Seoul, Republic of Korea
Welcoming participants of the first Central Asia–Republic of Korea Business Summit, President Kassym-Jomart Tokayev underscored Kazakhstan’s high regard for the Republic of Korea’s unwavering commitment to the comprehensive development of economic ties with the countries of Central Asia.
“Rising geopolitical tensions around the world are placing unprecedented pressure on global trade and economic stability. Under these circumstances, mutual understanding and trust among states are among the most important factors for successful, long-term business partnerships. Without them, it is impossible to ensure the successful development of the entire spectrum of relations between our countries. The same applies to Kazakhstan. We are committed to cooperation with the Republic of Korea. We hold your country, its ancient traditions and culture in the highest regard. Central Asia possesses significant natural resources, a growing consumer market and a young population, as President of the Republic of Korea Lee Jae Myung rightly noted just now,” the Head of State said.
According to the President of Kazakhstan, the combined GDP of the countries of Central Asia approached 550 billion US dollars last year, while their growth rate exceeded 6 percent – almost twice the global average.
“Strong trade and economic ties and expanding cooperation in transport are enhancing the region’s investment appeal. Combining these advantages with Korea’s industrial, technological and financial capabilities opens up broad prospects for mutually beneficial cooperation. I believe that by pooling our potential under the formula ‘Resource Synergy for Common Goals’, we can elevate our multifaceted partnership to an entirely new level. Kazakhstan stands ready to fully leverage its capabilities to achieve this important objective,” Kassym-Jomart Tokayev noted.
The President stated that Kazakhstan accounts for around 60 percent of Central Asia’s combined GDP and approximately 70 percent of foreign direct investment inflows into the region.
“These figures reflect our country’s significant contribution to the economic development and overall prosperity of Central Asia. During my visit, around 80 commercial agreements worth approximately $19 billion were signed between Kazakhstan and Korea. These are not merely declarations of intent or, as is often said today, empty pieces of paper, but concrete plans. In any case, the Government of Kazakhstan will closely monitor the timely implementation of the relevant business projects. The Government of Kazakhstan will provide comprehensive support to Korean businesses to ensure the effective implementation of joint projects. To this end, a Comprehensive Program for Trade, Economic and Investment Cooperation between Kazakhstan and Korea for 2027-2030 will be developed. I would also like to emphasize that we are consistently improving the investment climate and creating the most favorable conditions for foreign investors. One important step in this direction was the introduction of the Altyn Visa programme, which provides benefits to investors implementing projects in our country. I believe that Korean entrepreneurs and Korean businesses as a whole will make active use of the incentives provided,” the Head of State said.
In his speech, the President outlined key areas with significant potential for joint projects. He identified deepening industrial cooperation as the first priority.
“Kazakhstan and Korea are currently implementing 51 industrial projects worth more than 4 billion. Last year, more than 170 thousand vehicles were produced in our country, representing growth of nearly 18 percent. The Hyundai and Kia plants made a significant contribution to this achievement. This provides a solid foundation for our further efforts aimed at increasing localization and producing high-tech goods with high added value. As for the localization process, I am closely monitoring it. Of course, this is not a matter that can be resolved overnight, but we need to continue moving forward consistently in this direction,” Kassym-Jomart Tokayev said.
The Head of State emphasized the importance of developing partnership in the field of critical materials. According to him, Kazakhstan possesses rich deposits and reserves of critical minerals and rare earth metals.
“We produce copper, chromium, titanium and many other elements identified by the Government of Korea as priority strategic resources. Taking into account Korea’s advanced technological expertise, we propose establishing a pool of targeted, full-cycle investment projects covering geological exploration, extraction, deep processing and the production of critical materials,” the President noted.
President Tokayev stressed that expanding transport connectivity is becoming increasingly important. In his view, Central Asia’s unique geographical position offers significant opportunities to strengthen the transport and logistics connectivity of the entire Eurasian continent.
“The Trans-Caspian International Transport Route, a significant part of which runs through Kazakhstan, plays an important role in this regard. Currently, this route accounts for around 85 percent of all land-based freight transportation between Asia and Europe. Last year, container traffic along the Middle Corridor increased by 36 percent. A significant increase of 18 percent was also recorded in the first eight months of this year. Over the next two years, we plan to increase the route’s capacity from 6 million to 10 million tonnes. We invite Korean companies to take the most active part in developing infrastructure projects along this route. To this end, the Government of Kazakhstan will establish a portfolio of investment projects for Korean partners,” the Head of State said.
The President pointed to significant opportunities for strengthening cooperation in artificial intelligence and digital technologies. He noted that Kazakhstan is taking active steps to advance in this field.
“In our country, a dedicated ministry has been established, the Alem.ai International Centre has been launched, and two supercomputers have been put into operation. This year has been declared the Year of Digitalization and Artificial Intelligence in Kazakhstan, giving strong momentum to the development of this sector. We are implementing a number of flagship initiatives, including the construction of a Data Centre Valley with a capacity of one gigawatt. We are also strengthening our human capital and research capacity. The country’s first specialized university, Qazaq AI Research University, has begun its work. To take our technological partnership to a qualitatively new level, we propose establishing a Central Asia – Korea Advanced Technology Centre, potentially based at Alem.ai in Astana,” Kassym-Jomart Tokayev said.
A separate part of the President’s speech focused on agriculture. The Head of State noted that Kazakhstan harvested a record grain crop of approximately 27 million tonnes last year.
“Agricultural products are exported to more than 70 countries worldwide, reaching 7 billion in value. Kazakhstan possesses extensive land resources, while Korea is a recognized leader in highly efficient and technology-driven agriculture. We propose combining our competitive advantages and establishing a joint food industry cluster focused on production, deep processing and exports to international markets. Kazakhstan offers Korean companies not merely a sizeable market, but broad opportunities to locate production facilities, introduce technologies and gain access to the markets of the Eurasian continent. This will open up new prospects for Korean businesses and generate a genuine multiplier effect for the entire region,” the President of Kazakhstan said.
Kassym-Jomart Tokayev emphasized that the economic success of our region is inseparable from the sustainable development of each of our countries.
“Strengthening connectivity across Central Asia will enable us to fully unlock its combined economic potential, create new opportunities for international business and provide additional momentum to the implementation of large-scale joint projects. I am confident that deepening cooperation with the Republic of Korea, one of the world’s leading technological and economic powers, will help accelerate the achievement of these goals,” the Head of State concluded.
The event was also addressed by President of the Republic of Korea Lee Jae Myung, President of Kyrgyzstan Sadyr Japarov, President of Tajikistan Emomali Rahmon, President of Turkmenistan Serdar Berdimuhamedov and President of Uzbekistan Shavkat Mirziyoyev.
