Deputy Prime Minister Askar Zhumagaliyev instructed the Ministry of Information and Communication of the Republic of Kazakhstan to prepare amendments to the legislation on regulating blockchain technology.

“We understand that certain legislative changes are necessary, the rules of the game, because today several other legal relations come into force when implementing blockchain technology. Here again, the Ministry of Information and Communication needs to prepare these legislative amendments in a very short time within the "pilots" and submit them for consideration first to the Government, and then we will pass it on to the Deputy corps in order to jointly approve the corresponding changes. They will simply be necessary for the market,” – Askar Zhumagaliyev said at the international conference “Blockchain regulation”.

The Deputy Prime Minister assured that Kazakhstan will continue to develop blockchain technology and apply it in different areas. “I officially declare that Kazakhstan is now working on the introduction of new technologies, blockchain technologies. Today we already have concrete projects implemented. We have implemented blockchain technology in the National Bank, which allows citizens through this technology and information systems to quickly invest their money. Technology is also used in the Ministry of Agriculture to provide services related to electronic grain receipts, which is essentially a prototype of securities. Blockchain technology here allows increasing transparency in this process. We know that there were once certain problems with non-transparency,” – Askar Zhumagaliyev said.

He also said that it is planned to introduce blockchain technology into the Ministry of Finance. “There is such a process of VAT refund - very complicated and long, causes many complaints. So blockchain technology will allow companies to return VAT very quickly. But at the same time, the state will receive its dividends in increasing the payment of taxes due to the fact that this process will be transparent,” – he explained.

Askar Zhumagaliyev also said that national companies, including Kazpost, Kazakhtelecom and state corporation "Government for Citizens" were involved in the process of introducing this technology. “The use of blockchain is extensive, here the Information Ministry needs to work out with the market and state bodies where else can we apply this technology to increase the transparency and efficiency of the work of state bodies,” – he stressed.

Meanwhile, the Deputy Prime Minister noted that in order to implement blockchain technology, in addition to the legislative base, it is necessary to think about the infrastructure. “We need the infrastructure that is necessary for the implementation of blockchain technology. I know that the Zerde National Holding and telecommunications operators have formed this telecommunications infrastructure for the “pilots”, but it needs to be refined. It is necessary to complete the configuration and, of course, to provide it in an industrial manner to provide technology to the rest of the Government agencies and those who want it,” – he explained.

At the end of his speech, the Deputy Prime Minister called on foreign investors to participate in the implementation of blockchain-projects in Kazakhstan. “I know that now in the hall there are foreign companies that are already thinking about investing in blockchain technology in Kazakhstan. On behalf of the Government, I would like to say that we will be happy and welcome your participation and investments in Kazakhstan. We will provide maximum assistance,” – he concluded.

The conference will be held for two days - June 7 - 8. The conference will include expert reports of foreign speakers, analyses of private examples in different countries, master classes for civil servants and round tables with the participation of high-ranking officials and leading consulting companies in the field of blockchain technology.


Published: 07 June 2018



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