Türkiye, long among Top Investors in Kazakhstan
By Alpaslan Düven
London – Türkiye, long recognized as one of the most invested countries in Kazakhstan, has fallen out of the nation’s top 10 foreign investors in 2024 — a significant shift after nearly a decade of steady capital flows.
From 2015 to 2023, Türkiye consistently ranked among Kazakhstan’s leading sources of foreign direct investment (FDI), supporting a wide range of sectors from manufacturing to construction. However, according to newly released data from Kazakhstan’s Foreign Ministry, Türkiye was replaced by Cyprus in 2024, amid changing investment dynamics and a global economic slowdown.
Despite this recent drop, Türkiye remains one of the most historically active and strategic investors in Kazakhstan, with deep economic and political ties that continue to shape bilateral relations.
Kazakhstan’s top 10 FDI sources over the past decade include the Netherlands, the United States, Switzerland, Russia, China, Belgium, France, South Korea, the United Kingdom — and until recently, Türkiye.
The investment environment in Kazakhstan has evolved significantly. Between 2020 and 2024, the mining industry attracted the largest share of FDI, totaling $93.3 billion. Manufacturing followed with $41.1 billion, while professional services and insurance received $15.3 billion and $8.3 billion, respectively.
Other sectors also showed strong momentum. FDI in wholesale, retail, and vehicle repair more than doubled, from $2.6 billion in 2020 to $5.3 billion in 2024. The information and communications sector tripled its inflows over the same period, rising from $211.3 million to $571.9 million.
Manufacturing investment alone grew at an average annual rate of 9.4% between 2015 and 2023 — a testament to Kazakhstan’s expanding industrial base and improving investment climate.
In a major shift, Russia became the top FDI source in 2024, contributing $4.1 billion and overtaking the Netherlands. Singapore also recorded rapid growth, with a 55% year-over-year increase in investment.
These shifts occurred against the backdrop of declining global FDI. According to the United Nations, global FDI fell by 8% in 2024 to $1.4 trillion, with a 7% decline in developing Asian economies.
While Türkiye’s absence from the current top 10 may be temporary, its historical role and ongoing commercial presence signal that it will likely continue to be a key player in Kazakhstan’s economic landscape.