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KAZAKHSTAN

Reported in 2020, last reported in 2023

Pillar Telecom infrastructure & competition  |  Indicator Licensing restrictions to operate in the telecom market
Complaints on telecom licensing requirements
It is reported that the telecommunication companies are required to purchase and install equipment related to the state’s System for Operational Investigative Measures (SORM) and to cover costs related to the database of International Mobile Equipment Identity (IMEI) codes and to pay regular fees to the State Radio Frequency Service, which is the IMEI database operator. These obligations may deter new players from entering the market.
Coverage Telecommunications sector

KAZAKHSTAN

Since January 2007
Since May 2014

Pillar Telecom infrastructure & competition  |  Indicator Licensing restrictions to operate in the telecom market
Law of the Republic of Kazakhstan "On Licensing" (Қазақстан Республикасының Заңы "Лицензиялау туралы")

Law No. 202 on Permissions and Notifications (Қазақстан Республикасының Заңы № 202-V ҚРЗ. Рұқсаттар және хабарламалар туралы)
Pursuant to the Law of the Republic of Kazakhstan "On Licensing" and the Law on Permissions and Notifications, the companies providing telecommunications services require an operating license from the Ministry of Digital Development, Innovation, and Aerospace. It is reported that all telecommunications operators are legally obliged, as part of the licensing requirement, to connect their channels to a public network controlled by KazakhTelecom.
Coverage Telecommunications sector

KAZAKHSTAN

Since January 2012

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Indicator Screening of investment and acquisitions
Law No. 527-IV on National Security of the Republic of Kazakhstan (Қазақстан Республикасының 2012 жылғы 6 қаңтардағы № 527-IV Заңы Қазақстан Республикасының ұлттық қауіпсіздігі туралы)
According to Art. 23.6.7 of the Law on National Security, it shall be prohibited that foreigners, stateless persons, and foreign legal entities to directly and (or) indirectly own, use, dispose of and (or) manage cumulatively in excess of 49% of the voting shares, as well as stakes, units of a legal entity engaged in telecommunications as a long-distance and (or) international telecommunications operator, possessing land (cable, including fibre optic, radio relay) communication lines with no positive decision of the Government of Kazakhstan based on the opinion of the authorised body regulating the field of communications, agreed with the national security agencies. It is reported that, in practice, foreign investors must obtain a government waiver for the acquisition of more than 49% of shares in a company providing telecommunication services.
Coverage Telecommunications sector

KAZAKHSTAN

Since February 2016

Pillar Telecom infrastructure & competition  |  Indicator Signature of the WTO Telecom Reference Paper
WTO Telecom Reference Paper
Kazakhstan has appended the World Trade Organization (WTO) Telecom Reference Paper to its schedule of commitments.
Coverage Telecommunications sector

KAZAKHSTAN

Since April 2004, last amended in December 2022
Since March 2015, as amended in July 2019, last amended September 2022
Since January 2015, last amended in October 2022

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Indicator Commercial presence requirement for digital services providers
Law No. 544 on the Regulation of Trading Activities (Қазақстан Республикасының 2004 жылғы 12 сәуірдегі N 544 Заңы Сауда қызметін реттеу туралы)

Order No. 264 on the Approval of the Rules of Domestic Trade (№ 264 бұйрығы Ішкі сауда қағидаларын бекіту туралы)

Order No. 4 on the Approval of the Forms of Messages and the Principles of Receiving Messages by State Bodies, as well as on Determining the State Bodies That Carry Out the Reception of Messages ( бұйрығы № 4 Хабарламалар нысандарын және Мемлекеттік органдардың хабарламаларды қабылдау қағидаларын бекіту туралы, сондай-ақ хабарламаларды қабылдауды жүзеге асыратын мемлекеттік органдарды айқындау туралы)
In accordance with subparagraph 4-1 of Art. 7 of Law No. 544, the Minister of National Economy of Kazakhstan ordered the approval of the Rules of Domestic Trade (Order No. 264). Arts. 105-1 and 106-1 of the Rules mandate e-commerce sellers to indicate their BIN (business identification number), address of business operations on the territory of Kazakhstan and mobile telephone number registered in Kazakhstan in order to operate in the country. Additional information on this requirement is found in Annex 3-10 of Order No. 4.
Coverage E-commerce sellers

KAZAKHSTAN

N/A

Pillar Telecom infrastructure & competition  |  Indicator Presence of an independent telecom authority
Lack of an independent telecom authority
Kazakhstan has a telecommunications authority: The Telecommunications Committee of the Ministry of Digital Development, Innovations and Aerospace Industry of the Republic of Kazakhstan. However, it is reported that this entity's decision-making process is not fully independent of the government.
Coverage Telecommunications sector

