Kazakhstan’s service sector maintained positive momentum in July, marking a seventh consecutive month of growth, according to the latest Purchasing Managers’ Index (PMI) data released by Freedom Holding and S&P Global.

The Business Activity Index stood at 54.0 in July, slightly down from a record 55.1 in June. Despite the decline, the figure remained well above the no-change mark of 50.0. Any value above the mark signals growth.

New orders rose sharply, underscoring strong demand conditions across the sector, according to the statement accompanying the PMI data.

While overall inflationary pressures moderated, the pace of cost increases reached its highest level since December 2024, the statement said. Input costs for service providers remained a concern, although the overall business environment stayed favourable.

July’s data reinforces the view that Kazakhstan’s non-oil economy remains robust, with services, retail and logistics supporting broader economic stability.

Yerlan Abdikarimov, director of the financial analysis department at Freedom Finance Global commented:

“The July Business Activity Index for Kazakhstan’s service sector showed that the industry remained stable despite broader economic conditions. The main index stayed above its historical average. Domestic demand remained relatively steady, and prices stabilized somewhat due to a reduction in production costs. However, the cautious forecasts made by corporations for the year ahead suggest that the sector remains sensitive to exchange rate fluctuations and the expected tightening of fiscal policy.”