Blockchain Technology for Preventing Financial Fraud in Kazakhstan’s Construction Sector: Comparative Insights

2026

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DOI 10.48081/bgqf1797
Data confidence 70 medium
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Abstract

This article examines how blockchain technology can mitigate financial fraud in Kazakhstan’s construction sector and situates Kazakhstan’s experience within broader digitalisation trends in Uzbekistan and Kyrgyzstan. The study uses a qualitative, comparative design based on a systematic review of recent peer-reviewed articles (2020–2025), policy reports, and authoritative news sources on blockchain-enabled public procurement, digital public finance, and construction management in Central Asia. The analysis shows that blockchain’s core properties—immutability, shared traceability, and smart-contract automation—map directly onto fraud-prone stages of public construction projects, including tendering, contract execution, and material supply. Pilot projects such as Kazakhstan’s “digital tenge” central bank digital currency (CBDC) and related initiatives in Uzbekistan and Kyrgyzstan suggest that distributed ledgers can improve auditability, reduce opportunities for bid-rigging and invoice fraud, and create verifiable supply-chain records, although limited legal recognition of smart contracts, governance issues in permissioned blockchains, and capacity gaps among officials and suppliers constrain impact. Keywords: blockchain, financial fraud, construction industry, public procurement, anti-corruption.