Shorouk Express 
BAKU, Azerbaijan, September 3. Kazakhstan is
poised for significant growth in the energy sector in the future,
supported by national policies to transition to renewable energy
sources and significant investments in infrastructure
modernization, Trend
reports via Moody’s.
The country’s strategic shift toward green energy is a key
component of its efforts to mitigate carbon transition risks.
“For hydrocarbon-producing countries such as Azerbaijan,
Kazakhstan, and Uzbekistan, a greater regional flow of renewable
energy will help mitigate carbon transition risks by accelerating
the adoption of cleaner energy sources,” said Moody’s.
This is being spearheaded by major regional initiatives,
including the Caspian Green Energy Corridor, which was established
at the 29th Conference of the Parties (COP29) in November 2024. The
project aims to transport wind and solar-generated energy across
the Caspian Sea to Europe via a proposed 400-kilometer submarine
cable linking Kazakhstan and Azerbaijan.
Investment in the country’s green energy sector is gaining
momentum. Masdar and TotalEnergies SE (Aa3 stable) are each
developing a one GW wind farm as part of Kazakhstan’s strategic
green energy partnerships. The nation is also a leader in
sustainable finance within the region, having issued over 20
sustainable bonds since 2019, with a cumulative volume exceeding $1
billion by the end of 2024. A notable example is the Development
Bank of Kazakhstan (DBK, Baa1 stable), which issued a 100 billion
tenge ($227 million) sustainability bond in April 2024, reflecting
growing pressure from the government on its parent company,
Baiterek National Management Holding JSC (Baa1 stable), to increase
reliance on long-term market-based funding to support green
infrastructure projects.
