Analytical aspects of budgeting in the agro-industrial complex of Kazakhstan

Economic Annals-XXI: Volume 214, Issue (3-4), Pages: 49-57

Citation information
Abisheva, Zh., Zhunissova, G., Telagussova, E., Sultanova, B., & Arystambayeva, A. (2025). Analytical aspects of budgeting in the agro-industrial complex of Kazakhstan. Economic Annals-XXI, 214(3-4), 49-57. doi: https://doi.org/10.21003/ea.V214-07

Zhumakul Abisheva
PhD (Economics),
Al-Farabi Kazakh National University
71 Al-Farabi Ave., Almaty, 050040, Republic of Kazakhstan
shuma7@mail.ru
ORCID ID: https://orcid.org/0009-0008-6195-9780

Gulnar Zhunissova
PhD (Economics),
Acting Associate Professor,
Al-Farabi Kazakh National University
71 Al-Farabi Ave., Almaty, 050040, Republic of Kazakhstan
Zhunysova.gulnar@gmail.com
ORCID ID: https://orcid.org/0000-0003-3577-0876
Corresponding author

Elmira Telagussova
PhD (Economics),
Abai Kazakh National Pedagogical University
13 Dostyk Ave., Almaty, 050010, Republic of Kazakhstan
eltel7@mail.ru
ORCID ID: https://orcid.org/0009-0002-9020-4391

Bakyt Sultanova
PhD (Economics),
Associate Professor,
Al-Farabi Kazakh National University
71 Al-Farabi Ave., Almaty, 050040, Republic of Kazakhstan
bbakut_sul@mail.ru
ORCID ID: https://orcid.org/0000-0002-7229-9203

Almira Arystambayeva
MA (Economics),
Senior Lecturer,
Al-Farabi Kazakh National University
71 Al-Farabi Ave., Almaty, 050040, Republic of Kazakhstan
Arystambaeva.Almira@kaznu.edu.kz
ORCID ID: https://orcid.org/0000-0003-3849-8193

Analytical aspects of budgeting in the agro-industrial complex of Kazakhstan

Abstract. Introduction: This study examines accounting and analytical support systems for cost budgeting across 147 agricultural enterprises in Kazakhstan (2021-2024), addressing critical gaps in management accounting practices within the agro-industrial complex following adoption of the Industrial Agriculture Development Concept (2021-2030).

Methods: Mixed-methods approach combining quantitative panel data analysis with institutional assessment. Budgeting system maturity scores calculated using adapted KPMG management accounting framework (86 indicators) from financial statements and management reports. Production and cost data sourced from Bureau of National Statistics, Ministry of Agriculture, and enterprise accounting systems. Panel regression with fixed effects examined budgeting-efficiency relationships for stratified sample covering wheat, livestock, and vegetable production enterprises (2021-2024).

Results: Mean budgeting system maturity scores increased from 38.4/100 (2021) to 54.7 (2023), representing 42.4% improvement, with substantial variation (22.1 to 81.6). Large agricultural enterprises achieved 76.2 (2023), outperforming medium-sized entities (51.3) by 48.6%. Cost budgeting implementation reached 63.8% adoption, versus production budgeting (58.2%) and cash flow budgeting (47.3%). Regression reveals significant efficiency association (cost-to-revenue ratio coefficient -0.0342, p = 0.008): each 10-point budgeting score increase associates with 3.42% efficiency improvement. Only 34.7% established comprehensive budgeting frameworks; 18.4% adopted activity-based costing despite 67.8% multi-product operations.

Discussion: Budgeting implementation remains at intermediate stages with stratification by enterprise size. Large enterprises demonstrate advanced practices while small-medium producers face capacity constraints. Significant budgeting-efficiency relationship suggests cost management channels dominate over revenue optimization. Limited activity-based costing adoption represents critical gap given diversified production structures.

Scientific Novelty: Provides original evidence of management accounting development in resource-dependent agricultural systems, demonstrating budgeting-efficiency relationships differ from industrial sectors. Quantifies accounting infrastructure gap: only 23.1% conduct variance analysis despite 78.4% experiencing seasonal cost fluctuations.

Practical Implications: Findings support targeted technical assistance for small-medium agricultural enterprises developing budgeting capabilities. Results inform phased digitalization implementation with infrastructure support. Budgeting-efficiency relationship validates management accounting business case beyond compliance.  Keywords: cost budgeting, management accounting, agro-industrial complex, agricultural enterprises, Kazakhstan, operational efficiency, business processes, budget variance analysis.

Keywords: Budgeting and Expenditures; Management Structure; Agro-Industrial Complex; Agricultural Enterprises; Kazakhstan; Methodological Framework; Development of Regional Potential

JEL Classification: M41; Q12; O13; M49; Q14

Acknowledgements and Funding: The authors received no direct funding for this research.

Contribution: The authors contributed equally to this work.

Data Availability Statement: The dataset is available from the authors upon request.

DOI: https://doi.org/10.21003/ea.V214-07

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Received 20.01.2025
Received in revised form 2.02.2025
Accepted 26.02.2025
Available online 29.04.2025