Speaker A
So, welcome back everybody. We continue and we're thrilled to have for short while the President of Kazakhstan with us.
President Tokayev of Kazakhstan discusses geopolitical challenges, economic diversification, and cooperation with the EU at Berlin Global Dialogue 2023.
Key Takeaways
- Kazakhstan is strategically positioned as a bridge between major powers and is committed to multipolar cooperation.
- Economic diversification and infrastructure development are priorities to reduce dependence on energy exports.
- Kazakhstan is actively engaging with the EU to enhance trade routes and regional cooperation on food security and climate resilience.
- The country is advancing in digital governance and renewable energy investments to support sustainable growth.
- Strong, predictable partnerships with China and Russia remain central to Kazakhstan's foreign policy.
Summary
- President Kassym-Jomart Tokayev addressed the Berlin Global Dialogue 2023, emphasizing the erosion of global political and economic stability due to conflicts and geopolitical tensions.
- He highlighted Kazakhstan's strategic position as a crossroads between East and West, with significant energy resources and growing export capacities, especially to the EU.
- Kazakhstan is accelerating economic diversification beyond energy into sectors like automotive, pharmaceuticals, and mechanical engineering.
- The Middle Corridor transport route is a key initiative linking Asia and the EU, reducing transit times and enhancing trade opportunities.
- Kazakhstan aims to collaborate with the EU, including Germany, to integrate transport networks and support regional food supply and climate resilience.
- The country is committed to climate goals, being the first in the region to ratify the Paris Agreement and targeting carbon neutrality by 2060.
- Kazakhstan holds significant potential in renewable energy and critical minerals essential for the global energy transition, attracting major foreign investments.
- Digitalization and IT development have improved business processes, ranking Kazakhstan 28th in the UN Global E-Government Development Index.
- President Tokayev described Kazakhstan's close and cooperative relationships with neighbors China and Russia, emphasizing predictability and large-scale cooperation.
- He expressed hope that forums like the Berlin Global Dialogue and Astana International Forum will strengthen international dialogue amid geopolitical polarization.
Full Transcript — Download SRT & Markdown
Speaker A
He's on a visit to Germany, I believe he just met with the Chancellor.
Speaker A
And he's joining the Berlin Global Dialogue for a short while and we're absolutely thrilled.
Speaker A
And we'll have some questions and dialogue afterwards, he'll first give a short speech, and we're very interested of course in particular also, we've been discussing, Mr. President, the geopolitical, the multipolar world, and Kazakhstan being the size, I'm told, of Western Europe.
Speaker A
And having borders both with Russia and China, I think geopolitically, we would be very interested in how you see the world is going. We want to welcome you and then I will introduce Miss Class Mühlhäuser afterwards and we'll be sitting there at the table, but let's first have a short speech and give a warm welcome to President Tokayev of Kazakhstan.
Speaker B
Excellencies, Mr. Roller, ladies and gentlemen, it's a great pleasure to address the first Berlin Global Dialogue.
Speaker B
The creation of this forum could not be more timely.
Speaker B
Indeed, after decades of globalization and integration, we now face a situation in which conflicts, geopolitical tensions, disrupted markets are deeply eroding global political and economic stability.
Speaker B
The ultimate result is this: our youth are right in their belief that the world, for the first time ever, is no longer improving with each generation, and it's a matter of serious concern, of course.
Speaker B
Trade barriers, protectionism, and treaty withdrawals have become the norm rather than the exception.
Speaker B
Even food and fertilizers are sanctioned and restricted.
Speaker B
This makes no sense.
Speaker B
We require new economic multilateral values that will enable us to solve pressing global economic problems without abandoning the right to development.
Speaker B
The risk otherwise is the geopolitical fragmentation of the global trading system and on unprecedented scale. The IMF estimates this could cause a 7% drop in global GDP.
Speaker B
Dear colleagues, friends, Kazakhstan has long been a crossroad between East and West, North and South.
Speaker B
Despite geopolitical upheavals, we persist as a dynamic economic linchpin within and for Central Asia.
