On 21 January, the Kazakh Parliament confirmed Nurlan Balgimbaev as Prime Minister of Kazakhstan at its joint session. The newly re-elected President Nursultan Nazarbaev had proposed earlier that Balgimbaev retain this post. In accordance with the constitution, Balgimbaev and his government resigned when Nazarbaev was inaugurated as president on January 20. The 51-year-old PM was first appointed to this post in October 1997. Before becoming PM, he was the Minister of Oil and Gas and he headed up the national oil and gas company KazakhOil. (Reuters)

On 22 January Kazakhstan's new Government was sworn in, but most of the faces remained the same. The highlight of the event was the appointment of Uraz Dzhandosov to the posts of Deputy Prime Minister and Finance Minister, replacing Sauat Mynbaev. Two other changes involved the Ministry of Agriculture and the newly formed Ministry of Revenues. The former will be headed by Zhanybek Karibjanov, who was also appointed Deputy Prime Minister, and the latter by Zeinulla Kakimzhanov. Alexander Pavlov retained his post as Deputy Prime Minister. Aitkul Samakova, previously a member of the Senate, became the fourth Deputy Prime Minister. Among other key positions, Kadyrzhan Damitov retained the post of Chairman of the National Bank; Kasymzhomart Tokaev continues to be Minister of Foreign Affairs; Mukhtar Ablyazov—Minister of Energy, Industry and Trade; and Serik Burkitbaev— Minister of Transport and Communications. (Reuters)

According to the National Statistics Agency, Kazakhstan's budget deficit as of 1 December 1998 totalled KZT 50.8bn (USD 0.6bn).

The trade deficit increased to USD 1,662.8m between January and November 1998 from USD 679.6m in the same period of 1997. In November 1998 exports decreased by 34% and imports decreased by 5% compared with November 1997. CIS countries accounted for 43% of Kazakhstan's total exports.

The average monthly wage in Kazakhstan totalled KZT 11,500 (USD 138.1) in December 1998, up 9.6% compared with the corresponding period of 1997. Also, as of the end of December 1998, the number of unemployed people (officially registered) was 251,900 or 3.7% of the Kazakhstani workforce.

As of 1 December 1998, Kazakhstan's money supply totalled KZT 142.3bn (USD 1.7bn), down 17.3% from the beginning of the year. The cash volume in circulation decreased 30% to KZT 65.1bn (USD 0.8bn) over the first 11 months of 1998.

Bank deposits totalled KZT 78.3bn (USD 0.95bn) on 1 December 1998. Of this amount, individual bank deposits accounted for 38.2%.

As of 1 December 1998, bank loans to the industrial sector totalled KZT 93.4bn (USD 1.13bn) where short-term loans accounted for 52.9%. The refinancing rate of the National Bank has been set at 25% since 10 November 1998. (Reuters)

From January-November 1998, Kazakhstan received KZT 44.3bn (USD 0.53bn) in privatisation proceeds, the National Statistics Agency reported. Of this sum, KZT 43.6bn was transferred to the republican budget, KZT 0.4bn went to local budgets, and KZT 0.3bn was spent on bailing out privatised companies. (Interfax)

Prime Minister Nurlan Balgimbaev met with the visiting Turkish Energy Minister, Ziya Aktas, in Astana on 21 January. Balgimbaev said that the two countries intend to sign a co-operation protocol in the oil and gas industry. The Prime Minister reminded reporters that a feasibility study on the proposed export routes for Kazakhstan's oil to the Turkish port of Ceyhan will be completed within 7-8 months. He noted that the possible use of the planned Baku-Ceyhan pipeline to transport Kazakh crude to international markets is among his government's "top priorities." (RFE/RL)