From science to the market: Kazakhstan changes its innovation logic, Saysasat Nurbek

At a meeting of the Innovation Development Council, Kazakhstan’s Minister of Science and Higher Education, presented a new model for the country’s innovation policy, El.kz reports.

Why 60% of projects are stuck at the starting line

A survey conducted through the Enbek.kz portal covered over 6,000 enterprises. The results identified 1,600 companies with signs of innovation potential, yet only 199 are currently involved in actual innovation projects.

“This means that nearly 60% of innovation projects remain at the early research stage. We have ideas, scientific groundwork, and technological directions, but we lack sufficient mechanisms to move toward experimental development, industrial prototypes, and implementation,” said Sayasat Nurbek.

Only 49 enterprises have reached Technology Readiness Level (TRL) 9, meaning they have successfully implemented a market-ready product. The leading technological areas are artificial intelligence, software development, and robotics.

However, according to the minister, most AI projects have not yet reached the stage of practical application.

Where funding fails to deliver results

“At the early stages, we have state funding for science. At the later stages, business interest emerges because there is production, a market, scalability, and a clear economic model. But between these stages lies a difficult zone - the transition from R&D to industrial implementation,” explained Sayasat Nurbek.

It is precisely here that the so-called “commercialization gap” emerges: the scientific idea exists, but it has not yet progressed to an industrial prototype, pilot production, or a marketable product.

The ministry’s proposed solutions include grants for experimental development projects, prototyping centers, and expanding the role of QazInnovations from the IT sector to all branches of the economy.

Where Kazakhstan Is Losing Ground in Global Rankings

In the Global Innovation Index (GII), Kazakhstan ranks 81st out of 139 countries. Compared to 2024, the country has fallen from 78th place.

“The GII is not the ranking of a single ministry. It is an integrated indicator of the entire national innovation system. It includes 78 indicators that fall under the responsibility of more than ten government agencies,” Nurbek emphasized.

According to him, Kazakhstan ranks 64th in infrastructure and 68th in human capital. However, it lags significantly in business spending on R&D, venture capital volume, and income generated from intellectual property. In the “Business Sophistication” category, the country dropped by 16 positions.

Horizon Europe: What It Would Mean in Practice

Kazakhstan is seeking associate membership in the European research and innovation program Horizon Europe. The budget for its next cycle (2028–2034) exceeds €200 billion.

“Obtaining associate-country status would allow Kazakhstan to participate in the program at a deeper level, including joint projects not only with European Union member states but also with other associated countries such as Canada, Japan, Australia, and Türkiye,” said Nurbek.

Kazakhstan is already participating in the TiBeRIUM project, which has a budget of €8 million and focuses on environmentally friendly titanium and beryllium processing technologies. If associate membership is secured, Kazakhstan would become the first Central Asian country to participate in the program under this format.

Regions as the Entry Point

The ministry proposes moving away from a centralized approach and building regional innovation systems.

“This means that enterprises and regions themselves should formulate technological demands. These demands would then be translated into concrete scientific tasks through regional scientific and technical councils,” Nurbek explained.

Under this model:

• North Kazakhstan Region will focus on agricultural biotechnology;
• Aktobe Region on petrochemicals;
• Karaganda Region on mining and metallurgy.

Saginov Technical University is already establishing a technology testing ground and a Welding Institute in Karaganda Region. More than 2 billion tenge from the local budget is expected to be allocated to R&D activities.

Meanwhile, Satbayev University and the Korea Institute for Rare Metals plan to launch an International Scientific Center for Rare Metals. The project budget exceeds $16.5 million, has a five-year implementation period, and is scheduled to open in 2027.

Rethinking the Entire Innovation Model

“Kazakhstan must become a country of accelerated technological adaptation. We must honestly recognize that not every country invented foundational technologies from scratch. Japan did not invent the transistor, South Korea did not invent metallurgy, China did not invent the lithium-ion battery, and Finland did not create GSM from the ground up. Yet these countries successfully mastered, localized, improved, and eventually developed their own technologies,” Nurbek stated.

According to the minister, the most realistic path for Kazakhstan is:

Licensing → Technology Adoption → Localization → Indigenous Innovation

“This model will allow us to move more quickly from dependence on raw materials to technological complexity,” he added.

By 2030, Kazakhstan aims to:

• Reach 72nd place in the Global Innovation Index;
• Increase R&D spending to 1% of GDP;
• Raise the share of innovation-active enterprises to 23.4%.