The Kazakh government expects higher economic growth of 7 percent in the medium term, despite lowering its GDP forecast from 6 to 5.4 percent for this year.
"We believe that, given the Kashagan (oilfield) output reaches full capacity in 2015, an average growth of 7 percent will be attained," Minister of Economic Development and Trade Erbolat Dosaev said Wednesday at the plenary session of the Majilis, the lower chamber of parliament.
He said, given the ongoing global financial crisis and its impact on Kazakhstan's exports, the growth would be achieved mainly through increasing domestic demand and implementing government programs, including an industrialization program, which would significantly change the GDP structure.
The government and the National Bank of Kazakhstan in February jointly forecast growth at 6 to 7 percent.
According to the Statistics Agency, economic growth in Kazakhstan from January to August this year was 5.6 percent.
Official medium-term inflation rate in Kazakhstan is 6 to 8 percent. As of Oct. 1, the annual inflation rate from September 2011 to September 2012 is set at 5 percent.