Kazakhstan Construction Costs Decouple from National Inflation

Construction costs in Kazakhstan are structurally decoupling from the broader economy, with building costs rising 110.1% year-over-year as of October 2026, according to the Bureau of National Statistics. Price increases were recorded in the Pavlodar and Karaganda regions, with Pavlodar seeing the sharpest increase. While construction and installation works rose 10.5% annually, other services and expenses surged by 15.9% for the year.

The divergence shows that cost pressure is concentrated in specific inputs, driven primarily by labor and operational services, rather than uniform material shortages. While building material costs rose only 3.7% annually, specific inputs like cement jumped 14% year-over-year.