Remarks by
H.E. Mr. Nursultan NAZARBAYEV,

President of the Republic of Kazakhstan

at the meeting with representatives of diplomatic corps
accredited in Kazakhstan

(as delivered)

Astana

December 22, 2009

Speaking Kazakh.

Your Excellencies,

Distinguished Ambassadors and heads of missions,

Ladies and gentlemen,

Our meetings on the New Year’s Eve have already become a good tradition that provides opportunity to inform you, to exchange views on the current situation in our country, on the diplomatic efforts to strengthen the relations with countries you represent.

Recently, as you know our country has celebrated the 18^th anniversary of its Independence. The longest period of our Independence falls on one of the most important and crucial period of world development. I think it is no exaggeration to call the past year a “moment of truth”.

Our country is deeply integrated into the system of international relations and, like most countries in the world, is influenced by trends of the world development and we felt this crisis. Despite the global crisis, Kazakhstan continues to move forward. We are certain of the fact that from the beginning we have chosen the right path of the development, and we as a state have been prepared to such sig-zags of the world economy that happen sometimes.

I am convinced the current crisis provides not only difficulties but also big opportunities for all the states. The crisis has also provided an opportunity to re-evaluate our work, policy in the economy and to outline new prospects. In addition, we firmly intend to bring out Kazakhstan’s economy from this situation into the new development level.

Today, we observe the concrete results of our anti-crisis program. I had to talk and you all know very well that we have stabilized the situation in the financial sector. The negotiations with our investors were finalized in London in terms of Alliance Bank, Bank Turan Alem. I can state that we have settled the issues of the financial system, very complicated issues. And we are at the stage of the fully stabilized financial situation. In the country the significant work was done according to the “Road Map” Program. Actually this is public work with provision of work jobs. Funds were allocated for it. We were able to create 400,000 new jobs which was not even possible in the good years. Despite difficulties, Kazakhstan has put into operation about 170 new industrial and infrastructure projects with investment volume of more than three billion dollars. 

As you remember and I already said, to overcome the crisis Kazakhstan allocated from its National Fund 14 billion dollars. For the population of 16 mln this is a big amount. And this amount was spent, we were able to provide support to small- and medium – sized businesses, helped mortgage holders. Our gold and currency reserves amounted last year to 48 billion dollars. This year they come to 52 billion dollars. Although we made some expenditures and investments they increased. And they look as very good reserves if we consider them per capita.

In 2010, we will start a five-year plan of “Program 2020” on the industrial and innovative development. In fact, we are speaking about a “technological breakthrough” for Kazakhstan that offers great potential for mutually beneficial and multi-faceted cooperation, including the “resources - technologies - investments” formula of co-operation with countries that all of you represent.

During this year, Kazakhstan has deeply integrated into the global energy and transport infrastructure due to assistance of our foreign partners.

Of strategic importance are several arrangements on establishing new and expanding existing energy routes for transportation of Kazakhstan’s oil and gas, including the Caspian Pipeline Consortium, as well as the launch of “Western Kazakhstan - Western China” oil pipeline. The initial capacity of this oil pipeline is 10 mln tons, in the future the capacity will increase up to 20 mln tons.

The “Turkmenistan - Uzbekistan - Kazakhstan – China” gas pipeline, that was put into operation with my participation as you remember is an ambitious project that will enhance Kazakhstan’s role in the field of global energy security. They will allow Kazakhstan to increase the development of the oil, we expect big volumes of oil in the years 2014-2015. We will develop the western direction in this issue. In addition the second phase, Kazakhstani section of the pipeline will allow Western Kazakhstan and South Kazakhstan to be connected to the Chinese pipeline. This is a very beneficial project for our country.

Reviving the Great Silk Way, 1300 km along our territory, will give good profit to our economy and establish new jobs. Kazakhstan is making active efforts on development of transport infrastructure. During this year, construction was launched of “Western Europe - Western China” international road corridor, a highway that is 2700 km long across the territory of Kazakhstan, and costs 3,5 billion dollars. The funding was provided for the whole road, the active construction will start in the next year. In the first phase of the project 25,000 workers will be involved, in the maximum phase - there will be up to 50,000 workers. There is an agreement with the Russian Federation, with the European countries to provide support to this big project. The project on the construction of “Kazakhstan - Turkmenistan – Iran” railway line was launched, three leaders of these states signed this agreement, that means that not only Kazakhstan but also other countries will have a straight way, way that will be straightened in the territory of Iran, to the Persian Gulf to Banderbas port. These are very interesting and beneficial projects for our country.

