Tech startups are a catalyst for growth and innovation in the tech industry.
These rapidly-growing tech companies take risks, disrupt markets that have become stuck in their ways, drive new ideas, accelerate commercialization of many tech products, and force more established companies to modernize faster. Tech startups represent growth in the industry, and when many of these startups decide to grow their teams, they turn to emerging markets in Central Asia and other parts of the world where they can find elite talent with more affordable salaries and less competition from larger tech companies.
Kazakhstan has cemented itself as an emerging market for tech startups on the hunt for premium talent. Located on the invisible line between Central Asia and Eastern Europe, Kazakhstan is one of the fastest growing tech markets in the world, and was named one of the Top 10 Rising Tech Hubs by Dealroom.co in its latest Global Tech Ecosystem Index. This growth is driven by several factors and highlighted by $910 million of foreign investment in the last five years.
Tech startups interested in hiring elite talent from around the world should have Kazakhstan on their short list, and Truss is here to help with this overview that outlines why Kazakhstan is an emerging market for tech startups.
Contact Truss today to learn more about our global hiring platform and employer of record services!
READ MORE: How Much Can Hiring in Emerging Markets Save Your Company?
5 Reasons for Tech Startups to Hire Talent in Kazakhstan
Tech startups that are considering hiring remote talent in Kazakhstan are undoubtedly asking — what makes Kazakhstan an emerging tech market? Why should we hire in Kazakhstan? These questions and more are important to ask when you approach the hiring process, and we are here to help provide answers at Truss.
The tech industry in Kazakhstan has seen rapid growth in recent years with IT service exports that have surpassed $1.14 billion each year. This growth is due in part to government programs and initiatives — like Digital Kazakhstan — that have made Kazakhstan a world leader in tech development and landed it at 24th on the Global UN E-Government Index. When you add a young, digital population, lower salaries, emphasis on tech-focused education and careers, and impressive tax incentives to the equation, it equates to unprecedented growth.
Here is a better look at why tech startups need to consider Kazakhstan when hiring remote tech talent:
1. Government Support and Tech Programs
The emphasis on tech industry growth starts at the top in Kazakhstan where the government has pushed multiple tech programs and initiatives to lay the groundwork for a tech-focused economy. The Astana Hub is a government-funded digital hub that provides workspace and additional incentives for tech startups from around the globe that include tax incentives, accelerator programs, and digital nomad visas. Astana Hub is home to more than 2,000 startups, has generated $4.9 billion in the past five years, and supports employment for more than 32,500 tech jobs. In addition to the Astana Hub, the Tech Orda program provides tech-focused education that has a 90% post-graduation employment rate.
2. Lower Employment Costs
Mounting costs are a real concern for tech startups, making it even more important to find the right people with the right talent and right skills for the right price, and that is where Kazakhstan can stand out from many traditional hiring markets. When compared to tech careers in the United States, average tech salaries in Kazakhstan are 65% – 75% lower with similar skillsets. Kazakhstan provides tech startups with lower costs than traditional Latin American and Western European markets and a better infrastructure than many other emerging markets.
| Country | Entry-Level Developer Avg. Salary | Senior Developer Avg. Salary |
|---|---|---|
| Kazakhstan | $18,000 – $25,000 | $45,000 – $75,000 |
| United States | $85,000 – $110,000 | $160,000 – $220,000+ |
| Uzbekistan | $12,000 – $18,000 | $38,000 – $60,000 |
| Armenia | $16,000 – $24,000 | $45,000 – $72,000 |
| United Kingdom | $45,000 – $55,000 | $95,000 – $130,000 |
| Germany | $50,000 – $62,000 | $90,000 – $115,000 |
| Poland | $24,000 – $32,000 | $65,000 – $85,000 |
| Brazil | $22,000 – $30,000 | $60,000 – $90,000 |
| Georgia | $16,000 – $22,000 | $42,000 – $70,000 |
| India | $12,000 – $18,000 | $40,000 – $65,000 |
3. Innovation in Fintech and AI
Artificial Intelligence and fintech represent growing segments of the tech industry, and they are areas that many tech startups are targeting. Kazakhstan possesses one of the most advanced digital e-commerce ecosystems in the world that is led by companies like Kaspi.kz. This emphasis on fintech and an increased demand for digital wallets and other financial applications has made Kazakhstan an incredible starting point for many tech companies. AI-powered applications are another area of focus in the tech industry, and the educational focus on STEM and artificial intelligence in Kazakhstan have laid the groundwork for many successful startups.
4. Highly-Digital Population
When it comes to access to high-speed internet — not all countries are created equal. The countries and populations with limited access to high-speed internet and high LTE capabilities may find it difficult to grow and thrive in a digital world. Kazakhstan possesses high LTE availability and one of the highest mobile traffic and digital service use rates in the world. With a population that is plugged in and ready to adapt to tech-based applications, the country is an ideal starting point for tech startups that want to hire remote talent.
5. Strategic Time Zone
It is critical for tech startups to get products to market fast, and hiring remote talent in Kazakhstan can provide a competitive advantage due to its time zone. Due to its location, Kazakhstan is 10 hours ahead of tech startups operating on the East Coast of the United States. This allows hiring companies to implement a follow-the-sun product development cycle where remote employees in Kazakhstan can pick up where U.S.-based software developers leave off, creating a nearly 24/7 cycle. This allows U.S.-based tech startups to increase productivity and improve turnaround times for clients.
READ MORE: What Companies Should Be Hiring in Emerging Markets?
Hire Tech Talent in Emerging Markets with Truss
Are you a tech startup looking for a competitive edge? Hiring remote talent in emerging markets around the world may be the solution with lower costs and a deep talent pool — but where should you hire and how do you accomplish that goal?
Kazakhstan has solidified itself as an emerging market for tech startups in Central Asia, and Truss provides a global hiring platform that promises to open the door to wealth of talent. Truss has years of experience finding, recruiting, hiring, onboarding, and managing talent in Kazakhstan and other parts of the world. We will put our experience to work for you and your tech startup to find applicants that meet your skill and salary requirements, and when you have found the right fit, we will manage your global payroll and ensure you remain compliant with local labor laws as your employer of record in Kazakhstan.
Contact Truss today to hire tech talent in emerging markets like Kazakhstan!
