Kazakhstan invites hundreds of companies that have left the Russian market
67 companies have already responded positively, and 25 have moved
Kazakhstani authorities welcome the relocation of companies leaving Russia and have sent hundreds of invitations to those leaving the Russian market due to the war and sanctions.
"As of today, we have 401 companies in which we are interested in moving to Kazakhstan, and invitations have been sent to all of them," Deputy Foreign Minister Almas Aidarov said on Monday, Interfax reports.
According to him, 67 companies have already responded positively, and 25 have completed the relocation.
"38 countries are involved in this, mainly Germany, the United States, Switzerland and Japan," Aidarov listed, speaking at the Kazakh Senate during a government hour. He added that negotiations on the relocation are being held with the ambassadors of foreign countries that have imposed sanctions against Russia for the war in Ukraine and have been declared "unfriendly" by the Kremlin.
"The main companies that have completed the relocation, which are on the radar, are the American Honeywell International, which has opened a small production facility in Almaty. TikTok also moved its office to Kazakhstan. Indriver is in Kazakhstan, Fortescue is Australian, Alstom is French," Aidarov said.
Before Russia's invasion of Ukraine, 2,400 Western corporations had subsidiaries in Russia, including 1,400 European ones.
As of the end of March, only 206 companies were able to sell their businesses after receiving permission from the government's commission for control over foreign investments.
Almost 2,000 more applications are under consideration by the commission, which meets three times a month and discusses no more than 7 "requests" at a time, sources familiar with the situation told the Financial Times.
The condition for withdrawal from Russia is a discount of at least 50% to the market value of assets, as well as payment of a 10% contribution to the budget.
Background. As it became known from a journalistic investigation, Kazakhstan is supplying Russia with drones and microchips to circumvent sanctions.
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