The views expressed in this presentation are the views of the author and do not necessarily reflect the

views or policies of the Asian Development Bank Institute

(ADBI), the Asian Development Bank (ADB), its Board of Directors, or the governments they represent. ADBI does not guarantee the accuracy of the data included in
this paper and accepts no responsibility for any consequences of their use. Terminology used may not necessarily be consistent with ADB official terms.

DECEMBER 18TH , 2017

New Delhi, 2018 1

 Мision of the head of State defines the purpose of the State
programme "Digital Kazakhstan"

... a new model of economic growth should be created that

would ensure the country's global competitiveness
Message of the RK president of 31.01.17

OBJECTIVES OF THE PROGRAMME 2 VECTORS AND 5 DIRECTIONS

Substantial acceleration of economic Digitalization of the existing economy

1
growth and improvement of the 1. Diversification of economic sectors
quality of life of the population 2. Transition to digital state
(medium term)
3. Implementation of Digital Silk Road

Transition of Kazakhstan's economy Building a digital industry of the future

2
to a fundamentally new trajectory of
development to ensure long-term 4. Development of Human capital
growth 5. Creating an innovative ecosystem
(long-term perspective)
2
The Programme - is a structured document consisting of 5 directions, 17 initiatives

5 Directions 17 initiatives
1 Digitalization of industry and electrical power industry
Diversification of 2 Digitalization of transport and logistics
economic sectors 3 Digitalization of agriculture
4 Development of e-commerce
5 Development of financial technologies and non-cash payments

6 State for citizens

Transition to digital
State for business
state
7

8 Digitalization of internal activities of governmental agencies

9 Smart Cities

Implementation of 10 Expanding the coverage of communication network and ICT infrastructure

Digital
11 Provision of information security in the ICT field
Silk Way

Development of 12 Increasing digital literacy at the secondary, technical and

vocational, higher education levels
human
Improving the digital literacy of the population (training,
capital 13
retraining)

14 Support for innovative development platforms

Creation 15 Development of technology entrepreneurship,
of innovative
startup culture and R&D
ecosystem
16 Attracting venture financing
17 Building demand for innovation 3
 Direction 1:
DIVERSIFICATION OF ECONOMIC SECTORS
How will it be implemented

• Introduction of 4.0 industry technologies in the industrial sector:

Target vision 2025 productivity growth by industry by an average of 50% by 2022 *

o "Digital deposit" in the oil and gas industry: implementation on

14 fields of KazMunayGas in 2019-2020
(56 bln tg by 2025)

o "Digital Mine" in the metallurgy industry: Scaling Kazatomprom

Projects in 2019-2020
• Performance level is comparable to (12.7 bln tg by 2025)
top 30 countries Digitalization
• Development of electronic commerce and transition to a cashless
• Competitive export production of economy economy: By 2022, an increase in the share of (1) e-commerce in total
sectors retail sales from 1.1% to 2.6%; (2) cashless payments from 10% to 30%.
• Significant increase in the • Intelligent transport system: increase in the transit traffic by 10% and
capitalization of RK companies the volume of freight traffic by 14%.

• Digitalization of agro-Industrial complex: growth in food exports in

2022 by 65% (by 2017)

• Digitalization of electric power complex: reduction of shutdowns to

25%, improvement of network efficiency by 10%

* - compared to 2016, in 2022 the increase in productivity of mining industry will be 39%, manufacturing industry - 50%, transport and logistics - 21%, agriculture - 45% 4
 DIRECTION 2:
TRANSITION TO DIGITAL STATE
Target vision 2025
• Public services are provided
primarily in electronic format
• Paper documents in internal
activities of the state bodies is
minimized
Digitalization of state
• Proactive services to the
population
How will it be implemented
• Realization of the "paper-free" principle:
Increase in the share of public services in electronic form
State through the introduction of "Digital by default" principle,
for citizens integration of databases and updating of data from 35%
to 80% by 2022, to 90% in 2025.
• Create an infrastructure to implement the "single window"
principlefor business: 100% automation of state support
State for business measures, IT services on concessional terms, e-interaction with
investors, on export-import operations and marking and
traceability of goods.
• Optimizing and increasing the efficiency of internal
processes: introduction of document turnover cloud
bodies activities
technology, integration of stae bodies' systems, introduction
of technology in the law enforcement system and social and
labour relations
• Implementing Smart City Projects: Implementation of
projects in 5 major cities of RK, further replication in other
Smart Cities regional centres
9
E-GOV INFRASTRUCTURE
BACK OFFICE – PUBLIC EMPLOYEES FRONT OFFICE – CITIZENS
Implementation of a set of organizational and technological measures
aimed at reducing paper flow in all areas of interaction (G2C, G2B, G2G).