KAZAKHSTAN

Since July 1999

Pillar Intellectual Property Rights (IPRs)  |  Indicator Practical or legal restrictions related to the application process for patents
Patent law of the Republic of Kazakhstan (Қазақстан Республикасының Патент Заңы)
According to Art. 38 of the Patent law of the Republic of Kazakhstan, foreign individuals, foreign legal entities and stateless persons residing in the Republic of Kazakhstan enjoy the same rights as Kazakhstani citizens. However, under Article 36.5 of the Patent Law of the Republic of Kazakhstan, natural persons residing outside the Republic of Kazakhstan or foreign legal entities shall exercise their rights as patent applicants and patentees, as well as the rights of interested persons in the authorised body and its organisations, through local patent attorneys. Pursuant to Art. 1 of the Law, patent agents are citizens of the Republic of Kazakhstan who, in accordance with the legislation of the Republic of Kazakhstan, have the right to represent natural and legal persons before the authorised body and expert agency.
Coverage Horizontal

KAZAKHSTAN

Since November 2015, as amended in June 2020, last amended in December 2023
Since April 2005, until September 2010

Pillar Cross-border data policies  |  Indicator Ban to transfer and local processing requirement
Law No. 418-V ZRK of the Republic of Kazakhstan on Informatization (Қазақстан Республикасының Ақпараттандыру туралы Заңы 2015 жылғы 24 қарашадағы № 418-V ҚРЗ)

Acting Chairman of the Republic of Kazakhstan Agency for Informatization and Communication Order No. 88-b of 5 April 2005 on the Approval of Regulations for the Allocation of Domain Space in the Kazakhstan Segment of the Internet (Қазақстан Республикасының Ақпараттандыру және байланыс жөніндегі агенттігі төрағасының 2005 жылғы 5 сәуірдегі N 88-б Бұйрығы Интернет желісінің қазақстандық сегментінің домендік кеңістігін бөлу ережесін бекіту туралы)
Art. 56-1 of the Law on Informatization requires that internet resources with ".kz" and ".қaz" domains must be hosted on hardware and software complexes located in Kazakhstan. In other words, an internet resource (website, web application, web service) using a ".kz" or ".қaz" domain must be hosted on a server (owned/rented/cloud hosted/VDS hosted/virtually hosted) in a data centre (server/office) located in Kazakhstan. The server must also be connected to a Kazakh internet provider and use a (dedicated or shared) Kazakhstan IP address.
A similar requirement has been in place since 2005, as established in Clauses 7 and 8 of the Regulations for the Allocation of Domain Space in the Kazakhstan Segment of the Internet. These clauses provided that an application for domain name registration may be refused or registration may be cancelled if the domain servers were not located inside Kazakhstan.
Coverage Internet resources with .kz and .қaz domain

KAZAKHSTAN

Since December 1991

Pillar Intellectual Property Rights (IPRs)  |  Indicator Participation in the Patent Cooperation Treaty (PCT)
Patent Cooperation Treaty
Kazakhstan is a party to the Patent Cooperation Treaty (PCT).
Coverage Horizontal

KAZAKHSTAN

Since March 2010, as amended in April 2018, until July 2023

Pillar Cross-border data policies  |  Indicator Ban to transfer and local processing requirement
Resolution of the Government of the Republic of Kazakhstan No. 246 on Approval of the Rules for Communication Operators to Collect and Store Service Information about Subscribers (Қазақстан Республикасы Үкіметінің 2010 жылғы 30 наурыздағы № 246 Қаулысы Байланыс операторларының абоненттер туралы қызметтік ақпаратты жинау мен сақтауды жүзеге асыру қағидаларын бекіту туралы)
Paragraph 6-1 of Resolution No. 246 prohibited the storage of telecommunication subscriber information outside the country. The Resolution was repealed in July 2023.
Coverage Telecommunications sector
"SELECT DISTINCT(post_id) FROM prj_12_postmeta WHERE meta_key = 'score' AND\n\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'country' AND meta_value = 'KZ')\n\t\t\t\t\t\t\t\tAND (\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.1') OR\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.2') OR\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.3')\n\t\t\t\t\t\t\t\t)"
[{"post_id":"84187"},{"post_id":"84188"},{"post_id":"84189"}]
"SELECT meta_value FROM prj_12_postmeta WHERE meta_key = 'impact' AND\n\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'country' AND meta_value = 'KZ')\n\t\t\t\t\t\t\t\tAND (\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.1') OR\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.2')\n\t\t\t\t\t\t\t\t)"
"SELECT meta_value FROM prj_12_postmeta WHERE meta_key = 'score' AND\n\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'country' AND meta_value = 'KZ')\n\t\t\t\t\t\t\t\tAND (\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.3')\n\t\t\t\t\t\t\t\t)"
ITA: [{"meta_value":"0.50"}]

