Contribution to GDP: not all projects positively impact GDP growth at the investment stage
№ | Position | Wind Power Plant (WPP) Project in Kazakhstan | Wind Power Plant (WPP) Project in China |
---|---|---|---|
1 | Investment in a WPP project with equipment purchase worth 1 bln tenge | Investment amount = 1 bln tenge | Investment amount = 1 bln tenge |
2 | GDP Contribution | GDP = 0 tenge (equipment is imported and no taxes/duties are paid during customs clearance) | GDP = 1 bln tenge (equipment is domestically produced) |
3 | Total GDP Contribution | GDP = 0 tenge | GDP = 2 bln tenge (as the equipment is manufactured and exported for the WPP project in Kazakhstan) |
4 | Absolute GDP Contribution | GDP = -1 bln tenge (as the opportunity to produce this equipment in Kazakhstan is lost: time, market, and competitive advantages are missed) | GDP = 3 bln tenge (further technology refinement, market potential growth, spare parts supply and servicing) |
GDP = GVA + Net Taxes (VAT for imports = 0)