The contribution of Small and Medium-sized Enterprises to the development of the private sector in the process of transformation of Kazakhstan

The purpose of this thesis is to identify the problems of SME's in the process of economic development of Kazakhstan and to propose some solutions. The first part of this thesis has focused on the deep crisis and collapse of the Soviet Union, and the global situation of Kazakhstan as a part of USSR. Then, after the collapse of USSR and independence of Kazakhstan, the transition to the free market economic and reforms have been emphasized. Finally, the end of this chapter has focused on the present state of the macroeconomic indicators of the transformation. The second part of our study has focused on the entrepreneurship in Kazakhstan, and State and non-state support to the SME's. The third chapter of this work has examined the situation of the SME's before and after the independence of Kazakhstan and then the increasing importance of SME's has been emphasized. With the support of table and figures, the contribution of the SME's to the national economy has been presented. The last part of this work has identified and emphasized the problems encountered by SME's in Kazakhstan, then the way to find solutions has been sought. SME's represent an important element of the national economy. Moreover, SME's set the pace of economic growth to a large extent. Today, entrepreneurs working in private sector encounter different problems. This study was designed as a qualitative study and was conducted using secondary and primary data. Interviews were conducted to identify the most important problems faced by the SME's and to identify some solutions. Interviews about this research concerned a total of 8 people. As a result of the analysis of the interviews, the problems related to high tax rates, high interest rates on loans, corruption, the lake of qualified employees and insufficient financial resources were identified. From the result of the analyze, suggestions were presented in this work.