The Belt and Road Initiative and Kazakhstan’s Economic Modernization: From Transit Hub to Regional Growth Engine

Iqra  Javaid

doi:10.54418/ca-97.256

Authors

Iqra Javaid Lecturer, School of Integrated Social Sciences (SISS), The University of Lahore, Lahore, Pakistan.

DOI:

https://doi.org/10.54418/ca-97.256

Keywords:

Belt and Road Initiative, Kazakhstan, economic modernization, logistics, Eurasia, diversification

Abstract

Being initiated in 2013, the Belt and Road Initiative (BRI) has radically altered the economic geography of Eurasia as a result of extensive infrastructure and connectivity initiatives. Kazakhstan is at the center stage of this initiative because of its geographical location in between China, Russia and European market. The present paper looks at the impact of the development of infrastructure associated with the BRI on the economic modernization, change in logistics, and integration of the region trade in Kazakhstan. In contrast to the majority of the descriptive literature, this article constructs a theoretical framework using the modernization and dependency theories to operationalize them with specific measurable variables, such as infrastructure capacity, sectoral diversification, trade structure and external financial dependence. The study will be based on comparative analytical evaluation of economic transformation in Kazakhstan under the BRI engagement through secondary data of international institutions and national statistics of the country between 2013 and 2023. The results indicate that BRI infrastructure projects have enhanced greatly transportation efficiency and logistic capacity in addition to the moderate diversification of transport, manufacturing, and service industries. Nevertheless, structural risks still persist such as reliance on technology, dependence based on concentration of trading with China and lack of creation of value within the industries of a country. The research states that the long-term modernization trajectory of Kazakhstan is based on the reinforcement of institutional governance, the expansion of industrial capabilities, as well as the diversification of international relations. The paper is meaningful in the literature in that it represents a well-organized analytical study of the effect of BRI developmental effects, as opposed to a simple descriptive summary of infrastructure projects.

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