Energy and Economy 

World Bank Approves Loan to Support KTZ Railway Financing 

The World Bank will provide a loan of $846 million through the International Bank for Reconstruction and Development to help finance the Kazakhstan Temir Zholy’s (KTZ) railway modernization initiative. The initiative aims to improve logistics and connectivity along the Middle Corridor by developing a new railroad segment between Mointy and Kyzylzhar and reduce detours on the transit route. KTZ also plans to provide technical assistance through tariff reforms.  

Sources: Times of Central Asia, Railway Pro 

Kyrgyzstan Trading Chinese Cars for South Korean 

According to data released from the Kyrgyz National Statistical Committee, Kyrgyzstan is increasing car imports from South Korea and cutting back on Chinese vehicles. The largest exporter of cars to Kyrgyzstan last year was 60,000 from South Korea, 15,800 more than in 2024. During the same time period, China exported 49,500 cars to Kyrgyzstan, a decrease of 17,200. 

Source: Sputnik Kyrygzstan 

Energy Prices Surge Amid Escalating Iran Conflict 

Crude oil and natural gas prices have surged as Iran, Israel, and the United States continue to exchange strikes across the Middle East. Natural gas prices jumped by nearly 50% on Monday after QatarEnergy, one of the world’s largest exporters, halted production following reported military attacks on its facilities. Meanwhile, Brent crude prices jumped about 10%, surpassing $82 per barrel, after at least three ships were attacked near the Strait of Hormuz over the weekend. Iran subsequently warned vessels against transiting the strategic waterway, through which roughly 20% of global oil and gas supplies pass. 

Source: BBC 

European Commissioner for Energy: “Azerbaijan’s Contribution to European Energy Diversification Will Only Grow in Importance” 

In an interview with Trend News Agency, European Commissioner for Energy and Housing Dan Jørgensen commented on the continued partnership and shared strategic interest between Azerbaijan and the European Union. “In these challenging times, Azerbaijan has played a crucial role in helping Europe diversify away from Russian gas — and that contribution will only grow in importance, given that we now have a full ban on Russian gas imports in the EU,” Jørgensen said. He also added that since the start of the war in Ukraine,  Caspian gas has been instrumental in reducing EU dependence on Russian imports — from 45% of European gas supply to just above 10% this year. 

Source: Trend News Agency 

Politics and Security 

Regional Reactions to Conflict in Iran 

Following missile strikes in Iran from Israel and the United States, Central Asian and other regional leaders have sent condolences to the Iranian leadership over the death of Ayatollah Ali Khamenei. President Ilham Aliyev of Azerbaijan, President Emomali Rahmon of Tajikistan, President Recep Tayyip Erdoğan of Türkiye, and President Shavkat Mirziyoyev of Uzbekistan either called or sent letters expressing their condolences. Both Azerbaijan and Türkiye have also called for the cessation of hostilities between all parties involved.  

Sources: Vestnik Kavkaza, Vestnik Kavkaza, Vestnik Kavkaza, Times of Central Asia, Zamin, Asia-Plus 

Armenia, Azerbaijan, Türkiye, and Turkmenistan Maintain Border Crossing Checkpoints with Iran for Evacuations 

Following missile strikes on Iran by Israel and the United States, border checkpoints in Armenia, Azerbaijan, Türkiye, and Turkmenistan have remained open to facilitate the evacuation of foreign diplomats, business travelers, and tourists departing Iran. Embassies of several foreign countries—including those of Russia and China—have advised their citizens to depart Iran via the following land border checkpoints: Astara Border Crossing (Iran–Azerbaijan), Sarakhs Border Crossing (Iran–Turkmenistan), Nordooz Border Crossing (Iran–Armenia), and Razi, Bazargan, and Sero Border Crossings (Iran–Türkiye). On March 2, Turkish border authorities noted that cargo traffic through all three crossings continued uninterrupted, while day-trip passenger crossings have been mutually suspended as a precaution. They added that Iran continues to allow its citizens to return home via Türkiye, while Türkiye is permitting its own citizens and third-country nationals to enter from Iran. 

Sources: CGTN, Caucasian Knot, Vestnik Kavkaza  

Conflict Between Afghanistan and Pakistan Escalates Once Again 

Islamabad has announced that the two countries are engaged in “open war” as they trade cross-border attacks. Taliban forces claimed they launched an attack on Pakistani forces along the Afghanistan-Pakistan border, which led to retaliatory bombings by Pakistan on the cities of Kabul and Kandahar and in Paktika province. Both Kabul and Islamabad starkly differ in the death tolls they have reported on either side. This latest escalation comes after both sides had struck a peace deal under Turkish and Qatari mediation in October.  Islamabad has continued to claim that Afghanistan is sheltering militant groups that have attacked Pakistani territory.  

Sources: BBC, Associated Press 

Armenia Signs Defense Agreement with Poland 

During Prime Minister Nikol Pashinyan’s February 25-27 visit to Warsaw, Armenia and Poland signed an agreement revolving around the “military-technical sphere.” Pashinyan stated that this agreement highlights Poland’s support for strengthening Armenia’s institutional resilience. Pashinyan’s visit included meetings with Polish Prime Minister Donald Tusk, President Karol Nawrocki, and Senate Marshal Małgorzata Kidawa-Błońska. While speaking with Pashinyan, Tusk voiced Warsaw’s commitment to Armenia within the broader EU framework.  

Sources: Caucasus Watch, The Prime Minister of the Republic of Armenia 

Vucic Visits Kazakhstan 

Serbian President Aleksandr Vucic traveled to Astana on February 26-27, where he met with Kazakhstan President Kassym-Jomart Tokayev. The two heads of state discussed avenues for expanding trade and enhancing cooperation on logistics, critical minerals, and technological sectors. Prior to their meeting, a conference between the Kazakhstan–Serbia Business Council and a Kazakhstan–Serbia Business Forum was held, where several companies signed agreements on technological cooperation and the modernization of defense systems.  

Sources: Astana Times, Euronews