Kazakhstan's Venture Capital Landscape: Connecting Startups to China’s Opportunities

As Kazakhstan's venture capital ecosystem matures, Askar Bilisbekov, CEO of Alem Capital Management, emphasizes the potential for growth through increased institutional investment and enhanced ties with China.

In a recent discussion in Astana, Bilisbekov highlighted that the country's venture scene is still in its nascent stages, noting, “We're still developing our ecosystem,” pointing out significant gaps that hinder progress.

Establishing Capital and Empowering Startups

Alem Capital, which Bilisbekov refers to as an “investment platform,” secured its operating license in July 2025 and completed its initial fundraising by October of the same year, amassing $115 million across two funds—$95 million dedicated to venture capital and $20 million earmarked for cryptocurrency investments. Notably, about two-thirds of the funds come from private investors.

“We initiated our deployment process officially this year,” he stated, reflecting on the momentum garnered since launch.

The platform has identified six funds among its first two cohorts, signaling plans for further investment opportunities, particularly in energy alternatives and AI data centers, with a long-term goal of reaching $1 billion in capital. While funding spans Kazakhstan, Central Asia, and the Caucasus, Bilisbekov affirms Kazakhstan remains the focal point.

Bilisbekov suggests the fundamental challenge lies not in a lack of available funds, but rather in awareness of venture capital as an asset class. “If you don't understand the asset class, you won't invest in it,” he explained.

Scaling presents another hurdle, as Kazakhstan and its regional peers face fragmentation. Local entrepreneurs are increasingly looking toward the U.S., Europe, and Africa for expansion, while opportunities in China remain largely untapped. “People aren’t considering the potential that exists in China,” he noted.

He believes that fostering cross-border relationships—where Kazakh founders venture into China and vice versa—could open doors to significant growth prospects.

Cultivating Links Between Kazakhstan and China

To reinforce these international ties, Alem Capital has organized an LP-GP Summit for the last two years, facilitating the entry of foreign investors, including Chinese venture capitalists, into Kazakhstan’s technology sectors. “I want to see them more,” Bilisbekov asserted, underscoring the geographic and economic connections that can lead to collaborative advancement in venture capital and private equity.

Bilisbekov also perceives a substantial opportunity for Chinese deep-tech enterprises in Kazakhstan, attributing this to the country’s growing pool of STEM talent and well-established scientific infrastructure. “Absolutely,” he responded affirmatively when discussing the potential for Chinese firms in sectors like robotics and AI hardware.

Kazakhstan's Investment Appeal

When discussing Kazakhstan's attractiveness to global investors, Bilisbekov highlights political stability and neutrality as key selling points. He likens the country’s standing to that of “Switzerland in Asian markets,” stressing its balanced relationships with major powers, including China, Russia, and the West.

Additionally, he points to the Astana International Financial Centre as a vital contributor to creating a secure environment for investors, equipped with its independent courts and common-law system. “Every investor seeks assurances that their rights are protected,” he added.

The push towards digitalization is another key advantage. With nearly 90% internet coverage, Bilisbekov illustrated the ease of conducting financial transactions and accessing government services via mobile devices. “I don't even bring an ID; everything I need is on my phone,” he remarked about the level of digital convenience.

With over 5,000 startups emerging in various sectors, including fintech and agritech, Kazakhstan’s ecosystem is ripe with potential. Bilisbekov anticipates a significant increase in demand driven by advancements in AI and robotics.

Ultimately, he believes the best way for potential investors to gauge the opportunities in Kazakhstan is to witness them first-hand. “Visit our country to see the possibilities for yourself,” he encouraged, emphasizing that perspectives can vary widely.

Bilisbekov’s vision for Kazakhstan’s venture ecosystem anticipates more capital inflow, an increase in foundational startups, and stronger international ties, especially with China, all crucial for its next phase of development.