Kazakhstan to introduce monitoring system to prevent circumvention of sanctions against Russia

From April 1, Kazakhstan will launch an online system that will track all goods crossing the border of the republic. With this innovation, Kazakhstan wants to demonstrate that the country is complying with the restrictions imposed by Western countries against Russia, reports Eurasianet.org with reference to a high-ranking Kazakh official.

“Our government has repeatedly and very clearly stated that Kazakhstan does not impose any sanctions or restrictions on trade with Russia. However, it will not allow circumvention of Western sanctions and will not become a platform for such circumvention. We understand all the risks associated with secondary sanctions, so we are closely monitoring our mutual trade with all partners,” the source said.

Kazakhstan, together with Russia, is a member of the Eurasian Economic Union, within which goods move without customs control. Source Financial Times in the government of Kazakhstan said that the new system will allow tracking the entire chain of movement of goods across the border of the republic in real time.

In June 2022, Kazakh President Kassym-Zhomart Tokayev said that Astana was not going to violate Western sanctions against Russia when interacting with it. In December of the same year, the Ministry of Foreign Affairs of Kazakhstan acknowledged the negative impact of sanctions against Russia on the country’s economy.

Russia remains the largest trading partner of Kazakhstan. Its exports in 2022 rose by a quarter, to $8.8 billion, according to Reuters. The growth in trade is so strong that Kazakh customs is overwhelmed, the sources said. According to the agency, Russian companies have been more active in recent weeks ask help their Kazakhstani partners with circumventing Western sanctions and importing necessary goods.

Erdni Kagaltynov