Purpose and tasks of the project


The Republic of Kazakhstan has made substantial progress in regulatory reform in support of its Green Economy Concept, including developing the Kazakh Emissions Trading Scheme (K-ETS) as well as energy efficiency and renewable energy policies. With the support of the European Bank for Reconstruction and Development (EBRD), Kazakhstan also submitted in September 2015 its Nationally Determined Contribution (NDC) to the UNFCCC. Kazakhstan has signed the Paris Agreement on climate change in August 2016 and ratified it in December 2016.


The Astana International Financial Centre (AIFC) has requested the EBRD to provide assistance in relation to the conceptualisation and development of a Green Financial System. Kazakhstan aspires to become a regional hub for green finance. The Green Financial System would provide further support for the investments in Kazakhstan’s green economy. The request comes against a context of limited involvement of Kazakhstan’s financial sector in the development of the green economy, despite the huge potential for growth in the green investments space. Furthermore the financial sector can play an important role in providing services for the emerging green markets, such as the Kazakh Emissions Trading Scheme.



The overall objective of the project is to enable Kazakhstan to achieve the ambitious targets set out in its NDC and the Green Economy Concept. The purpose is to mobilize sufficient volumes of domestic and international green finance and establish an array of financial services that are required to make the necessary investments in low-carbon technologies, energy efficiency and renewable energy feasible. The project will deliver a robust analytical model and reports providing scenarios for the development of a Green Financial System in Kazakhstan under a number of projections and options for the government. An international Advisory Group is set up for the project, to review the documentation being prepared and to make recommendations. The purpose of the Advisory Group is to get the work done in the project internationally recognised.



The project is divided into three phases: A. Inception, B. Analysis, Review and Design and C. Dissemination.


In the Inception phase, the project team will conduct an Inception Mission to Kazakhstan to assess Kazakhstan’s potential and readiness for developing a Green Financial System. The project team will also perform a comprehensive review of international experiences and best practices.


In the Analysis, Review and Design phase, the project team will create an economic and financial model to estimate the demand for investments and services until 2030, and prepare an in-depth review of the financial policies, regulations and oversight, recommendations for enabling investments and services by Kazakhstan’s financial sector. The results of this phase will be captured in a Model and Road Map for the Green Financial System in Kazakhstan.


In the final Dissemination phase, the results of the project will be disseminated to relevant stakeholders. The team will prepare a Final Report and additional communication material. Finally, the results of the project are presented in a Seminar on the Green Financial System at the Astana Expo 2017, which is an international exhibition with the theme «Future Energy».