Kazakhstan Advances Policy Reforms for Jobs and Inclusive Growth, with World Bank Support

WASHINGTON, March 13, 2026 - The World Bank's Board of Executive Directors today approved a $600 million loan for the Second Inclusive and Sustainable Economic Growth Development Policy Operation (DPO) to support Kazakhstan's reform agenda to strengthen private-sector-led growth, create more and better-paid jobs, and enhance economic resilience.

The $600 million loan from the International Bank for Reconstruction and Development (IBRD) supports priority reforms under the Kazakhstan 2050 Strategy, the National Development Plan (2025-2029), and the Low Emissions Development Strategy, and is aligned with the World Bank Group's Country Partnership Framework. The reforms aim to raise productivity, expand economic opportunities, and ensure that growth translates into quality jobs across regions and population groups.

"Kazakhstan has an ambitious reform agenda, and we are happy to support the country's efforts to modernize key sectors, mobilize private investment, and enhance resilience, especially for the most vulnerable," said Andrei Mikhnev, World Bank Country Manager for Kazakhstan. "Strengthening energy pricing and efficiency, scaling up renewables, advancing digital connectivity and data protection, and expanding access to social assistance will help Kazakhstan build a more dynamic, inclusive, and resilient economy."

The DPO is the second operation in a programmatic series supporting Kazakhstan's transition toward a more diversified and sustainable growth model, with a strong focus on jobs. By reducing market distortions, strengthening competition, and improving access to finance, the reforms support the government's objective of making the private sector the main engine of job creation.

Early results from the ongoing reforms are already visible. The tariff-for-investment program is improving the financial sustainability of electricity and heating companies, which can enable new private investment. Digital reforms have expanded broadband access, while improvements to financing instruments are helping small and medium-sized enterprises gain better access to capital, supporting entrepreneurship and employment. At the same time, stronger social protection, regional development, and water conservation measures are building resilience and inclusion for the poorest and most vulnerable households.