Speaker B
With the second largest proven oil reserves in Eurasia, Kazakhstan is a major energy supplier to the global markets. Given that 70% of our oil exports go to the European Union, we stand ready to enhance our export capacities and contribute to mitigating the global energy crisis.
Speaker B
Last year, Kazakhstan's exports increased by almost 40%.
Speaker B
While a significant portion of our GDP still comes from the energy sector, our drive towards diversification is accelerating.
Speaker B
Witnessing growth in diverse sectors such as automotive, pharmaceuticals, processed metals and mechanical engineering, Kazakhstan continues to attract significant foreign investment due to our growing reputation as an exceptional environment to do business in.
Speaker B
For example, the Middle Corridor or Trans-Caspian International Transport Route, forging connections between Asia and the European Union, heralds new possibilities for trade and investment in the region, cutting by two-folds transit times for goods transported via existing maritime routes.
Speaker B
Accordingly, I wish to confirm our readiness and intention to collaborate with our EU partners, including Germany, of course, to link the Middle Corridor with the Trans-European Transport Network and Global Gateway initiatives.
Speaker B
We strongly believe that this collaboration could in turn pave the way for Kazakhstan to serve as a regional food supply hub, uniting regional efforts to develop a climate resilient economy and to address the food and energy insecurities born out of climate change.
Speaker B
We remain the first country in the region to have ratified the Paris Agreement.
Speaker B
And to embrace a carbon neutrality strategy by 2060.
Speaker B
Kazakhstan is unique in holding significant unexploited potential in renewable energy, whilst being endowed with the critical minerals and other raw materials that will form the backbone of the global energy transition.
Speaker B
For example, Swaywind, a German-Swedish company, is channeling a 50 billion dollar investment in its operations in Kazakhstan, targeting the production of 2 million tons of green hydrogen per year.
Speaker B
Furthermore, huge investment opportunities exist for businesses aspiring to process raw materials and ores locally, primed for export to the European Union.
Speaker B
We are confident that the availability, affordable energy resources, committed state support and competitive labor costs make this an attractive proposition.
Speaker B
Industrial and infrastructure development always goes hand in hand with technological growth.
Speaker B
We made a huge progress in the field of IT and digitalization that also made a great contribution to ease many B2B and B2G processes.
Speaker B
As a result, Kazakhstan is number 28 in the United Nations Global E-Government Development Index.
Speaker B
Given all these factors, it is unequivocal that Kazakhstan has emerged as a truly global and reliable trade and economic partner.
Speaker B
Ladies and gentlemen, those of us gathered here today share a joint responsibility to accelerate a prosperous and inclusive future for all.
Speaker B
Last year, upon my initiative, we launched the first Astana International Forum, a unique platform.
Speaker B
An inclusive one, established to advance global cooperation and dialogue in this time of geopolitical polarization.
Speaker B
It is my sincere hope that the Berlin Global Dialogue and the Astana International Forum, standing as valuable spaces for international dialogue in Europe and Eurasia, can reinforce their respective efforts in addressing our global concerns.
Speaker B
Thank you very much.
Speaker A
So, thank you again.
Speaker A
For those very interesting words, let me briefly introduce Frau Class Mühlhäuser.
Speaker A
She's the chair of the supervisory board and the chair of the shareholders committee of Class and I understand you have some business also in Kazakhstan.
Speaker A
And many other countries, a global market leader in agricultural machinery.
Speaker A
And she's also the chair, and I know it's a busy day for you today, so thank you for being here, of the German Eastern Association, which I think is also having some activities with the visit of the Kazakhstan President.
Speaker A
And therefore she's sort of perfectly placed to address some of these issues. But let me ask you, since we don't have a lot of time, one question to the President, sort of building on what you just said in terms of the geopolitical situation. And we've been, as I was saying, we were discussing this morning quite a bit the multipolar world and how Kazakhstan sees itself.
Speaker A
You are about the size of Western Europe, and in that sense, you know, China border with China and with with Russia.