- Information systems of state bodies

- E-Gov gateway

- Payment gateway  SERVICES AVAILABLE FROM

ANY DEVICE AT ANY TIME
State Corporation
Government for Citizens
 Transfer of services to exclusively
- Digital signature infrastructure electronic form (Digital by default)

 OPEN API
Obtaining services through third-party
applications (for example, through a
- Government Intranet krysha.kz, real estate services)
ГБД ЮЛ
 Operational analytical information
- National databases throughout the RK

 Personalized content
 DIGITALIZATION OF SMB SUPPORT EFFECTS

1. State support measures Reduction of the list of

2. Provision of state bodies services and business organizations for required documents from
entrepreneurs SMB in 2018 by
3.
4.
Basic IT service package at the expense of subsidizing (partial)
Increasing transparency in the conduct of SMB audits and provision
of public access to information
50%
Reduction of time for
consideration of
applications for SP in 2018
GOALS AND OBJECTIVES by

50%
• Optimizing and automating all public support • Project promotion and concessional services • Automatic generation of inspection lists and
measures for SMB schedules
• Hosting IT Services (RK IT-companies) on a single • Development of ready-made digital business • Use of tablets by inspectors
platform models for industries (reference models) • Obtaining the necessary documents from
• Promotion of Open Data Architecture (Open API) business in a mobile application
Number of entrepreneurs
using a single window and IT
MAJOR MILESTONES services

2017
• Optimizing 28 state support measures
• Publishing of basic IT Services (accounting,
HR management, finance)
• Launch of a Qamqor mobile application for
entrepreneurs
•
2018
Optimization and automation of all SP (more than 50);
2019
• Integration with the systems of banks and
300 thousand
• Conducting training for SMB on digital literacy; others;
• Integration with state databases; • Expanding the list of IT services;
• Integration with the information systems of SP operators - • Automatic data collection (sensors in Reduction of the number of
Baiterek, Kazagro enterprises, monitoring of media, social
business inspections

30%
• Creating reference models networks, etc.), risk assessment and audit
• Automatic generation of SMB inspection schedules and lists management

13
 DIRECTION 3:
IMPLEMENTATION OF DIGITAL SILK ROAD

How will it be implemented

Target vision 2025

• Provision of BIA in rural areas: provision of access to
Expanding the coverage 83% of the population by 2022
of communication • Development of the new generation of mobile
infrastructure (4G)*: network coverage of more than
network and ICT
• Quality 4G coverage (5G in infrastructure
80% of the population of the RK by 2022
future) for population • Modernization of the satellite system: replacement of
communication the KazSat-2 spacecraft

• Ubiquitous and high-speed

Internet access
• Developed cybersecurity system
• Establishment of a single focal point:
Enhancing cybersecurity Implementation by the end of 2020
• Establishment of three cybersecurity laboratories:
Implementation by the end of 2020

• Pilot 5G implementation
15
 DIRECTION 4:
DEVELOPMENT OF HUMAN CAPITAL
How will it be implemented
• Introduction of basic programming education
(2-4 grades) 100% of schools by 2022
• Update the content of the "Computer science subject through the updating of the
Target vision 2025 programming languages (Java, C, Python, Rust and others) 100% of schools by 2022

