Using the remittance system of the country and leaving more money than is coming

Traditionally for many years most of the people of Kazakhstan received from Russia. By 2018, for example, came out 181,3 billion tenge – a half of all funds sent to the Republic through money transfer systems (SDS). In 2019 the share of remittances from Russia decreased to 38%. And continues to fall.

Russia has imposed a limit on money transfers to Kazakhstan

In November from Russia to Kazakhstan was translated at least 8.2 billion tenge. Less for the last three years was only twice – in January and February 2018 (7.7 and 8.1 billion, respectively). Compared to November 2018 volumes fell more than twice. For the first 11 months from Russia via PSD it of 120.4 billion tenge. Over the same period of the previous year total of 166.1 billion, a drop of more than a quarter. The most likely cause is limitations on remittances imposed by the Russian Central Bank.

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Reduced and the volume of transfers to Russia. Since February, they are consistently lower than for the same period in 2018. Moreover, October and November 2019, the Kazakhs sent even less than in 2017. That is, the system of money transfers though and remain a popular tool, but its popularity lose.

In January-November 2019 in Russia was sent to 189.4 billion tenge. In the same period of 2018 left 213,1 billion Thus, the decline amounted to 11.2%.

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A replacement was found

Falling remittances from Russia led to the fact that the funds in Kazakhstan through PSD in principle was to do less. Compared to 2018, a decline of 3.6%. In addition to the Russian revenues decreased from Kyrgyzstan (2.2% — up to 27 billion) and Tajikistan (by 38.4% to 3.8 billion).

At the same time increased the revenues of foreign countries. Primarily from Korea, which became a very popular country for earnings. For 11 months the volume of these funds amounted to 60.1 billion tenge, which is by 18.8% more than in the same period of the previous year.

More money began to arrive to the Republic of the United States (+46.2 per cent to 17.3 billion), Germany (+14.3 percent to 10.9 billion) and Turkey (+27.3 per cent to 8.1 billion).

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Russia’s place in overseas shipments took a other countries. So,

  • remittances to Uzbekistan have grown by 25,3 billion tenge (up to 130,2 billion in the first 11 months)
  • in Kyrgyzstan – 18.4 billion (up 78.9 billion)
  • Turkey – 20.2 billion (up to 84.9 billion)

Thus, the growth of transfers through PSD in these countries has far exceeded the drop in the Russian direction. In January-November, 2019 from Kazakhstan abroad was sent 597,9 billion tenge is 8% more than in the same period of the previous year.

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