Speaker A
And there's a lot of discussion about bipolar world versus multipolar world.
Speaker A
How do how does Kazakhstan sort of fit into all of that?
Speaker A
Are you a bridge to everybody?
Speaker A
And how do you see Kazakhstan developing in that direction?
Speaker B
Kazakhstan is lucky.
Speaker B
You need to use the.
Speaker B
Yes.
Speaker B
Thank you.
Speaker B
Kazakhstan is lucky to have such neighbors like China and Russia, and we enjoy close cooperation with both of them.
Speaker B
Speaking about China, it's a very good neighbor, we have a big trade with China, using its opportunities as a huge market.
Speaker B
China has become an economic superpower, although nowadays some people say that China has become a juggernaut, but I would say that China has become a superpower, although these days they have some problems in its economic development, but as Chairman Xi Jinping, who is a friend of mine, said that the economy of China is a big ocean.
Speaker B
There might be storms and even hurricanes over the ocean, but the ocean will be existing in the future, so I think that Kazakhstan is very much interested in having a very predictable and large-scale cooperation with China.
Speaker B
Speaking about Russia, we are members of the same organizations.
Speaker B
The so-called integration organizations.
Speaker B
And we share the longest border in the world.
Speaker B
And we are very much interested in having also predictable relationship with Russia.
Speaker B
And I would say that we succeeded a lot in doing so, so I believe that in the future we shall have no problems.
Speaker B
As far as the multipolar world.
Speaker B
Kazakhstan, of course, supports this system.
Speaker B
Because the whole world has become extremely complex, very difficult.
Speaker B
And I would say that the Security Council of the United Nations is unable to sustain peace and security in the world, that's why we support the enlargement of the Security Council of the United Nations.
Speaker B
And.
Speaker B
If.
Speaker B
Germany.
Speaker B
Would have.
Speaker B
Become.
Speaker B
A member of the Security Council from my personal perspective.
Speaker B
Germany might have played a very important role in making peace more stable.
Speaker B
And we will be supporting the candidacy of Germany as a potential member of the Security Council.
Speaker B
But at the same time, of course, we'll be supporting the representation of the developing world.
Speaker B
Including.
Speaker B
Or.
Speaker B
The so-called.
Speaker B
Middle-sized countries, including Kazakhstan.
Speaker B
We also.
Speaker B
Could.
Speaker B
Make.
Speaker B
A bit.
Speaker B
To become.
Speaker B
A member.
Speaker B
Of the.
Speaker B
Security.
Speaker B
Council.
Speaker B
So.
Speaker B
The Security.
Speaker B
Council.
Speaker B
Must be.
Speaker B
More.
Speaker B
Inclusive.
Speaker B
And.
Speaker B
More.
Speaker B
Representative.
Speaker B
And it would be.
Speaker B
Reflecting.
Speaker B
The so-called.
Speaker B
Multipolar.
Speaker B
World.
Speaker A
So both enlarging the Security Council, if I may just follow up.
Speaker A
Enlarging the Security Council as well as support of Germany is something presumably which was also part of your discussions with Olaf Scholz today.
Speaker A
I know you.
Speaker A
Cannot talk about private discussions with him.
Speaker A
But you had a joint press conference.
Speaker A
And you will be here in 20 minutes.
Speaker A
But that was something which was.
Speaker A
So you so both.
Speaker A
To support both.
Speaker A
Enlargement as well as.
Speaker B
In the.
Speaker B
Negotiations.
Speaker B
With.
Speaker B
Chancellor.
Speaker B
Scholz.
Speaker B
I was very much clear.
Speaker A
Okay.
Speaker B
Saying that.
Speaker B
Our.
Speaker B
Assessment.
Speaker B
With regard.
Speaker B
To the.
Speaker B
Potential.
Speaker B
Membership.
Speaker B
Of Germany.
Speaker B
Is absolutely.
Speaker A
Okay.
Speaker B
Correct.
Speaker A
And on the.
Speaker B
Sorry.
