Public procurement, taxes, and personnel – Tokayev named major problems faced by business
President of Kazakhstan Kassym-Jomart Tokayev instructed the Atameken NCE RK and Government to complete the preparation of a special information system for the subject monitoring.
"In principle, the task is to bring the business out of the shadows. The business should work in the formal sector of the economy, we need to fight against shadow schemes. For this purpose, we need to improve tax practice. It is important to simplify the order of providing state support measures. I have already instructed the government to create a single window for business. As I understand, no solution has been found yet. We need to finish this work in the first half of the year," the President said.
According to the Head of State, to solve the problem of transition of the business from the shadow to the formal zone, it is necessary to improve tax practice as well as the efficiency of state support measures.
"It is important to improve the efficiency of state support measures for business. Today monitoring is carried out without any subjective analysis. The state support sometimes concerns dubious projects: gas stations, trading houses. Akimats, regional chambers of entrepreneurs should strictly control this issue," Kassym-Jomart Tokayev said.
As for the issue of taxation, there is a task to create a transparent and pragmatic fiscal policy that will protect domestic entrepreneurs, give them access to markets and affect the growth of quality of Kazakhstan's products.
"We exempted micro and small businesses from taxes, it was justified from the social and political point of view. But the general exemption can lead to serious consequences," the Head of State said.
Also, Kassym-Jomart Tokayev emphasized that the three-year moratorium on inspections gives the possibility of transition to smart regulation, which today requires a qualitative reboot.
Another industry that, according to President, needs to be radically changed today is higher education.
"Mostly, graduates with low academic performance enter Pedagogical higher education institutions. As a result, specialists with low qualifications are graduating. It is necessary to radically change the situation. We need higher education institutions to train teachers in a new format. We need to get rid of universities that sell diplomas. This issue needs to be resolved this year," the President of Kazakhstan said.
According to the President, another priority task is to continue working on the access of domestic business to government procurement. By the way, at present, the majority of government procurement continues to be carried out using a single source.
"It is necessary to ensure transparency of government procurement, introduce electronic technologies. I ask the Government to report no later than May 1, 2020. (...) Public procurement is regulated by many regulations. They are duplicated, and changes are made to them. We need a single law and a single platform. Only part of the work has been done," the President of Kazakhstan said.
The President plans to continue discussing problematic issues, or get acquainted with the first results of the work of the government and akims in addressing the major tasks in spring.
"Announcing a reprimand is an ineffective way. Therefore, I give members of the Government and akims the opportunity to correct deficiencies. The instructions given today should be executed with great responsibility. In spring we will return to the issues of dismissal of persons who failed to perform the assigned tasks," Tokayev said, concluding an extended meeting of the Government.
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