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Rabat — In less than a decade, Kazakhstan has transformed itself from a resource-driven economy into one of Central Asia’s most ambitious digital innovators.
What began in 2017 with the launch of the Digital Kazakhstan strategy has grown into a sweeping national project reshaping government, finance, education, and entrepreneurship.
Since then, the country has been positioning itself as a potential leader in the global AI race.
Kazakhstan’s digital strategy is set out to bring services online, close the digital divide, and use technology to boost growth. Today, officials can claim real progress: more than 92% of public services are now available online.
Through the electronic government portal and mobile app, used by around 11 million people, citizens can access over 1,200 services, from applying for passports to registering vehicles.
This digitization push has catapulted Kazakhstan into the top 10 globally for online public services and lifted it to 24th place in the UN’s E-Government Development Index — ahead of Germany, China, and Australia.
The country has successfully installed fibre-optic lines in more than 1,200 rural areas, 918 5G base stations have gone live, and broadband now reaches over 4,800 remote settlements.
In healthcare, medical records are digitized, and sick leave can be processed online. Parents can enroll children in kindergartens without leaving home. Drivers can report accidents through the Europrotocol mobile app. Digital ID systems now underpin much of public administration.
Banking without branches
The financial sector has been just as transformed. In 2018, only a quarter of Kazakhstan’s population used online banking. However, the country’s strategy led to a surge to nearly 100% by 2024. The share of digital transactions jumped from 7% to 89% in the same period.
Average per-capita digital financial activity, measured in transaction value, rose from around $20 in 2014 to about $13,800 in 2023.
Now, the country is piloting the Digital Tenge — a central bank digital currency (CBDC) that runs on an open-source distributed ledger. It allows tokenised currency to be stored in offline digital wallets, promising financial access even without an internet connection.
Betting big on AI
If e-government was phase one of Kazakhstan’s transformation, phase two is artificial intelligence. In 2024, the government launched the AI Development Concept (2024-2029), setting the legal and infrastructural groundwork for AI adoption in the country’s vital sectors, namely governance, industry, and education.
The investment? Central Asia’s most powerful supercomputer, unveiled in July this year, is set to support universities, startups, and private enterprises working on AI projects.
Called the Astana Hub, it is already home to over 1,300 startups from 28 countries and generated around $270 million in revenue just last year. The government has launched the Qazaqstan Venture Group, a $1 billion investment fund, alongside Astana Hub Ventures.
Talent for a digital economy
The Tech Orda program aims to train 20,000 IT specialists by 2029 across 18 regional IT hubs. Initiatives such as TECHNOWOMEN, Tech Girls, and She Commerce aim to bring more women into tech, while programs spread skills beyond major cities.
Partnerships with global education platforms are also paying off in boosting the country’s educational strategy. A collaboration with Coursera in October 2024 has integrated online courses into university curricula, replacing or supplementing over 3,000 courses across 93 institutions.
By the end of 2023, 46,000 learners had earned 73,000 certificates, often in fields like AI, data science, and business technology.
Economic gains and gaps
In its first two years, Digital Kazakhstan generated nearly US $2 billion in returns and created 120,000 jobs. Approximately 82% of public services are automated, which cuts costs and reduces corruption risks.
Yet adoption among small and medium-sized enterprises remains low, with only about 11% using advanced digital technologies.
Meanwhile, connectivity challenges persist in some remote areas, and regulatory frameworks for AI and blockchain are still developing.
Central Asia’s emerging tech leader
Among its neighbors, Kazakhstan stands out for the speed and scope of its transformation. Observers say its experience offers lessons for other emerging economies: invest early in digital public infrastructure, build talent alongside technology, and treat digital transformation as a cross-government priority.
A digital identity
In Astana’s government complexes, digital transformation is now the default. In villages, farmers apply for permits via smartphone. In Almaty, young programmers experiment with AI on the national supercomputer.
Not only is Kazakhstan’s story about technology, but it is mainly about reshaping the relationship between citizens, the state, and the economy, addressing the whole structure in the Central Asian country.
Whether the country can turn early momentum into lasting leadership will depend on bringing the private sector along and ensuring the benefits of its digital revolution reach all corners of its vast territory.
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