where representatives of Dutch companies came together.
Serbia is a small country, but open to economic investments and business cooperation and investing heavily in the IT sector. It could maintain consistent and stable economic growth.
Serbia has free trade agreements with China, Egypt, the UAE, and many other countries, while also having access to the European market, where it conducts the largest volume of trade.
Good political and economic relations with South American and African countries and a strategic dialogue with the United States were also mentioned by the Minister.
Nevertheless, the EU is still Serbia’s most significant foreign trade partner and the primary source of foreign direct investment, with Serbia being the leading trading partner of the EU in the Western Balkans.
Residence and work permits have been digitalized.
The Office for IT and eGovernment announced in a separate statement that they had approved 41,319 applications for a Unified Permit for temporary residence and work of foreign nationals in the first year of operation of the Foreigners’ Portal in Serbia.
Dr Mihailo Jovanović, the Director of the Office for IT and eGovernment, said that they issued 3,004 unified permits in the form of a biometric document in card format in January 2025 alone. He added that the process for foreign nationals wishing to live and work in Serbia has been significantly simplified and accelerated by the establishment of the Foreigners’ Portal.
Foreign nationals or an employer on their behalf can submit an application for a unified permit exclusively online via the Foreigners’ Portal.
If the application is submitted independently by a foreign national, an account on the Electronic Identification Portal (eid.gov.rs) is necessary. An employer or a legal representative also needs a registered account on the eGovernment Portal (euprava.gov.rs) as a legal entity to submit the application.
It is also possible to submit applications for a Type C visa, which allows stays of up to 90 days and is issued for tourism, business, and other travel purposes, permitting single, double, or multiple entries into Serbia, and for a Type D visa, which allows stays from 90 to 180 days and is issued for employment, education, or family reunification purposes, on the Foreigners’ Web Portal.
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