Galim Khussainov
Inflation and the tengeBankingLending and mortgagesTaxationEconomy and public policyManagement

Economy and public policy · 2 min read

Appointees Stewing in Their Own Juice

Translated from Russian with the help of AI. Original: Russian version

A civil service that promotes officials only from within the system needs more technocrats and people from business and the real sector.

Government policy on the civil service is currently geared toward growing talent inside state institutions. Employees rise within the system.

The most capable of them, armed with a diploma from a third-rate Western university, are moved up the ladder, and every appointment is a step forward. Step by step, they become deputy ministers, ministers, heads of departments in the Presidential Administration, and so on. These are people who already shape government policy, and the country's future development depends on them. Strange as it may seem, I suspect that soon there will not be a single person in the government who has spent even two or three years working in manufacturing, in business, in health care, in a school, in science, or in agriculture. Yet these are the people who know the problems from the inside, who can understand what an ordinary worker, a doctor, a teacher, a farmer, or a small entrepreneur wants from them.

What are today's "Western-style" officials like? They are people who can save money on a translator and tell IRR from NPV. The second and third generations of homegrown officials are also well versed in behind-the-scenes games: whom to befriend, whom to marry. And most important of all, they have a knack for turning any figures into a handsome report.

The days when a state farm director, a miner, or a doctor could become a minister are gone. Today a minister's main task is not to plow fields, build factories, or lift the economy. The main thing is to set the right KPIs for his staff. We will see what comes of it, but I think it is already time to change the structure of the civil service. In my view, it needs more technocrats and people from business and the private sector.

In 15 years of the current civil service policy, I have yet to see any large-scale, conceptual reforms.

Published in: Ratel.kz, 8 May 2016

More on this topic

Fuel Prices: Why Market Prices Are Fairer

Why cheap fuel makes Kazakhstan neither richer nor more competitive: the country subsidizes its neighbors, loses added value from refining and aviation transit, and bears urban and environmental costs. The case for liberalizing prices, with targeted support for vulnerable groups designed in advance.

The Harvard OPM Reunion in Kazakhstan: The Economic Impact

How a four-day Harvard Business School OPM 64 class reunion in Kazakhstan, attended by just over 90 business owners, affected the economy: at least $5,000–6,000 spent per guest, more than half saying they were now unofficial ambassadors for the country, five or six expressing interest in investing, and talks by the heads of the AIFC and Atameken that dispelled myths about Kazakhstan.

Event Tourism and Car Rental

How Kanye West's concert in Almaty showed the potential of event tourism for Kazakhstan, benefiting mainly SMEs, and why turning short visits into longer, higher-spending stays requires fixes to ground infrastructure, ride-hailing, car rental, parking and payment systems, mapping services, roadside facilities and foreign marketing.