Has the recently implemented tax structure led to an increase in housing costs?
In a bid to address the affordable housing crisis, the Government of Kazakhstan has announced a series of measures aimed at expanding access to housing and reducing financial burdens on families. On July 16, 2025, President Kassym-Jomart Tokayev signed a new law amending several legislative acts related to housing and communal services.
One of the key tools being used is **preferential lending programs**, such as the "7-20-25" scheme, which aim to assist the population in acquiring affordable housing. These programs, introduced by new legislation, indicate a government-backed financial support system to reduce the cost burden for eligible citizens.
Modifications have also been made to the **Tax Code** to further support the affordable housing agenda. These tax reforms are intended to incentivize investments in housing construction and renovation, potentially reducing tax liabilities for developers participating in affordable housing projects and thus promoting increased availability of such homes.
Beyond financial measures, Kazakhstan is exploring innovative construction technologies to enhance housing affordability and quality. A strategic partnership with China State Construction Engineering Corporation International (CSCEC International) has been formed to deploy **modular housing technology** and modernize the country’s aging housing stock. This collaboration aims to ensure residents have access to safe, modern, and energy-efficient homes equipped with reliable utilities.
The Prime Minister, Олжас Бектенов, has emphasized a thorough review of the Tax Code norms, with a focus on preventing price increases and maintaining tax incentives in housing construction. He has also stated that Kazakhstan has the necessary legal tools to prevent speculative price increases, and assured that there will be no sharp spike in housing prices due to the introduction of the new Tax Code next year.
Otbasy Bank is offering housing loans as part of the measures to make property more affordable for Kazakhs, although the specific details of the "7-20-25" lending program were not provided in the article. The review of the Tax Code norms is aimed at maintaining a stable housing market in Kazakhstan.
These efforts collectively form Kazakhstan’s current approach to tackling affordable housing challenges and improving living standards nationwide. The announcement was made by the Prime Minister at a press briefing in the Government, and the statements were reported by ElordaInfo.kz, citing the Cabinet's press service. The review involves expert communities and relevant associations in Kazakhstan. The Prime Minister has indicated that they will use the legal tools to prevent speculative price increases in the housing market and will not allow speculative price increases resulting from collusion in the housing market.
The Prime Minister, Олжас Беktenov, has emphasized the use of preferential lending programs, such as the "7-20-25" scheme, to assist Kazakhs in investing in affordable housing. Moreover, modifications to the Tax Code aim to incentivize real-estate investors, particularly those involved in affordable housing projects, by reducing their tax liabilities, thereby promoting increased availability of such homes and contributing to a stable housing market.
