Social Watch / 120 KAZAKHSTAN Everyday life is another question SVETLANA SHAKIROVA MARA SEITOVA Despite the budget surplus, the government has not responded to proposals by ministries and independent bodies to increase targeted aid to the poor, lower the pension age, and compensate the nuclear victims of Semipalatinsk. Huge oil profits do not mean huge benefits to the whole nation, but rather the opposite – accelerated stratification and impoverishment of society. Oil and budget surplus Kazakhstan owns more than half the discovered and about 80% of projected oil resources in the Caspian Sea. However, developing Kazakhstan’s oil is more important for political and socio-economic development of the country than it is for the world hydrocarbon market. On the global scale, Kazakhstan’s oil is not very significant. It is estimated that by 2010, oil production in this region will constitute only 3-4% of the world’s oil market, while Middle East oil will prevail as usual, with 25-35% depending on the market conditions. 1 It is taken for granted that oil revenues will promote political stability and national unity, reduce ethnic tensions, increase living standards for all population groups, and strengthen the authority and political position of the ruling circles. Foreign companies produce more than 80% of Kazakhstan’s oil. The oil and gas sector is the principal taxpayer, contributing to budget saturation. “In the first half of 2001, oil companies paid 79% of the total tax and fiscal payments from mineral resource companies in the country; USD 19.2 million was spent by oil companies directly in the social sphere and on local infrastructure; taxes worth USD 25.9 million went to social programmes.” 2 Oil revenues are paid to the National Oil Fund and comprise USD 1.1 billion. A special development bank was established to manage the funds. The year 2001 (excluding the last two months) was auspicious. Because of oil trading, the country has an 11.7% budget surplus, ie, a KZT 51.5 billion (USD 350 million) surplus in a budget of KZT 489 billion (USD 3.3 billion). This surplus goes to the Development Bank and is allocated to defence (considering the military situation in Central Asia), law enforcement and investment projects. Despite the budget surplus, the government has not responded to proposals by ministries and independent bodies to increase targeted aid to the poor, lower the pension age, and compensate the nuclear victims of Semipalatinsk. As has been the experience in Venezuela, Nigeria, Iraq and Iran, huge oil profits do not mean huge benefits to the whole nation, but rather the opposite - accelerated stratification and impoverishment of society. As a result of corruption and the growing disparity between poor and rich, oil and gas revenues are not being used to maintain social stability. Gender policy: everyday life is another question A progressive gender policy is being implemented. A national policy to improve women’s status has been developed (1999). Its main priorities are involvement of women in public life, equal rights in the labour market, health, and combating violence in family life. A National Action Plan has been developed to improve the position of women. The draft law “Regarding Equal Rights and Opportunities” is under consideration in Parliament. Women constitute 54% of employees in government policy-making agencies. There are 150 registered women’s NGOs in the country, and there is even a women’s party – the Democratic Party of Kazakhstani Women. In 2002, a credit line worth USD 1 million is earmarked for women’s businesses. For the first time, gender aspects have been integrated into economic planning. The national poverty and unemployment reduction programme for 2003-2007 takes into account gender poverty aspects. There is other evidence that gender policy is quickly being mainstreamed. Gender education is being institutionalised in schools and universities, and gender education of civil servants is becoming a reality. How these policies affect the everyday life of ordinary women and men is another question. The answer paints a gloomy picture. Diminishing access and control of resources Women’s access and control of economic resources is minimal. Trade liberalisation directly affects the labour market, causing deepening horizontal and vertical occupational segregation. In Kazakhstan, women are concentrated in such sectors as health care and social services (83%), education (77%), hotels and restaurants (75%), and finance (66%). Males predominate in construction (81%), agriculture, hunting and forestry (77%), fishing and fish farming (74%), mining (75%), energy (72%), transport and communications (67%), processing (64%), and public administration (60%). Seventy-six per cent of senior officials and their deputies in local governments are men. Women hold 54% of the jobs in central and local governments, but constitute only 9% and 11% of political officials in local and central governments respectively. The most visible male predominance is in the Ministry of Foreign Affairs (84%), Agency for Investments (65%), and Ministry of Natural Resources and Environmental Protection (62%). Regionally, southern provinces maintain a stronger traditional gender culture and political officials are predominately male: Southern Kazakhstan (70%), Zhambyl (60%) and Kyzylorda (58%). 1 Jaffe Emi. “To unveil the treasure: Power sources and future of Central Asia and Kazakhstan”. Central Asia: Human Development Prospects, 2010. UNDP Regional Bureau for Europe and CIS, 1999, p. 30. 2 “Oil sector as the key for economic stability.” Interview with B. Elemanov, Kazakhstan’s First Vice-Minister for power, energy and mineral resources. Continent, No. 18 (56), 2001, p. 18.