It is a pleasure to note the participation of foreign partners in modernization of key industries and infrastructure in Kazakhstan. Its practical outcome is implementation of several important infrastructure projects with world leading companies in the field of energy, metallurgy, nuclear industry, and mechanical engineering.

During this year, the great importance in Kazakhstan’s policies was placed on China’s “soft” loans in the volume of 13 billion dollars, 5 billion out of them are direct investments, 3.5 billion for procurements of the Chinese equipment, and 1.5 billion – for other purposes. They were aimed at the development purposes only. We did not use them for the budget needs. You know that the conclusion of agreements with leading companies of France, Italy, Turkey, South Korea, India and Belarus on cooperation in non-raw material sector, as well as the establishment of innovative cooperation with Slovenia and Israel took place in my official visits of these countries and during the official visits of their leaders to Kazakhstan. Today, all agreements achieved and contracts signed are estimated at about 30 billion dollars.

In general, our country’s priorities in the field of foreign policy remain unchanged. Kazakhstan will continue closely cooperating with major partners from the Commonwealth of Independent States (CIS). The establishment of the Customs Union, involving Kazakhstan, Russia and Belarus, has become a historical event. Recently there was an informal meeting of the country-members of Euro-Asian Economic Community  took place in Almaty. We signed an agreement on establishment of the Customs Union. We said there are such organizations in the world, NAFTA, South-American organization, the South and Pacific Asia is going ahead to establish something similar. In the conditions of the crisis and globalization we are establishing some common market for more than 170 million people. Any business out of any country in this market will find this news as good and beneficial. We agreed we will continue working together to enter the World Trade Organization.

This decision has laid a basis for forming the Common Economic Space, this is the next phase of the integration process, that will allow free movement of capital and people, not only goods and transport. We signed on the 19^th of December in Almaty a Road Map for switching from the documents to establishment of the common market for our states during 24 months.

There are CIS countries that wish to join this organization. Of course they need to go through the relative procedures, not simple one, when our three countries developed more than 30 regulations that should go through the relative internal procedures. Therefore, Kazakhstan’s initiative on establishing the Eurasian Union, this is the next stage after establishment of the Common Economic Space. As we know EU went through the same way during 57 years. We can do it in shorter period of time.

Our relations with Central Asian states advance progressively. The main areas of bilateral cooperation include trade and investments, power industry and transport that are being developed although impacted by the crisis. The agenda also implies the necessity to promote the idea of integration between Central Asian states, which includes using the platforms of the Cooperation Council for the Turkic States and the International Aral Sea Rehabilitation Fund.

Kazakhstan’s relationships with Russia, the USA, and China still hold a specific place, as we continue to cooperate successfully with these countries in the field of regional security, power industry, trade, transport, and communications. We are ready and we intend to develop these relations and to make our positions closer.

Further strengthening of partnership with EU member states remains a key point of our policy. Strategic partnership agreements with Spain, France, and Italy provide conditions for bringing Kazakhstan’s relations with EU on a brand new level. Program adopted by us, “Path to Europe” is destined to promote economic ties and active development of new forms of cooperation.

Kazakhstan is making strong efforts to stabilize the situation in Afghanistan. Starting next year, we will be educating one thousand Afghan students on different specialties within a special nine-year educational program. We are going to spend on the program approximately 50 million dolllars. This is realistic aid that was highly appreciated by the Afghan Government. We offer the territory of our state to supply from it all the necessary stuffs to help these countries. We think problems of Afghanistan strongly impact the interests of Central Asia, we will cooperate with the world community, with the US to offer the common solution of this complicated issue.

 Great opportunities and new prospects, especially in the economic sphere, open up in our relations with states of the Middle East, the Persian Gulf, in particular, UAE, Asian and Pacific region, and Latin America.

Dear ladies and gentlemen,

Since its independence, Kazakhstan has been making a substantial contribution into strengthening regional and global security. Our country was and remains an active partner in a wide-ranging international cooperation, aimed at nuclear disarmament and non-proliferation.   

