Context
The economic sector comprising raw materials, metallurgy and the metalware industry plays an important role in economic development in Kazakhstan, Kyrgyzstan and Tajikistan. In order to be able to exploit the potential of the extractive sector, the countries depend on foreign investors. However, this essential foreign investment is hindered by inconsistencies between laws, legal uncertainty, a lack of transparency in bureaucratic procedures and fragmented responsibilities as well as a lack of qualified specialists. When it comes to shaping conditions in the mining sector to attract investment with a view to driving development, state actors lack skills in the areas of planning, strategy and negotiation.
Objective
The economy in mining areas benefits from transparent state actions geared to the sustainable mining of raw materials.
Approach
The project operates in four fields of action. Within the scope of the first field of action (‘Regional public-private dialogue’), a cooperative transnational discourse is taking place among the relevant specialists and managers from the public and private sector with the involvement of the German private sector. The dialogues are held in cooperation with the German Committee on Eastern European Economic Relations. The second field of action (‘Improving investment conditions in the mining sector’) aims to improve the legal and regulatory investment conditions as well as the management and steering capacities of the government with a view to achieving sustainable development through mining. Within the scope of the third field of action (‘Local development in mining areas in Kyrgyzstan’), Kyrgyz ministries and authorities as well as private sector actors and civil society interest groups are supported in jointly drawing up and implementing local development strategies in mining areas. Finally, as part of the fourth field of action (‘Technology-oriented training of specialists in Kazakhstan’), the project supports the reform process aimed at establishing a cooperative (dual) vocational training system in Kazakhstan.
Results
Specialists and managers from the state bodies responsible for the mining sector are better able to recognise what scope they have to achieve inclusive and sustainable economic development by using government revenues from the extractive sector. State actors are more aware of issues associated with necessary structural changes, and now have the skills needed to conduct contract negotiations with international raw materials companies. New mechanisms to support communication and the participation of the local population in mining areas are being piloted in Kyrgyzstan. In Kazakhstan, the legal basis has been established to reform the vocational training system. As a result of the overall partnership approach and the countries’ different levels of development, important learning and change processes have been initiated. The development path taken by Kazakhstan in particular is a strong model that provides a good point of reference.