Our People > Andrei Matveev

Journalist

Andrei Matveev is a journalist from Kazakhstan.

Articles

Tax Reform

Are Kazakhstan’s Small Businesses Really Leaving Over Taxes?

As Kazakhstan prepares for tax reforms set to take effect in 2026, a new wave of panic has surfaced in the national discourse, one suggesting that small businesses are facing a stark choice: shut down or relocate to neighboring countries promising more favorable tax environments. This narrative has gained traction twice in the second half of 2025. The first wave came in mid-autumn, triggered by reports suggesting that Kazakhstani entrepreneurs were looking to move operations to Kyrgyzstan or Uzbekistan. These claims quickly spread across Kazakh social networks, particularly Threads. However, early signs indicated that the alarm was not being sounded by small businesses themselves, but by representatives of the B2B services sector, especially consultants and accountants. Media outlets amplified comments that stirred fear, reinforcing what increasingly appeared to be media-driven panic. One such moment came in late September when the Kazakhstan Association of Tax Consultants hosted a presentation by its chairman, Saken Karin, titled “Tax Reality 2026: Opportunities and Risks.” Karin warned that the proposed reforms would “tear apart the B2B and B2C sectors,” criticizing state approaches to tax administration. Even then, experts argued that large-scale relocation of Kazakhstani businesses made little practical sense. “Which Kazakhstani businesses can realistically relocate to Kyrgyzstan? Probably only IT companies, which are location-independent. Most SMEs in Almaty rely on the quasi-public sector or the domestic market, which is considerably larger and wealthier than that of our neighbors,” said financier Rassul Rysmambetov. The numbers back this up: in 2024, the economy of Almaty alone reached $60 billion, compared to Kyrgyzstan’s national GDP of approximately $17.5 billion. Despite this, a second wave of panic is now gaining momentum, this time shifting focus to Uzbekistan as a destination for potential business migration. Once again, social networks, particularly Threads, are amplifying the noise, citing interviews such as one with tax expert Maxim Baryshev, who praised the tax systems of Uzbekistan and Kyrgyzstan. Baryshev represents the professional accounting organization Uchet.kz. His colleague, Uchet.kz manager Timur Abiev, has previously spoken out against what he views as unfounded panic surrounding tax reform. Despite growing anxiety on social media, government officials have yet to launch a strong counter-narrative. This lack of response reinforces the idea that panic is being stoked by peripheral sectors rather than the business community itself. When Finance Minister Madi Takiev was asked about claims of a mass relocation of small businesses to neighboring countries, he dismissed them as unfounded. He argued that tax thresholds and turnover requirements in those countries are broadly comparable to Kazakhstan’s and noted that businesses relocating abroad would still be subject to domestic taxation if their economic center of interest remained in Kazakhstan, making such moves economically unviable. As for the accounting industry, its vocal opposition to reform may be tied to structural weaknesses. Kazakhstan’s accounting sector has been slow to adapt to changing demands and is struggling to train enough professionals to meet market needs. The number of established training institutions remains small. A recent government meeting focused on SME support included plans...

3 months ago

Sports

Kazakhstan vs. Uzbekistan: A Footballing Derby with an Uncertain Outcome

The Uzbekistan national football team has qualified for the 2026 World Cup, which will take place across three North American countries: the U.S., Canada, and Mexico. Meanwhile, one of Kazakhstan’s leading clubs, FC Kairat Almaty, continues to gain experience competing in the UEFA Champions League. Football in Central Asia has become a mirror of the region’s growing economic and political ambitions, with Uzbekistan and Kazakhstan at the forefront. Their rivalry, which dates back to the Soviet era, has adapted to this new chapter. Kazakhstan and the Road to Europe Matches between Almaty's Kairat and Tashkent's Pakhtakor were once marquee events during the Soviet era, filling stadiums and energizing fans across the republics. Following the collapse of the USSR, however, the footballing paths of these two historical rivals began to diverge. Initially, both Kazakhstan and Uzbekistan joined the Asian Football Confederation (AFC), which includes countries from across Asia and parts of the Pacific, including former Oceania Football Confederation members such as Australia and Guam. Kazakhstan became a full member of the AFC in 1992, followed by Uzbekistan in 1994. However, Kazakhstan soon grew disillusioned with the level of competition within the AFC and began to explore other avenues. Its early attempts to join UEFA were rebuffed in the mid-1990s. Rakhat Aliyev, then head of the Football Union of Kazakhstan and son-in-law of former President Nursultan Nazarbayev, later described the process as being dismissed “without really getting to the heart of the matter.” Despite this, both Kazakhstan and Uzbekistan quickly showed they were a cut above most AFC members at the time. Kazakhstan won the inaugural Central Asian Cup in 1992, while Uzbekistan claimed gold at the 1994 Asian Games in Hiroshima, defeating China 4-2 in the final. Eventually, Kazakhstan succeeded in joining UEFA. Spearheaded by Aliyev, the Football Union of Kazakhstan (FSC) lobbied hard for admission, culminating in meetings with FIFA and UEFA presidents Lennart Johansson and Joseph Blatter in Moscow in late 2000 and early 2001. The AFC issued a statement on May 10, 2001, allowing Kazakhstan to make its own decision, and five days later Johansson confirmed that UEFA would welcome Kazakhstan as its 52nd member. "Joining UEFA has given all of us who work in football a powerful boost," Aliyev said at the time. "We will strive to use this momentum to raise the level of our national football." Uzbekistan and the Central Asian Football Association Unlike Kazakhstan, Uzbekistan chose to remain in the AFC, where it has steadily risen in prominence. In 2014, it became a founding member of the Central Asian Football Association (CAFA), a regional sub-group within the AFC. Officially operational since 2015, CAFA also includes Afghanistan, Iran, Kyrgyzstan, Tajikistan, and Turkmenistan. The organization is currently chaired by Rustam Emomali, son of Tajik President Emomali Rahmon. Uzbekistan is ranked second in the CAFA, behind Iran, and has consistently reached the quarterfinals of the AFC Asian Cup in 2004, 2007, 2015, and 2023. Much of this success is due to sustained investment in youth development, training...

