Kazakhstan Courts British Capital Beyond Oil

Kazakhstan is seeking greater British investment in critical minerals, renewable energy and transport infrastructure as it looks to diversify an economic relationship still heavily concentrated in oil.

In an interview published on Tuesday, Kazakhstan's ambassador to the UK, Alibek Bakayev, said the government wanted to turn diplomatic contacts into financed projects. A strategic partnership agreement that entered into force in June provides a framework covering investment, financial services, energy, transport and intellectual property, but does not remove every domestic licensing requirement.

Kazakhstan recorded a net foreign direct investment outflow of $861 million in 2025, according to figures discussed in the interview. Bakayev argued that the headline concealed different investment trends: oil and gas projects generated substantial outflows as major construction phases ended, while the country's gross FDI inflows increased 14.4% to $20.5 billion. Manufacturing recorded approximately $1.7 billion in net inflows. He identified minerals processing, grid infrastructure, logistics and digital projects as areas where British capital could contribute.

The two countries traded goods and services worth around £2.6 billion in the year to March 2026, although crude oil accounted for more than 85% of British goods imports from Kazakhstan. The ambassador said attracting broader investment would require better project preparation, clearer regulation and credible financing arrangements. The proposed expansion is therefore an investment strategy rather than a list of newly completed projects. Its success will be measured by whether those opportunities become commercially financed operations. Many proposed projects still require financial commitments and regulatory approvals before physical construction can begin.