The project aims to generate new insights in (i) what attracts foreign investors to Kazakhstan and what obstacles they encounter, and (ii) what impact they have on the local economy, whether beneficial or detrimental. We are interested not only in economic factors and effects
but also in the Environmental, Societal and Governance (ESG) impact. We wish to inform policymakers on how to enhance Kazakhstan’s attractiveness as a destination for foreign investors and on the kinds of foreign direct investments most beneficial to the country’s development – more specifically, its sustainable development and the diversification of its economy. In that way, it should benefit the Kazakh workforce and population, the Kazakh economy at large, and potentially even the international business community through a more optimal allocation of investment resources and production activities.
The project has a quantitative leg and a qualitative leg. In the quantitative leg, we exploit varied and extensive sources of statistical data. One type of data consists of detailed firm-level data that will serve to measure the efficiency of production activities and understand what factors affect it at the level of the company or the production unit. Another type is more aggregate, and studies productivity at the regional and sectoral level.