We proposed to announce 29 August, the day of the closing of the Semipalatinsk nuclear testing site, an International Day for a world free of nuclear weapons. We are glad the idea was approved by a resolution of the UN General Assembly.

Kazakhstan’s initiative on convening the Conference on Interaction and Confidence Building Measures in Asia (CICA), an organization analogous of the OSCE, plays an important role in ensuring security and stability in the region. Kazakhstan’s longstanding chairmanship in CICA has ensured the institutionalization of the forum, and the enhancement of its coverage area. A third CICA Summit is to take place next year, and Turkey is assuming the upcoming chairmanship. 

I would like to stress a significant role the Shanghai Cooperation Organization (SCO) plays in ensuring regional security and stability. SCO determination to solve urgent problems, including social and economic ones, its timely reaction to threats and challenges of the modern world favours disclosing potential of this organization.

Solving global environmental and social problems that the recent United Nations Climate Change Conference in Copenhagen dealt with is becoming of key importance. Our country supports the efforts of the world community on reducing pollutant emissions and the large scale introduction of environmentally safe and energy-efficient technologies. In Kazakhstan there are big opportunities for it and big economy is aimed at such issues. We introduce in all the enterprises the technologies that reduce the pollution of our air. 

The global crisis has seriously undermined the state of food services and resulted in a growing number of starving people all over the world. Kazakhstan supports the decisions made at the Global Summit on Food Security, which took place in November in Rome. We are ready to increase deliveries of grain and other food into the world market expanding its production and using the opportunities in the territory of Kazakhstan.

Your Excellencies,

Since November 2009, Kazakhstan has led the Eurasian Economic Community. In 2010, Kazakhstan will chair the Shanghai Cooperation Organization and will begin preparations for the chairmanship in the Council of Ministers of Foreign Affairs in the Organization of the Islamic Conference (OIC) in which Kazakhstan will chair in 2011. The high honour of chairmanship in the authoritative international organizations symbolizes the success of social, economic and political achievements of Kazakhstan during the 18 years of its independence, as well as the recognition of the effectiveness of Kazakhstan’s model of development by the world community. Of course, it was possible under support of the states you represent. We express great appreciation.

The honorable and responsible mission of chairmanship in the Organization for Security and Cooperation in Europe is of particular importance to us. I am considering Kazakhstan’s election as OSCE chairman as a sign of trust, placed by the European and world community, and recognition of the role of our country in a strategically important region. Kazakhstan has proposed to organize an OSCE Summit in the year of the 35^th anniversary of the Helsinki Final Act, the 20^th anniversary of the Paris Charter for a New Europe, as well as the 65^th anniversary of the end of World War II. Since 1999 of the Istanbul summit there was no meeting of the OSCE states leaders. I think it is necessary to give assessment to the events taking place in the world now, to the challenges during these 10 years, a lot of changes took place. The states should identify our joint measures to control these challenges in the future. Even for this exact purpose we need to meet. Many leaders of the states with whom I personally communicated support this initiative. And we will continue to work at it. Regardless of that, there will be an informal meeting of the Ministers of Foreign Affairs, from OSCE member states in the middle of the next year.

It is important to balance all three baskets of the Organization.

In the military-political dimension, our country will make efforts to ensure the continuity of the “Corfu process”. I think we have a good chance to build a new security architecture in the area from Vancouver to Vladivostok. There are different proposals, including the Russian one. We need to have a different look at this issue.

Kazakhstan intends to become a “co-sponsor” of a number of projects in the field of combating terrorism, illegal drug trafficking and strengthening border control, including in the context of stabilizing the situation in Afghanistan.

Also, we remain an active advocate of broad international cooperation in the field of nuclear deterrence and nonproliferation, we hope for an early entry into force of the adapted Treaty on Conventional Armed Forces in Europe (CFE).

In the economic and environmental dimension, we will promote the transit-transport theme, and the problem of the Aral sea environmental catastrophe. We believe it is important to continue dialogue on energy security taking into account positions of all concerning parties where Kazakhstan can play an important role for the OSCE state-members.

