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November 2022
Bernd
Home > Kazakhstan: a regional eldorado and a pawn on the CSTO chessboard
In early January 2022, Kazakhstan was rocked by a series of popular protests in Almaty and the capital Nur-Sultan. The protests followed a government decision to withdraw subsidies on the price of liquefied natural gas (LNG), which significantly increased prices[1]. The protests turned into riots, requiring the intervention of Kazakh law enforcement and CSTO (Collective Security Treaty Organisation) member countries, with the support of China[2].
As a neighbour, partner and ally of both Russia and China[3]Kazakhstan is indeed a member of the CSTO, created in 1992, composed of Russia, Belarus, Armenia, Kyrgyzstan and Tajikistan[4]. Like its Chinese and Russian neighbours, Kazakhstan is a member of the Shanghai Cooperation Organisation and therefore also remains a concern for Beijing. For Moscow, the objective is the restoration of order in the country and regional stability[5]. The strategic position of the country - proximity to Afghanistan, presence of the Baikonur cosmodrome with its Russian rockets and satellites, transit country for the Silk Road - represents one of the main reasons for the intervention of the CSTO and for the Chinese support to the government of Nur-Sultan[6].
Kazakhstan's resources
In addition, Kazakhstan has many resources other than oil and gas[7]. Indeed, the country is the world leader with about 40% of uranium production in 2017, of which it has the second largest global reserves - estimated at about one billion tonnes[8]. As for chromium deposits, Kazakhstan ranks first in the world with one third of the total exploitable, while for lead and zinc, it ranks sixth with 5 % of the world's deposits[9]. For iron, manganese, copper, tungsten, bauxite, tin, coal, cobalt, titanium, gold, molybdenum, metals used by high-tech industries, the "proven" reserves still rank the country in the top ten worldwide[10].
Finally, having attracted bitcoin producers from all over the world in recent years, it remains today a stronghold of cryptocurrency mining, despite the drawbacks of such production - increasingly frequent power outages in the country[11].
Apart from its significant mining and energy assets, it is Kazakhstan's geostrategic position that explains the causes and course of recent events, namely the popular riots and external interventions. Indeed, at a time when a historic diplomatic crisis between Ukraine, Russia and the US-EU could lead to an armed conflict, it is embarrassing to have a valuable neighbour become an unstable partner.
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