The World Bank’s Board of Executive Directors has approved a $600 million loan to support Kazakhstan’s ongoing reform agenda aimed at strengthening private-sector-led growth, creating more and better-paid jobs, and improving the country’s economic resilience. The financing comes through the Second Inclusive and Sustainable Economic Growth Development Policy Operation, which is designed to help Kazakhstan build a more diversified and sustainable economy.
The loan, provided by the International Bank for Reconstruction and Development, supports key reforms under the Kazakhstan 2050 Strategy, the National Development Plan for 2025–2029, and the country’s Low Emissions Development Strategy. It is also aligned with the World Bank Group’s broader partnership framework for Kazakhstan. These reforms are intended to boost productivity, expand economic opportunities, and ensure that economic growth translates into quality jobs across different regions and population groups.
The World Bank said the reform package focuses on modernizing key sectors, attracting private investment, and improving resilience, especially for vulnerable populations. Priority areas include strengthening energy pricing and efficiency, expanding renewable energy, improving digital connectivity and data protection, and increasing access to social assistance. Together, these measures are expected to support a more dynamic, inclusive, and resilient economic model.
This loan is the second operation in a broader programmatic series that supports Kazakhstan’s transition toward a growth model that is less dependent on traditional sectors and more focused on sustainability and job creation. A central objective is to make the private sector the main driver of employment by reducing market distortions, improving competition, and expanding access to finance for businesses.
The World Bank noted that early results from the reform process are already beginning to emerge. The tariff-for-investment program is improving the financial sustainability of electricity and heating companies, which could help attract new private investment. At the same time, digital reforms have expanded broadband access, and improved financing instruments are helping small and medium-sized enterprises access capital more easily, which can strengthen entrepreneurship and job creation.
In addition to economic reforms, the program is also reinforcing inclusion and resilience through stronger social protection, regional development efforts, and water conservation measures. These steps are intended to improve conditions for poorer and more vulnerable households, ensuring that the benefits of growth are more widely shared as Kazakhstan advances its long-term development agenda.