Speaker A
On the geopolitical position you were just describing loosely.
Speaker A
That has been the position of Kazakhstan for a long time.
Speaker A
Or has there been a shift in that one?
Speaker A
In the last two years.
Speaker B
I would say that.
Speaker B
Our position.
Speaker B
With regard.
Speaker B
To the.
Speaker B
Multipolar.
Speaker B
World.
Speaker B
Has been.
Speaker B
Consistent.
Speaker B
And even.
Speaker B
Persistent.
Speaker A
Okay.
Speaker B
It had no.
Speaker B
Shifts.
Speaker B
Either.
Speaker B
To the left.
Speaker B
Or.
Speaker B
Either.
Speaker B
To the right.
Speaker A
Okay.
Speaker C
Yeah, basically, I'm I'm sitting here in my role as Eastern Business Association more than as Class.
Speaker C
But of course.
Speaker A
So the whole.
Speaker A
German.
Speaker A
Industry.
Speaker A
Feel like.
Speaker C
Kazakhstan is a very.
Speaker C
Very attractive.
Speaker C
Country.
Speaker C
Economically.
Speaker C
Let me just link into what you just said.
Speaker C
And I think, of course, we are looking for stronger ties in the world to, as you formulated it, to avoid a fragmentation geopolitically as much as we can.
Speaker C
I'm not a politician.
Speaker C
I think politics should set the framework to support that.
Speaker C
And I think many travels that we've seen, especially from EU politicians into the region.
Speaker C
Into other regions.
Speaker C
Have seen.
Speaker C
Have shown this.
Speaker C
Objective.
Speaker C
And there are many chances.
Speaker C
Also for both sides.
Speaker C
And Kazakhstan, as you also mentioned, of course, absolutely correctly, is traditionally strong in energy sources.
Speaker C
In metals, in rare earths.
Speaker C
And I think your objective to move further down the value chain in the sense of processing those raw materials further is absolutely the right direction.
Speaker C
And it's something that we can.
Speaker C
We are very interested in.
Speaker C
Of course, my heart's beating for agriculture.
Speaker C
And I see the vast and very fertile lands that Kazakhstan has also as a natural resource.
Speaker C
I mean, growing some of the best baking wheat in the world.
Speaker C
But also here the same principle applies, and I think that's also interesting for both sides to move further down the value chain.
Speaker C
And we actually discussed some of that.
Speaker C
When I visited in Kazakhstan.
Speaker C
That, I mean, meaning basically not sunflowers but oil, not maize but cornflakes.
Speaker C
And I think these things sound quite trivial, but it's it's very important for an industrialization of the country.
Speaker C
And then of course, last but not least, it's also industrialization.
Speaker C
And here we're sort of Class comes in too.
Speaker C
We have a joint venture in Kazakhstan to for the assembly of large tractors.
Speaker C
And we find two things very attractive about Kazakhstan.
Speaker C
I can just talk for myself, but I know that for many, many companies.
Speaker C
One is the availability of skilled labor.
Speaker C
And also, of course, low energy costs.
Speaker C
And it's there's just much entrepreneurial opportunity.
Speaker C
Which we can use.
Speaker A
Yeah, no, thanks.
Speaker A
Something you were mentioning which I wanted to ask the President.
Speaker A
And that is the sort of economic wish, let's say, to have more of the processing and the value added economically in Kazakhstan.
Speaker A
That must be.
Speaker A
I might say a big priority, I would suppose.
Speaker A
And of course, the whole issue of the natural resources and as you mentioned also the critical raw materials, that is a big issue.
Speaker A
And it is, of course, for the energy transition very important for the rest of the world.
Speaker A
It's even geopolitically, I think, a very important one.
Speaker A
You have the second largest, I hope this is correct, the second largest reserves of uranium, chromium, lead and zinc.
Speaker A
And the third largest reserves of magnesium.
Speaker A
So, obviously, that is a lot of potential.
Speaker A
And so my question would be, and given the where the world is going, that is becoming much more valuable now.
