Energy and Economy

 

EBRD Records €2.26 Billion Investment in Central Asia in 2024

The European Bank for Reconstruction and Development (EBRD) set a new investment record in Central Asia, committing €2.26 billion to 121 projects in 2024, nearly doubling its 2023 investment. Key recipients were Uzbekistan (€938 million) and Kazakhstan (€913 million), making them fifth- and sixth-largest investment recipient countries from EBRD globally. Other investments included €264 million for Mongolia, €88 million for Tajikistan, and €52 million for Kyrgyzstan. Over 60% of the funds supported sustainable infrastructure, with significant improvements in renewable energy and grid infrastructure across the region.

Source: Daryo

Uzbekistan and Türkiye Sign Action Plan to Boost Tourism

Uzbekistan and Türkiye have signed an agreement and Action Plan to enhance tourism cooperation, focusing on having more frequent flights, joint promotions, and cultural exchanges. The plan also includes museum collaborations, co-productions of historical and cultural films, and the implementation of the “Turkish-friendly” program in Uzbekistan. Uzbekistan’s hotels and restaurants will introduce Turkish-language signs and joint dining experiences to better accommodate Turkish visitors. The initiative also aims to attract Turkish tourism operators, restauranteurs, and investors. Turkish companies currently run 12 hotels and over 100 restaurants in Uzbekistan, with plans to develop 11 new hotel projects worth $167.9 million by 2026.

Source: Daryo

Russia in Talks to Build Second Nuclear Power Plant in Iran

Iranian media have quoted the head of Russia’s Rosatom state-run nuclear energy firm as saying Russia and Iran are currently in talks to build a second nuclear power plant (NPP) in Iran. Conversations about a new NPP have reportedly been ongoing for months and were a subject of conversation during Iranian President Masoud Pezeshkian’s January visit to Moscow. Iran already has one Rosatom-built NPP, the Bushehr nuclear power plant, which is partially operational but still under Rosatom construction.

Source: BNE IntelliNews

Kazakhstan Moves Forward with First Nuclear Power Plant Amid International Competition

Kazakhstan has selected the village of Ulken, near Lake Balkash, as the site for its first nuclear power plant, with the final location to be confirmed after engineering surveys. Energy Minister Almasadam Satkaliyev stated that Kazakhstan plans to build three reactors in response to an increasing energy deficit. The government aims to award the construction contract by the end of 2025, with four contenders in the running: Russia’s Rosatom, China’s National Nuclear Corp., France’s EDF, and Korea Hydro and Nuclear power. While Rosatom is widely seen as the frontrunner, the United States has also expressed interest in expanding its civil nuclear energy presence in Central Asia, including in Uzbekistan and Kyrgyzstan, both of which are also pursuing nuclear power development.

Source: Eurasianet

Tajikistan Approves Industrial Park Deal with Russia

Tajikistan’s president Emomali Rahmon has approved a draft agreement with Russia to establish an industrial park in Tajikistan, following a meeting that also reviewed several major initiatives. The government discussed a 2025-2030 program for developing uranium ore processing sites to mitigate contamination from past operations. Additionally, officials introduced a program to enhance vocational training and employment opportunities for convicts and recently released people. The meeting also covered plans to expand textile and mining industries, boost mineral and agricultural processing, and strengthen energy independence through increased energy production, including green energy projects.

Source: Trend News Agency 

Türkiye Confirms First Delivery of Turkmen Gas

During an interview with Turkish television channel A Haber on March 2, Minister of Energy and Natural Resources of Türkiye Alparslan Bayraktar confirmed that the supply of natural gas from Turkmenistan to Türkiye has started, according to the agreement signed between the two countries in February. "We are currently supplying this gas (from Turkmenistan) through Iran via barter (gas swap). This agreement is very important for the security of Türkiye's supplies and for expanding and diversifying gas sources," Bayraktar said. According to Bayraktar, in the medium and long term, transporting Turkmen gas to Türkiye and Europe via a pipeline across the Caspian Sea would “actually be the most ideal and correct way, both technically and commercially." 