3 months ago

Politics

Kazakh MP Sarym Proposes Legal Measures Over Social Media Posts on Pipeline Strike

A Kazakhstani lawmaker has proposed criminal liability for social media posts that express support for attacks on the country’s energy infrastructure. During a recent session of the Mazhilis (lower house of parliament), MP Aidos Sarym called for posts endorsing Ukrainian military strikes on oil infrastructure to be examined under existing laws on terrorism and high treason. The proposal follows a November 29 incident in which Ukraine’s armed forces reportedly targeted the Caspian Pipeline Consortium (CPC) terminal in Novorossiysk, Russia. The attack damaged the CPC’s VPU-2 offshore loading terminal and temporarily halted operations. Addressing Prosecutor General Berik Asylov and Deputy Prime Minister and Minister of Culture and Information Aida Balaeva, Sarym said the incident had sparked public commentary online that he believes exceeds the boundaries of protected speech. He called for investigations into such posts and suggested they may warrant legal action. “Such actions clearly go beyond the constitutional right to freedom of speech and directly harm national interests,” Sarym said, proposing that the government also launch an information campaign to discourage rhetoric supporting violence against critical infrastructure. The initiative coincides with broader debates in Kazakhstan over how to manage public discourse surrounding the war in Ukraine, amid concerns that expressions of support for either side could have diplomatic implications. Kazakhstan maintains relations with both Ukraine and Russia and has sought to preserve a neutral stance throughout the conflict. Sarym’s remarks were interpreted by some political analysts as a broader signal to members of parliament, following earlier comments by fellow deputy Yermurat Bapi. Bapi had previously characterized Ukrainian strikes on CPC facilities as part of a legitimate military strategy, a position that Sarym suggested could fall under legal review. Energy Minister Yerlan Akkenzhenov noted that approximately 80% of Kazakhstan’s oil exports transit through the CPC. While the pipeline includes Russian ownership, most shares belong to companies based in Kazakhstan, Europe, and the U.S., he said, countering claims that the CPC is solely a Russian asset. Kazakhstan is accelerating the repair of the VPU-2 terminal, now aiming for completion by January 2026. The Ministry of National Economy is currently assessing the economic impact of the disruption. Oil and gas analyst Olzhas Baidildinov estimated the production loss at 480,000 tons, equating to about $210 million in revenue over two weeks. He forecast monthly losses exceeding $400 million, including an estimated $150 million shortfall in budgetary revenue. Baidildinov expressed support for Sarym’s proposal, describing it as part of efforts to safeguard internal stability amid external geopolitical uncertainty. The proposal has not yet led to formal legislative action, and no prosecutions have been reported. Further discussion on the issue is expected as part of Kazakhstan’s broader approach to managing public discourse and national security in the context of the ongoing conflict between Russia and Ukraine.

