OREANDA-NEWS. June 09, 2010. Astana should set an example for other cities of Kazakhstan in terms of attracting investments resources, announced PM Karim Massimov when speaking at the 1st International Investments Forum "Astana invest-2010".

“The city already hosts new technology-intensive industries. One example of this can be a JV in partnership with General Electric. A few days ago at an investments conference in Almaty contracts were signed to facilitate technology-intensive projects to be launched in Astana”, the PM said.

New tax incentives are to be offered for investors operating in construction sector, announced Astana Mayor Imangali Tasmagambetov. According to the Mayor, Astana accounts for 40% of all the construction works currently under way in Kazakhstan.

“As instructed by the President, the issue of tax abatement is being considered by the Government. Tax preferences, including zero rates for VAT, land tax, property tax, for those investing in construction in Astana are to be introduced shortly”, said Mr. Tasmagambetov.

According to the Mayor, the special economic zone in Astana accommodates a 6000-hectare industrial park of 256 production sites which have been totally invested KZT 977 billion. “Almost 50% of the special economic zone territory is vacant and open to investors. The zone already harbors some medical, sports and education facilities and infrastructure needed for construction projects”.

The Forum is attended by over 700 representatives of financial and business circles of Russia, EU, USA, South-East Asia and the Persian Gulf, including top managers of Kazakhstan national companies, foreign companies and banks.