The Digital Tenge: A New Era for Kazakhstan’s Economy
The National Payment Corporation of Kazakhstan champions the digital tenge, introducing a modern twist to the nation’s currency landscape. This digital currency, issued by the National Bank of Kazakhstan, complements cash and bank deposits, offering a fusion of their benefits.
A Glimpse into Projects and Applications
Pilot Projects and Early Endeavours
In a move to modernise, the digital tenge was applied in eight pilot scenarios beginning in 2024. These projects amassed a total issuance of 336.6 billion digital tenge (approximately US$685.9 million), conducting over 1,000 transactions. Kazinform reported this development on Feb. 18.
Infrastructure and Public Spending
A notable application involves tracking the National Fund’s allocations. Various infrastructure projects, including the Dostyk-Moiynty railway and the Taldykorgan-Usharal gas pipeline, were supported through this digital currency. This digital mechanism provides authorities with a reliable way to monitor expenditures.
In 2024-2025, the digital tenge also facilitated subsidies for agricultural machinery leasing and livestock purchases, aligning with the state’s Auyl-Amanaty rural programme. Two road repair initiatives in the Atyrau and Pavlodar Regions were also financed during this period.
Efforts in Lending and Public Procurement
Initiatives in Public Procurement
From the end of 2025, transactions involving the National Bank and its subsidiaries transitioned to the digital tenge. Lending projects saw a substantial boost via the DAMU Entrepreneurship Development Fund and the Development Bank of Kazakhstan. These initiatives commenced in late 2025 and stretched into January.
The Mechanics of Digital VAT and Quick Refunds
Pilot Projects and Reducing Bureaucracy
One pioneering project utilises the Digital VAT mechanism. This innovation slashes the VAT refund period for exporters, bringing it down from 90 days to a mere five business days. Additionally, market applications were tested, including the monitoring of funds used by the Kazakhstan Football Federation.
Expanding Horizons
The Journey and Future Prospects
The ambitious journey of the Digital Tenge project began in November 2023. Five banks participated initially, assessing issuance and peer-to-peer payments among select clients. As documented in the Astana Times, this endeavour sets a promising precedent for digital currency.
Further Developments and Potential Gains
Kazakhstan’s initiative offers a blueprint for integrating digital currency into multiple economic sectors. As these projects evolve, the digital tenge stands poised to influence not just local finance but the global economic discourse as well.