The success of three Congresses of Leaders of World and Traditional Religions in Astana has become a major contribution of our country in the development of dialogue of religions, tolerance, and non-discrimination.

Kazakhstan’s unique experience in harmonization of interethnic and inter-religious relations would appear as one of dominants of Kazakhstan’s chairmanship in the OSCE. We hope for your support, support of your countries in this important work.

Ladies and Gentlemen,

As you can see, our country faces ambitious tasks in 2010. I want to make a point once more of overall well-coordinated work in the New Year, in the post-crisis year, as well as in the year when we start the implementation of our program 2020 on the active industrial development of our country. Despite the crisis and its difficulties in most countries of the world, Kazakhstan will finish 2009 with positive outcomes. There will be no recession in our country. That is why the industrial program that needs huge funds already was provided with them. Our plan is provided with the funds required to settle the issues of further development of the small and medium-scale business, provision of aid to our companies. I would like to underline once more that in the next year we will work in good coordination as we worked this year. I am confident fruitful and constructive cooperation will raise the level of relations among our countries to a new height. And by announcing our vision of cooperation today, I am looking forward to mutual understanding and support.

When we are together, we succeed! You know very well your work that has been done in our country. The policy of Kazakhstan is aimed at  being an example, keeping peace in the world, for non-proliferation of the nuclear weapons, for non-obtaining the nuclear weapons, we will combat terrorism, drug trafficking. In this issue we will always be a coalition of states to combat the modern challenges of our time. Thank you for your attention.   

Closing Remarks:

Thank you. I sincerely thank the Dean of the Diplomatic Corps, Mr. Lyatif oglu Seyffedin Gandilov for his speech and warm words you expressed in the address of Kazakhstan on behalf of all diplomats. It is very important for us.

In conclusion of our meeting, I wish to emphasize once more the importance and responsibility of embassies and diplomatic missions in our country. As you know we always try to keep close contacts. All your requests to meet the key officials of our country are always satisfied. We have opportunities to keep daily track of the situation in our country both in the economy and policy. In this regard despite the fact that our independence and sovereignty is 18 years, on the one hand for history this is one moment, on the other hand it is also achievement, we were building in a new place a new stat, its new political system, new economy, without any experience.

Certainly, we made mistakes, we were proceeding from your advice, based on your kind wishes, we will further listen to your advice, to your proposals, perhaps, to some criticism, and this is OK, this is friendly. I continue to call for our joint work, close cooperation.  For Kazakhstan it is exclusively important to strengthen the relations with the countries you represent.

Being located between Europe and Asia, between the biggest countries of the world, we would like to be a bridge for making these countries closer. This will be exactly our main objective during our chairmanship in the OSCE. There are many problems there, including inter-ethnic and inter-religious conflicts; we will try to do what was done before us, and continue this work to connect this part of the world with the European part of OSCE, to remove all misunderstanding. I am firmly confident we all need the OSCE, we need to make it stronger, we need to develop this organization.

It is encouraging that more and more embassies relocate to Astana. Out of 60 diplomatic institutions 53 are already working in the new capital. This year, embassies of Norway and Finland were opened, which will celebrate the New Year in Astana for the first time. I hope in the near future the entire diplomatic corps will be located here.

Today it is about 30 degrees of below zero. It makes our spirit stronger. When I was asked how I could move from a very warm Almaty to the cold Astana, I said this was our Motherland. In your own country there are no bad or good places. It is sterile, no microbes can survive in such a temperature. So we will live here for long time.

I would like to use this opportunity to wish you Merry Christmas, for some people it is at the end of December, for our Orthodox Christians it is at the beginning of January. This is a very bright holiday. I congratulate you and your families! And certainly wish you all a Happy New Year!

Let this new year bring more happiness to you than it was in this year. For the world, for all the states that are represented today this year was not simple, especially for such a young state as Kazakhstan. We have lived through such crises as the collapse of the Soviet Union, the crisis in the South Pacific Asia, now the financial and economic crisis. It looks like as if this crisis started in the US, now things have been improved in America, experts express different views. Probably there still be zigzags in the economy, but I think it will be better than it was in 2008 – 2009, at least, in the nearest future. Let us hope so.  I wish this year be merrier, luckier, more successful for you, for your families, for our states and nations. Thank you.

Date of issue: 2009-12-22