Secondary • Introduction of entrepreneurship and business (including technical entrepreneurship) in

secondary education (10-11 grades).
education
• Holding of republican competitions and technical competitions for all schoolchildren.
• Digitalization of educational process through access to online school curricula, taking
into account the development of distance learning for ungraded and individual schools
• Population has key universal
competences1 and high level of
digital literacy • Mainstreaming training programmes per labour market requirements in line with best
world practice: integration of ICTs into all disciplines, 80% by 2022, with a major focus on
humanitarian:
• Educational system meets the Vocational,
• Introduction of the training of specialists in new professions in the university's
higher,
needs of the digital economy postgraduate
specialization *

education • Development of distance education through the establishment of a national platform for
open education
• Opening of ICT chairs at universities at the production base
• Increase in the number of government grants for ICT specializations

• Training of a basic and professional digital skills to the population:

Continuing 1) conduct of training for 100 thousand professional staff
education 2) Conducting training for the population
1. Universal Competence: critical thinking, teamwork, and interacting with
others, quickly adapting to changes, making decisions, organizing activities,
working with vast amounts of data, and more 3) Training for representatives of SMB

* Data Science, Cloud Computing, Artificial Intelligence, Machine Learning, Genomics,

robotics, nanoelectronics and nanomechanics, etc. 17
 DIRECTION 5:
CREATING AN INNOVATIVE ECOSYSTEM
Target vision 2025
• Presence of more technology
companies established in RK
• Private professional venture
capital market developed in the
RK
• "Success stories" of kazakh
startups on the international
scene
How will it be implemented
• Creation of Astana hub international technology park of IT
Infrastructure startups: Support of at least 1000 startup companies by
development technoparks, incubators of Kazakhstan by 2022
Encouraging of tech.
• Creation of a value proposition to attract international tech.
entrepreneurs (startup-visa, living conditions, payment of
entrepreneurship and R&D relocation, financing)
• Opening of R&D centres of international ICT companies
• Adaptation of the legal framework for the financing of
startup companies: fully adapted by the end of 2019.
Provision
of access to venture
• Attracting venture funds to RK: Attracting $200 million of
financing
private investment in kazakh venture projects
• Support for the innovation activities of large companies and
Development of startup state bodies: Selection of 298 innovative projects initiated by
large companies for implementation at the Astana Hub by
culture 2022
18
 PROGRAM PROVIDES PERFORMANCE INDICATORS
Vectors Direction KPI 2016 2022
Labor productivity by sectors of
1 economy
Indicators are set for each
sector separately*

Diversification of
economic sectors
2 Share of e-commerce in total volume of
1,1% 2,6%
retail trading
Growth of job creation through 300
Digitalization of 3 digitalization
-
thousand
the existing
economy Transition to digital Share of public services1 received
4 electronically from the total volume 25% 80% Achievement
state of public services of 30th place
Implementation of
on digitalization
Digital Share of Internet users 77% 82%
Silk Way 5 index 2
by 2022
6 Level of digital literacy of
76,2% 83%
population
Development of
Building a Human capital
digital industry 7 WEF GCI rating improvement on the 84th 63
of the future Ability for innovation indicator place place

* - compared to 2016, in 2022 the increase in productivity of mining industry will be 39%, manufacturing industry - 50%, transport and logistics - 21%, agriculture - 45%

1. Transactions 2. ICT Development Index. Calculated by ITU International Telecommunication Union methodology. Today, Kazakhstan is at 52 place 3. Total investments until 2022, during the implementation of the programme. 23
 CURRENT ACHIEVEMENTS IN ICT SECTOR
UN E-GOVERNMENT DEVELOPMENT INDEX NETWORKED READINESS INDEX

2016: 2016:

33th place 39th place

E-PERMITS AND E-LICENSES CITIZENS` DIGITAL LITERACY LEVEL
2014 100% automation of licensing documents
2016 74%
2012-2014 435 approval documents
2012 81 licenses
2014 64,1%
Documents issued for the entire period: 2013 63,2%
43,7%
The best project for
business
196 380 e-licenses
2012
WSIS Project Prizes 2013 2 135 763 e-permits

Integrated Call Center (1414):
Winner of the international
“Crystal Headset” Awards in “Best
Center for Servicing Citizens in
Government Agencies and Housing
& Public Utilities Sector” category
Data Center became the winner in WSIS
Project Prizes 2016.
4 out of 8 projects were announced WSIS
champions.
The best mobile e-government application. -
the World Government Summit, Dubai, 2017
13