Kazakhstan: Senate Did Not Pass 2025-2027 Draft Budget

The Senate of the Parliament reviewed the draft budget of Kazakhstan for 2025-2027, Orda.kz reports.

The deputies did not approve some of its points and returned them to the Majilis for revision.

The main goals of the budget are to ensure the country's sustainable development, improve the welfare of citizens, and adapt to current economic realities. Therefore, it will be socially oriented. 

Key tasks: 

• Improving the quality of life of the population.
• Stimulating economic growth.
• Strengthening financial stability.
• Modernization of the economy and infrastructure. 

Economic Outlook

GDP growth: Average 5.4% per year over the next three years. Oil prices: Base price: $75 per barrel. Exports: $82.3 billion in 2025, up to $90 billion by 2029. Inflation: Expected to decline from 7.5% in 2025 to 5% by 2027.

Expenses and Priorities

Expenditures of 25.8 trillion tenge are slotted for 2025. 

Social Sphere:

9.8 trillion tenge (+871 billion compared to the current year). For healthcare — 2.5 trillion tenge, including support for compulsory medical insurance. Education and science — 1 trillion tenge.

Regional Development:

7.5 trillion tenge to support rural areas, gasification, and water supply.

Infrastructure and Transport:

1.7 trillion tenge to improve the transport system, including roads and utility networks.

Economic Support:

635 billion tenge for the agro-industrial complex, 568 billion tenge for the transport sector, and 137 billion tenge for water resources management (+61% compared to the current year).

Defense and Security:

2.7 trillion tenge to support law enforcement agencies. The committee proposed revising individual budget items. 

Key comments:

Increase Funding for Socially Significant Projects:

• Strengthen support for engineering and transport infrastructure.
• Review the methodology for distributing transfers between regions.

The bill proposes a significant increase in spending on social needs and infrastructure. The authorities plan to focus on regional development, education, and healthcare. 

Income 

2025–2027 projections foresee budget revenues excluding transfers as:

• 2025: 15.6 trillion tenge (+2.9 trillion compared to the current year).
• 2026: 16.7 trillion tenge (+6.8% compared to 2025).
• 2027: 18.2 trillion tenge (+9% compared to 2026).

Income structure:

Tax revenues will account for 97.2% of all revenues in 2025. Non-tax revenues are projected at 435 billion tenge, 686 billion tenge lower than the 2024 estimate.

Transfers:

Guaranteed transfer from the National Fund: 2 trillion tenge annually. Targeted transfers for socially significant projects: 3.25 trillion tenge in 2025.

Main Income Sources

Oil sector: The forecast for revenues to the National Fund for 2025 is 4.88 trillion tenge, based on oil production of 97.2 million tons and an average price of $75 per barrel. The growth in tax revenues is thanks to increased economic activity in construction (+9.3%), trade (+7.1%), and industry (+5.8%).

The budget revenue side shows stable growth, which is supported by tax revenues from the oil sector.

However, the Finance Ministry notes a decrease in non-tax revenues. The authorities must seek other budget contributions.

The senators did not approve specific articles of the law and returned it to the Majilis.  

Taking into account the above, the Finance and Budget Committee recommends not approving individual articles of the Law and returning it to the Majilis with a proposal for a new version of the said articles of the Law,
said Senator Sultanbek Makezhanov.

Original Author: Ilya Astakhov