KAZAKHSTAN

ITA signatory? I II

Pillar Tariffs and trade defence measures applied on ICT goods  |  Indicator Effective tariff rate on ICT goods (applied weighted average)
Effective tariff rate to ICT goods (applied weighted average)
1.53%
Coverage rate of zero-tariffs on ICT goods (%)
65.87%
Coverage: ICT goods

KAZAKHSTAN

N/A

Pillar Tariffs and trade defence measures applied on ICT goods  |  Indicator Participation in the WTO Information Technology Agreement (ITA) and 2015 expansion (ITA II)
Lack of participation in Information Technology Agreement Expansion Agreement (ITA II)
Kazakhstan is a signatory of the World Trade Organization (WTO) Information Technology Agreement (ITA) of 1996 but is not a signatory of its 2015 expansion (ITA II).
Coverage ICT goods

KAZAKHSTAN

Since November 2015, last amended in December 2023
Since March 2018

Pillar Public procurement of ICT goods and online services  |  Indicator Surrender of patents, source code or trade secrets to win public tenders/Restrictions on technology standards for public tenders
Law No. 418-V ZRK of the Republic of Kazakhstan on Informatization (Қазақстан Республикасының Ақпараттандыру туралы Заңы 2015 жылғы 24 қарашадағы № 418-V ҚРЗ)

Order No. 53/НК of the Minister of Defence and Aerospace Industry of the Republic of Kazakhstan on the Approval of the Rules for the Formation and Maintenance of a Register of Trusted Software and Electronics Industry Products, as well as Criteria for Including Software and Electronics Industry Products in the Register of Trusted Software and Electronics Industry Products (Приказ Министра оборонной и аэрокосмической промышленности Республики Казахстан от 28 марта 2018 года № 53/НҚ Об утверждении Правил формирования и ведения реестра доверенного программного обеспечения и продукции электронной промышленности, а также критериев по включению программного обеспечения и продукции электронной промышленности в реестр доверенного программного обеспечения и продукции электронной промышленности)
According to Art. 7.6 of the Informatization Law, the central executive body carrying out state regulation in the field of electronic industry is tasked with establishing a unified register of trusted software and electronic products. According to Art. 54.3.1, for the purposes of state security, only approved software may be used for public procurement and for critical information and communication infrastructure, whether state-owned or private, including telecommunication infrastructure. To become part of the register, the software applicant must transfer (i) source program codes for accounting and storage; (ii) source program codes (if any) and; (iii) a set of configurations for the licensed software of "e-government" information technology objects, as stated paragraphs 10, 11, 12 and 13 of the Order of the Minister of defence and Aerospace Industry of the Republic of Kazakhstan No. 53/НК (Rules for the formation and maintenance of a register of trusted products of the electronics and software industry, as well as the criteria for including products of the electronics industry and trusted software in the register of trusted products of the electronics and software industry). In addition, it is reported that the local content for this software must not be less than 70%.
Coverage Software

KAZAKHSTAN

Since January 2016

Pillar Public procurement of ICT goods and online services  |  Indicator Other limitations on foreign participation in public procurement
Law No. 434-V on Public Procurement (Заңы № 434-V ҚРЗ.Мемлекеттiк сатып алу туралы)
According to Art. 14 of the Law on Public Procurement, national treatment for goods originating from foreign countries, as well as works and services performed by foreign suppliers, is applied only under the conditions specified in international treaties ratified by Kazakhstan. The Law also grants the Government of Kazakhstan the right to establish exemptions from national treatment for up to two years to protect the constitutional order, ensure national defence and security, safeguard the domestic market, promote economic development, and support domestic producers.
Coverage Horizontal

KAZAKHSTAN

Since January 2016

Pillar Public procurement of ICT goods and online services  |  Indicator Other limitations on foreign participation in public procurement
Law No. 434-V on Public Procurement (Заңы № 434-V ҚРЗ.Мемлекеттiк сатып алу туралы)
Art. 39.3 of the Law on Public Procurement states that the purchase of periodicals on electronic carriers and information provision services from international and/or foreign information organisations may be conducted through a single-source method. In this case, the government selects the supplier through an ad hoc decision rather than a tender process. This approach is permitted when a tender fails to result in the conclusion of a public procurement contract. However, decisions regarding single sourcing are reported to lack transparency and competitiveness, creating opportunities for corrupt practices where only companies familiar to the contracting authorities succeed.
Coverage Electronic carriers, information services

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