Agritourism sector of Kazakhstan: attracting foreign direct investment

Abstract

The investment policy of each country is aimed to increase investment in potential areas of economy. Tourism in the world market, including in agricultural sector, has become an attractive industry for investors who are planning long-term income. The goal is to analyze how effective it is to attract foreign direct investment in agro-tourism complex of Kazakhstan. To achieve this goal, methods of organizing interviews with specialists and a survey of existing representatives of tourism business were used. The results were obtained by integrating qualitative and quantitative analysis in the course of survey with targeted audience selection. Results – the positive impact of investments of foreign countries in agritourism was revealed, since developing countries are most interested and need to invest in tourism activities. The initiative is justified by the fact that targeted bank deposits have both direct and indirect impact on other market segments, creating new jobs, developing services, and improving infrastructure. Conclusions – the estimated position of entrepreneurs in rural tourism revealed the low potential of the republic for external sources of financing, since there are a number of factors that reduce investment opportunities. Taking into account the negatively affecting inhibitors, recommendations have been developed to increase investment activity based on the analysis of secondary data with the study of foreign experience and primary materials obtained during the collection of information and interviews. For comparison, the example of Uzbekistan was used, with similar economic, cultural and historical characteristics. In addition, business tourism of this destination positions the tourist product, having resources similar to those of the Republic of Kazakhstan on the world stage.