“Ask Artificial Intelligence” - Vice Minister on the growth of Kazakhstani incomes

Tengrinews.kz — Despite Kazakhstan's economy growing by 6.5 percent last year, many citizens have yet to see an improvement in their financial standing due to inflation. Vice Minister of National Economy Arman Kasenov stated this during a government briefing.
Addressing why Kazakhstanis do not feel the impact of economic growth, Kasenov explained that while nominal incomes are rising, inflation has long been eroding these gains.
According to the official, real incomes fell by more than 2 percent in 2025; however, the figure entered positive territory for the first time during the first half of 2026.

"Based on the six-month results, real household incomes grew by 0.1 percent. In nominal terms, income growth exceeded 11 percent," he said.

The Vice Minister noted that while economic growth almost always leads to higher incomes in the long run, imbalances can occur during specific periods. He explained that such a gap emerged following the COVID-19 pandemic, as governments worldwide supported their populations despite a decline in economic activity.

"If you look at the dynamics... AI could generate this chart for you quite quickly. If you query real income growth since 2000, you will see that real incomes grew at a faster rate than GDP," Kasenov said.

The official added that the economy has spent the last year and a half undergoing a period of rebalancing.

"We are already seeing the results from the first half of the year. The gap between GDP growth and real incomes has been nearly halved. I am absolutely convinced that from this point forward, real income growth will remain in positive territory," he concluded.

Inflation versus wages
At today's government meeting, Deputy Prime Minister and Minister of National Economy Serik Zhumangarin reported that the real incomes of Kazakhstanis have stopped declining for the first time in a long period, growing by 0.1 percent in the first quarter. He attributed this to slowing inflation and noted that the government has already approved a Comprehensive Plan to Increase Public Income for 2026–2029.
Earlier, we analyzed in detail why GDP growth does not always translate into an automatic increase in citizens' incomes. According to economists, public welfare is influenced by inflation, labor productivity, economic structure, and income distribution, which is why the effects of economic growth are often felt with a delay.