Top Kazakhstani industries most affected by

Big losses
Based on the data provided by, the Grant Thornton Advisory team compiled a list of the sectors of the economy of Kazakhstan that were most affected by the 2020 coronavirus crisis.

This list was compiled on the basis of an analysis of all taxes paid at the end of 2019 and 2020 of all companies combined according to the General Classifier of Economic Activities (hereinafter - OKED).

The list of the most affected activities according to the OKED classifier:

The total amount of taxes paid by all companies in 2020 amounted to about 11,900 billion tenge. The amount of all taxes paid by activities for which there is a tax reduction in 2020 compared to 2019 amounted to about 4,092 billion tenge. The total share of taxes paid by these companies was 34.4% of the total taxes paid in 2020. At the same time, at the end of 2019, the amount of taxes paid amounted to about 6,554 billion tenge. There is a decrease in the amount of all taxes paid for the analyzed period by 37.56%.

The industries involved in the production, processing and transportation of oil and gas were hit hardest in 2020, including the reduction in the following activities, according to the OKED classifier:

  • The type of activity "Construction of oil and gas trunk pipelines" suffered the most during the analyzed period, the companies of which paid taxes in 2020 by 48.64% less than in 2019;
  • Companies engaged in oil and gas production in 2020 paid taxes for 2,532 billion tenge, which is 46.1% less than in 2019, when the amount of taxes paid was 4,697 billion tenge. In total, these companies in this industry paid a fifth of all taxes in Kazakhstan at the end of 2020, and the reduction in tax payments of these companies seriously hit the country's budget;
  • Natural gas wholesalers paid 44.3% less taxes, as did crude oil wholesalers 28.83%;
  • Geological exploration and exploration activities also reduced their tax payments from 99.5 billion tenge to 80.6 billion tenge, or by 19%;
  • Technical support activities for oil and natural gas production also suffered, with a 14% decline.

A decrease in tax payments for 2019-2020 is observed in the industries involved in the extraction and processing of ores and metals:

  • Extraction of other non-ferrous metal ores from 46.5 billion tenge to 32.1 billion tenge, a decrease of 30.92%;
  • Open pit coal mining from 51 billion tenge to 39.9 billion tenge, a decrease of 21.84%;
  • Production of pig iron, steel and ferroalloys from 197.9 billion tenge to 178.6 billion tenge, a decrease of 9.75%. The share of taxes paid by companies of this type of activity was 1.5% of the total amount of taxes in 2020;
  • Aluminum production from 33.2 billion tenge to 30.7 billion tenge, a decrease of 7.58%

The following activities providing services were also severely affected:

  • Rent of other machinery, equipment and materiel by 27.85%;
  • Wholesale of cars by 19.57%;
  • Consulting services on commercial activities by 17.39%;
  • Repair and maintenance of other machinery and equipment by 16.62%;
  • Rent and management of own real estate by 14.97%;
  • Activities of other companies for work with personnel, except for organizations established by national companies, where the decline was 14.6%;
  • Other wired telecommunications by 11.38%;
  • Software development by 10.46%.
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