3 months ago

Cultural Ties

From Medieval Persia to Modern Kazakhstan: Decolonizing History

Iranian President Masoud Pezeshkian’s recent visit to Kazakhstan might have appeared routine amid a series of diplomatic engagements by President Kassym-Jomart Tokayev in 2025. Yet one element of the visit stood out for Tokayev, a gift of 27 ancient Persian manuscripts, which were immediately put on public display in Astana’s National Museum. Together, the two presidents opened the exhibition titled The History of the Great Steppe in Iranian Sources, highlighting long-standing historical ties between Persian states and the Kazakh steppe. Speaking at a joint briefing, Tokayev emphasized the significance of the manuscripts, which he said contain historical accounts affirming the Kazakhs as a "brave people" and detailing diplomatic relations between the Kazakh khans and Iranian shahs. “Close relations were established between Tauke Khan and Shah Sultan Hussein,” Tokayev noted. “Records show embassies met in Moscow, and the Iranian ambassador visited the Kazakh steppe. Abul Khair Khan sent an envoy to Nadir Shah to foster diplomatic ties,” he said, underlining the depth of historical relations. Tokayev also referenced the cultural and linguistic connections between the two peoples. The taikazan (large ceremonial cauldron) in the mausoleum of Khoja Ahmed Yasawi in Turkestan, he noted, was crafted by the Iranian master Abdul-Aziz Sharafuddin Tebrizi. Persian has left a linguistic imprint on the Kazakh language, with estimates suggesting Persian-origin words comprise 4% of the vocabulary, including astana (capital), paida (benefit), oraza (fast), and dәri (medicine). Tokayev further cited the Persian epic Shahnameh by Ferdowsi as culturally significant to the peoples of Turan, adding that Kazakh poet Abai was familiar with Persian literature. According to Tokayev, the newly acquired manuscripts contain historical analyses of the socio-economic and political conditions of the 18th-century Kazakh Khanate, including interactions with neighboring powers, records on Turkestan, and reports on Russian imperial activities in the region. The documents also reference resource extraction, coal, iron, copper, lead, and turquoise, on Kazakh territory. [caption id="attachment_40893" align="aligncenter" width="750"] Image: Akorda[/caption] “This is a very valuable gift. We will present this exhibition to the Kazakh public and promote it widely in the media,” Tokayev told reporters. “The documents contain previously unknown historical material. I think this will be useful for our compatriots.” The Ministry of Culture and Information, which organized the exhibition, confirmed that the manuscripts substantiate centuries-old ties between Kazakhstan and Iran, including evidence of trade and diplomatic exchanges along the Silk Road and archival references to intergovernmental negotiations and ambassadorial visits. Tokayev’s enthusiasm for the manuscripts is closely linked to Kazakhstan’s broader effort to “decolonize” its national history. The country is currently preparing a new seven-volume historical account under the editorial leadership of State Advisor Yerlan Karin. This project aims to reposition Kazakhstan not simply as a site of ancient states, but as an independent cultural and political center that influenced the broader region. “Kazakhstan is presented as a hub for civilizational development,” Karin explained. “This is our methodological innovation.” Previously, Kazakhstan’s history was largely framed within the narrative of the Russian Empire and Soviet rule. The current academic effort seeks to...

3 months ago

devaluation

Devaluation in Kazakhstan: Grim Forecast or Financial Strategy?

Expectations of a potential devaluation of Kazakhstan's national currency, the tenge, are gaining momentum in the country, despite its recent strengthening against the dollar. While the government projects stability, some financial players and experts openly support a weaker tenge. But are these fears grounded in economic reality, or do particular interests drive them? Kazakhstan’s currency is particularly sensitive to global market shifts because around half of the country’s export revenues come from oil and other raw materials. When commodity prices fall or external demand weakens, pressure on the tenge increases. The currency is also affected by high import dependence: many consumer goods, industrial inputs, and food products are priced in foreign currencies, making the economy highly responsive to exchange-rate movements. One of the most vocal proponents of a free-floating tenge is economist Aidarkhan Kusainov, a former adviser to the head of the National Bank. A long-time advocate for a free-floating tenge, Kusainov maintains that the currency remains overvalued. In 2021, he predicted the exchange rate would reach 500 tenge to the $1. As of now, the rate hovers around 510. Kusainov has recently gained broader attention following his criticism of rising taxes and utility tariffs during an appearance on a YouTube podcast hosted by Senate Speaker Maulen Ashimbayev. “Today, the singer of devaluation, a well-known but unpopular economist, woke up as a competent people’s professional (judging by the comments),” Kusainov wrote, replete with smiling emojis in assessing his newfound popularity on his Telegram channel. His prediction of a $1-to-1,000-tenge exchange rate has indeed gone viral. “If our National Fund runs out today, the exchange rate will instantly soar above 1,000. As soon as we stop injecting petrodollars and transfers into the economy, the tenge will drop to 800–900, and then quickly weaken to beyond 1,000. I've always advocated for these measures," he said in an interview with Ulysmedia. These debates are unfolding against a backdrop of persistent inflationary pressure. Although headline inflation has moderated from its earlier peaks, price growth in consumer-credit-driven segments remains elevated. Any significant weakening of the tenge would likely feed directly into consumer prices, especially for imported goods, which still account for a large share of household consumption. Kusainov's projection is not shared by the majority of analysts, however, who see such a scenario occurring only under the weight of severe external shocks. In contrast, the National Bank’s forecasts remain more conservative. According to analysts surveyed by the Central Bank in November 2025, the exchange rate is expected to reach 525.8 tenge by the end of 2025. For 2026 and 2027, the tenge is projected to weaken gradually to 548.2 and 565, respectively. Economist Serik Kozybaev, among others, rejects the idea of a sharp devaluation. He has attributed the tenge’s recent strength to currency interventions by the National Bank: “There are no serious reasons for such a significant weakening. On the contrary, over the past month, the exchange rate improved from 540 to 518 due to announced interventions. I expect this trend to continue, possibly bringing...

3 months ago