As soon as the economy of Kazakhstan is highly resource‐oriented despite numerous efforts to change the structure of the national economy, constant assessment of the scientific and innovation sphere of the country is actual and important. By way of qualitative, quantitative, comparative, and descriptive analysis 13 indicators related to science and innovations were investigated to define the level of scientific and innovative development in Kazakhstan. Science and innovation in Kazakhstan are under‐financed and state‐based financing of innovative activities seems to be ineffective, and the innovations are still unprofitable. The scientific human capital is affected by “brain drain,” when best graduates go into business or leave the country to build careers in better financial conditions. Eight indicators are found to be universal and comparable for various countries, and can be applied with the purpose of defining the level of scientific and innovative development of a country or countries. The results of the study can be applied by governmental officials for developing policies related to science and innovations. The methods, set of indicators, and findings of the study can be used by other researchers for investigating and comparing the level(s) of scientific and innovative development in other country or countries.

The purpose of the research is to develop theoretical, scientific, methodological and practical provisions for the formation of a production management system of innovative potential based on increasing the competitiveness of the agricultural industry, aimed at ensuring food security in Kazakhstan. Originality of the research. The article shows that the innovative type of economic development requires the development of a competitive innovative potential product, the implementation of the principles of continuous improvement, the search and use of production organization for its effective production. The necessity of forming mechanisms for identifying and using organizational reserves to increase the efficiency of production of innovative potential products is also determined. This opened up the possibility of creating and developing conditions conducive to the mobilization of domestic reserves. Research result. Despite the solution of many theoretical and applied problems reflected in the works of these authors, a General approach to the classification of organizational reserves for improving the efficiency of production of scientific-intensive products is not currently formed, and the issues of forming a mezzanine for identifying and using, and evaluating the level of production efficiency require further improvement.

The importance of innovation in ensuring the development of a modern economy has been recognized in Kazakhstan not only in the works of specialists, but also in the position stated by the state. However, from understanding the importance of innovation in the context of economic development to understanding its real significance in the economic development of the country, and even more so - to develop an effective policy that ensures the active use of innovation to ensure economic and social progress, a very difficult path runs. Regulation of innovation in a modern market economy is a complex system of state, public and corporate institutions that serve and regulate innovation processes in order to ensure the fullest use of their potential. A set of institutions and organizations that cover all stages and areas of the innovation process, and currently forms a national innovation system in developed market economies. The trend of transition to an innovative way of development and the formation of a national innovation system is currently an important direction in economic science. This makes it particularly important to theoretically understand the essence of the innovation process in the economy and ways to improve the effectiveness of state regulation of innovation. Thus, the development of a mechanism for activating innovation activities within the framework of the state regulation system is one of the most acute socio-economic problems. The obvious relevance, great practical significance and lack of development of the indicated problem led to the choice of the topic of the dissertation research, its goals and objectives. In the scientific article, the conditions for effective innovation activity of economic entities are identified and based on them, recommendations are developed to improve the mechanism for increasing innovation activity within the system of state regulation of innovation activity of the Kazakh economy.

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