Source: Interfax

Politics and Security 

 

Kazakhstan’s Prime Minister Visits Azerbaijan to Discuss Joint Energy Projects

On March 3, Prime MInister of Kazakhstan Olzhas Bektenov conducted a visit to Baku, Azerbaijan. In Baku, Bektenov held meetings with his Azerbaijani counterpart Ali Asadov, as well as with President of Azerbaijan Ilham Aliyev. During the meetings, special attention was given to the cooperation between the two countries in the transport-logistics and energy sectors. It was mentioned that in 2024, the volume of cargo transportation along the Trans-Caspian International Transport Route increased by 62% and reached 4.5 million tons. Additionally, the sides discussed opportunities to increase the transportation volume of Kazakh oil via the Baku-Tbilisi-Ceyhan pipeline. The sides also reviewed the integration of Azerbaijan and Kazakhstan’s energy systems through the underwater cable line agreement signed under COP29. Following the meetings, several bilateral documents were signed, including for the design and construction of an underwater fiber-optic communication line between Kazakhstan and -Azerbaijan. 

Source: Kazinform, Interfax, Trend News Agency

Washington Halts Joint U.S.-Armenia Programs

According to statements made by Armenian officials, several joint initiatives outlined in the January strategic partnership agreement with the United States have been put on hold by Washington. These include an expected visit to Armenia by a delegation of U.S. Customs and Border Protection officials, among other programs. The exact reason for the decision to halt these programs appears unclear, but the strategic partnership agreement had originally been signed under the out-going administration of President Joe Biden. The mass disruption to U.S. foreign assistance programs also seems to be a contributing factor, with the Armenian Interior Ministry reporting that a United States-Armenia cyber tech lab had been “temporarily halted because of the latest developments in the U.S. pertaining to foreign programs.”

Source: OC Media

Source: Eurasianet , Civil.ge

Abkhazia Elections Saturday 

The Russian-occupied separatist-governed Georgian territory of Abkhazia held local elections on March 1 for the territory’s de facto “presidency.” Badra Gunba emerged victorious, claiming a 54.7% vote share, even as his opponent claimed Russian rigging. The Kremlin had endorsed Gunba in the run-up to the local vote, hosting him for high-profile meetings in Moscow that produced significant financial and energy assistance for Abkhazia. In the last year, Russia has aggressively pushed for greater economic and political integration with Abkhazia, with Gunba’s predecessor having been overthrown because he agreed to allow Russian investments in the territory. Gunba had promised to strengthen ties with Russia.

Source: JAM News

Armenia’s Deputy FM: EU-Armenia Agenda Almost Finalized

During the fourth meeting of the EU-Armenia Parliamentary Partnership Committee in Yerevan, Armenia’s Deputy Foreign Minister Paruyr Hovhannisyan stated that negotiations on a new EU-Armenia agenda are “almost accomplished.” Hovhannisyan added that a finalization of the document would “mean an upgrade of our bilateral ties.” In February, Armenia’s parliament passed the initial reading of a bill supporting a perspective Armenian bid for EU membership. The next step following the shared agenda’s finalization, as reported by Hovhannisyan, would be a "Comprehensive and Enhanced Partnership Agreement.”

Source: OC Media

In Contested UN Vote On Ukraine, Caspian Region Abstains

On February 24, a European-backed United Nations resolution marking the third anniversary of the Russian invasion of Ukraine and assigning Russia blame for the war passed despite the United States’ notable vote against the measure. While the United States joined Russia, North Korea, and Belarus in voting against the resolution, the eight countries of the South Caucasus and Central Asia all abstained or were absent for the vote. However, Türkiye, that has strong relations with much of the Caspian region, voted in favor of the motion. Since Russia’s 2022 invasion of Ukraine, much of the Caspian region has trod a careful path not to provoke Russia even while not endorsing Moscow’s war.

Source: Associated Press 

Kazakhstan Strengthens Ties to Morrocco

On February 28, Kazakhstan’s Foreign Minister Murat Nurtleu arrived in Morrocco for an official diplomatic trip seeking to increase ties between the two countries. While there, Nurtleu stated that trade turnover between Kazakhstan and Morrocco had increased 70% in 2024, reaching $274 million. He also announced that 2025 would see the introduction of a visa-free regime for Kazakhstan-Morrocco travel. If realized, it would be the first visa-free regime between Kazakhstan and an African country. 

Source: Astana Times