Kazakhstan waits growth of GDP, inflation acceleration in January-June 2005

/REUTERS, Almaty, Tatyana Seroshtanova, June 15, 05/ - Growth of Kazakhstan's GDP in the first half of 2005 will be not less than 9.0 percents (9.1 percents for the same period of last year), and inflation will accelerate up to 4.1 percents from 2.4 a year before, informed forecasted data the first deputy chairman of Statistics agency. "I think, that (growth of GDP) will be not less than 109 percents", - said Yuriy Shokamanov to Reuters on Wednesday. Shokamanov did not give prognosis of inflation for the whole June. In January-May 2005 consumer prices grew by 3.1 percents. Prognosis for the whole year is 5.0-7.0 percents (6.7 percents by the results of 2004). Production growth for the half year is expected on the level not less than 7.2 percents (9.4 percents in January-June 2004). According to Shokamanov, despite decrease of industry production development speed, construction, trade, agriculture growth is accelerating. "That is why GDP as a whole will not decrease, growth will continue", - added he. "THERE ARE MORE REAL INDICATIONS" According to Shokamanov, besides calculating indexes, "there are more real indications", showing coming development of Kazakhstan's economy, which depends upon oil and metals export. "For example, entries in budget increased as on May 1 by more than 40 percents in comparison with last year", - he said. "Such indication as savings of population in commercial banks annually during last five-six years is growing by more than 30 percents, and in current year we also observe it. It means there are other indicators, which say about development of real economy". Deceleration of industry production is caused by February fire in sheet-rolling shop of the only Kazakhstan's steel plant in Temirtau, which belong to international corporation Mittal Steel, informed Shokamanov, stressing, that incident resulted in decrease of development speed adjacent branches - coal and energy. However, he considers, that situation to the end of the year will improve. "I think, that situation will change till the end of the year and situation will improve", - added he. The government expects, that by the results of the year industry production development will decelerate up to 7.3 percents from 10.1 in 2004. [2005-06-15]