Kazakhstan lowers output and growth forecasts
ASTANA, February 23, 2016 – Kazakh Economy Minister Yerbolat Dosayev downgraded Kazakhstan’s oil production forecast on Tuesday. In 2016, the country is expected to produce 542 million barrels, some 22 million barrels of oil less than originally assumed. Kazakhstan’s 2015 oil output came out at 583 million barrels.
Due to persistently lower oil prices, the economic growth forecast was cut in tandem. Dosayev now expects the economy to grow 0.5% instead of 2.1%. The drop in oil prices has impacted economic growth significantly. While Kazakhstan recorded 4.3% percent growth in 2014, the economy expanded only 1.2% last year. For 2016, the economy minister assumes an oil price of USD 30 per barrel. The budget had previously been based on USD 40 per barrel.
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