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The article deals with issues and challenges related to the transition of Kazakhstan’s economy to industrial-innovative development, including the main causes for low innovation activities of enterprises, and peculiarities of the development of an effective mechanism to finance innovation activities and to strengthen the country’s intellectual capital Currently, countries that implement long-term innovative development strategies satisfying the needs of a diverse market have competitive advantages in the market. The present research enables us to identify and analyse problems of formation and development of Kazakhstan’s industrial and innovative economy, namely the lack of application of research results in business, inadequate and ineffective funding (both public and private) of innovation activities, as well as little support and encouragement for scientists as major participants in innovation activities. It has been concluded that nowhere in the world has a national innovation system been formed by the market or private sector alone. Kazakhstan is not an exception. Therefore, the state must play the leading role in both promoting the results of R&D and innovation activities in the market and creating the national innovation system.

Problems of developing the foundations of sustainable competitiveness of industrial and innovative economy in Kazakhstan