Speaker A
So Kazakhstan must be, as an economist would say, in demand in many different directions.
Speaker A
Because of of of the development of the world.
Speaker A
So my question would be that, you know, are you are you using that.
Speaker A
To develop your economy well?
Speaker A
So is it economics or is it also.
Speaker A
Let me be blunt, sort of a political bargaining chip.
Speaker A
Or a position you would have as the world is really needing these critical diversifying critical raw materials away from other countries.
Speaker B
First of all, I would like to express my appreciation to the Class company.
Speaker B
Which is present on our market on the long-standing basis, very successful.
Speaker B
And we are very much happy to have a very productive cooperation with your company.
Speaker B
And of course, we'll be providing good opportunities as well to the Class company.
Speaker B
As well as other companies this afternoon, as well as tomorrow, I'm going to have meetings.
Speaker B
With the leading German companies this morning, we have been talking with Chancellor Scholz.
Speaker B
About existing opportunities in Kazakhstan, and of course, we admit that we are not excellent.
Speaker B
In providing those opportunities still, we have to work hard.
Speaker B
In order to improve our legislation, to make it more hospitable.
Speaker B
To the foreign investments.
Speaker B
But at the same time, I would like to assure you that it is our basic strategy.
Speaker B
To invite as more foreign investments into Kazakhstan as it is possible.
Speaker B
And in my address to the nation on the 1st of September, I made a point.
Speaker B
Saying that, first of all, we need to create good, favorable ground.
Speaker B
For those who would like to come to Kazakhstan.
Speaker B
And I proposed, I suggested that those investors.
Speaker B
Who would like to come into the manufacturing sector of our economy.
Speaker B
Will be enjoying tax-free regime in Kazakhstan.
Speaker B
For three years.
Speaker B
No taxes at all.
Speaker B
And then I was saying that, okay, God bless, we have natural resources.
Speaker B
But we shouldn't be, shouldn't be complacent about them.
Speaker B
We need to take absolutely efficient measures in order to upgrade.
Speaker B
The quality of our economy.
Speaker B
First of all, to diversify our economy.
Speaker B
So it's a basic strategy and it's a basic task, and I said that in three years.
Speaker B
We should make a breakthrough in our economic development.
Speaker B
So you just asked me whether it's economically.
Speaker B
Profitable for Kazakhstan or politically.
Speaker B
It's of course, we are not bargaining.
Speaker B
But at the same time, we need to understand that possessing huge deposits.
Speaker B
Of say, natural resources, including rare earth metals.
Speaker B
Is a very efficient asset for Kazakhstan.
Speaker B
But at the same time, of course, it's a trump.
Speaker B
In playing cards on international arena.
Speaker B
So I think that we need, we shouldn't be complacent.
Speaker B
Each time I'm addressing to my people.
Speaker B
I always keep saying that.
Speaker B
Let us.
Speaker B
Work hard.
Speaker B
And of course, Germany.
Speaker B
I said quite clearly to the press.
Speaker B
This morning that Germany is number one.
Speaker B
For Kazakhstan on European continent.
Speaker B
And we will be doing our utmost in order to enhance.
Speaker B
Enlarge cooperation with your country.
Speaker A
Okay.
Speaker A
Thank you very much.
Speaker A
And we need to leave it here.
Speaker A
And let me thank again the President very much.
Speaker A
Let's work on those win-win situations, I guess.
Speaker A
And let's also thank Frau Class Mühlhäuser.
Speaker A
For this short intervention.
Speaker A
And we now have a short break.
Speaker A
And I would like to ask you to just stay seated.
Speaker A
Unless it's really urgent, then you can of course leave.
Speaker A
Because the Chancellor will arrive in about five minutes.
Speaker A
And let's just.
Speaker A
Thank you very much.
Speaker A
And let's thank both of them.
Topics:KazakhstanKassym-Jomart TokayevBerlin Global Dialoguegeopoliticsmultipolar worldeconomic diversificationMiddle CorridorEU cooperationrenewable energydigitalization
