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Aitu Messenger

Kazakhstan Considers National Messaging App Aitu for Insurance Companies

Kazakhstan’s Agency for Regulation and Development of the Financial Market is considering the use of the domestic messaging platform Aitu for remote communication between insurance companies and other non-bank financial institutions and their clients. According to Bloomberg, the regulator has recommended that market participants consider using the Kazakh-developed messenger Aitu as a communication tool. Sources cited by the publication said that insurance and brokerage firms received proposals last month regarding the potential use of the platform, partly aimed at strengthening personal data protection. Market participants expressed concerns, pointing to Aitu’s relatively small user base, limited functionality, potential integration costs, and the absence of clear regulatory guidelines for handling personal and financial data on such platforms. In response, the regulator clarified that the use of Aitu is not being considered mandatory, but rather as an additional secure communication channel between financial institutions and their clients. “This issue is being considered by the Agency in connection with the need to strengthen information security, including the protection of personal data amid rising fraud in financial services. The initiative is also aimed at standardizing communication channels between financial organizations and their clients,” the agency said in a statement. According to the regulator, Aitu’s infrastructure ensures a high level of data protection, in part due to the physical localization of servers within Kazakhstan. This, it argues, reduces risks associated with cross-border data transfers and potential interception of financial information. Additional security features include end-to-end encryption, with access keys stored only on users’ devices, as well as the Aitu Passport system, which incorporates biometric identification and a cloud-based electronic digital signature. The regulator states that these tools provide legally valid user verification and help minimize risks such as phishing and identity theft. The agency also noted that the use of open APIs and business dashboards would allow financial institutions to integrate their systems with the platform at relatively low cost, making use of national digital infrastructure. Government agencies and quasi-state companies had earlier been encouraged to adopt Aitu for official communications. As previously reported by The Times of Central Asia, the rollout of the national messenger has sparked broader debate over the balance between cybersecurity and internet freedom in Kazakhstan.

Hydrogen Energy

Kazakhstan and China Launch Hydrogen Energy Technology Innovation Center

Kazakhstan and China have expanded cooperation in clean energy with the launch of the China-Kazakhstan Hydrogen Energy Technology Innovation Center at Al-Farabi Kazakh National University in Almaty on April 9. The center is part of Kazakhstan’s strategy to build a modern technological base linking science, education, and industry in support of the country’s transition to low-carbon energy. Speaking at the opening ceremony, Energy Minister Yerlan Akkenzhenov highlighted the importance of international partnerships in the development of the energy sector. “Hydrogen energy is one of the strategic priorities for the development of the energy sector. The Concept adopted in 2024 laid the legal and economic foundation for the creation of a new industry aimed at decarbonizing the economy. The new center should become a key platform for training next-generation engineers, conducting applied research, and rapidly introducing innovations into production,” Akkenzhenov said. As part of the ceremony, Al-Farabi Kazakh National University, Shanghai Jiao Tong University, and Energy China International Corporation signed a trilateral memorandum of understanding outlining the center’s operational framework. The agreement includes expanding scientific and technical cooperation, facilitating technology transfer, and promoting academic exchange. The partners also plan to conduct joint research, test hydrogen technologies, and launch pilot projects, with a particular focus on the commercialization of innovations and their integration into Kazakhstan’s industrial sector. The development of hydrogen energy is a key element of the global transition to cleaner energy systems. According to Kazakhstan’s Ministry of Energy, the country has significant potential in this field due to its natural resource base and growing renewable energy capacity. Cooperation with Chinese technology partners is expected to strengthen Kazakhstan’s position in emerging energy markets and support industrial modernization. During the ceremony, Zhanseit Tuimebayev, chairman of the board and rector of Al-Farabi Kazakh National University, highlighted the evolving role of universities as drivers of economic and technological development. “Universities today are not only centers for training specialists but also key drivers of economic growth, technological development, and national competitiveness. Al-Farabi National University has consistently pursued this mission, transforming itself into a new type of university, one that not only educates, but also develops technologies, shapes markets, and acts as a full-fledged partner to the state and industry,” Tuimebayev said.

Economic Growth

ADB Growth Forecast Points to Strong Expansion in Tajikistan

Asian Development Bank (ADB) forecasts that Tajikistan’s economy will maintain strong growth over the next two years, driven primarily by industrial expansion and the services sector. In its latest Asian Development Outlook (April 2026), the bank projects that gross domestic product will grow by 7.3% in 2026 and 6.8% in 2027. This follows an estimated 8.4% expansion in 2025, indicating a slight moderation but continued robust performance. ADB attributes the outlook to improving industrial competitiveness and rising value-added production, which are expected to support long-term economic development and job creation. “Tajikistan’s strong growth opens up opportunities to accelerate job creation,” said Ko Sakamoto, ADB country director for Tajikistan. “By developing competitive, value-adding industries from food processing and textiles to mineral products, the country can translate growth into more and better jobs.” At the same time, inflation is projected to rise to 4.0% in 2026 and 4.5% in 2027. According to ADB, this increase will be driven by stronger consumer lending, remittance inflows, higher public sector wages, supply chain pressures, and adjustments to utility tariffs. The bank noted that the outlook remains subject to revision given the uncertain regional environment. Despite recent gains, ADB cautioned that Tajikistan’s economic structure remains vulnerable. While industrial output has grown, the country continues to depend heavily on a narrow range of products. Exports are dominated by raw materials and low- to mid-level processed goods, with higher value-added manufactured products accounting for less than 10% of total merchandise exports. To address these challenges, the report recommends a broader, ecosystem-based industrial policy. This would involve support for specific sectors, along with improvements in infrastructure, workforce skills, access to finance, and the overall business environment. ADB’s earlier assessments highlight mixed socioeconomic trends. While poverty has declined significantly from 30.9% in 2020 to 19.9% in 2024, inequality and structural constraints continue to pose challenges to long-term development.

Energy Transition

Investments, Resources, and Digital Transformation: How Central Asia Can Preserve Its Strategic Balance

Rising global demand for critical resources, the accelerating green transition, and the digitalization of the economy are turning Central Asia from a peripheral region into one of the key arenas of geoeconomic competition. Kazakhstan and its neighbors are increasingly in the focus of the United States, China, the European Union, and the Gulf states—as sources of raw materials, sites for infrastructure projects, and markets for the implementation of digital solutions. Under these conditions, the key question is no longer the volume of investment, but control over its quality, structure, and long-term consequences. The resource factor: from raw materials to a geoeconomic asset Central Asia is now becoming a strategic storehouse for the global green transition and high-tech industries. The region possesses enormous reserves of critical raw materials: Kazakhstan leads the world in uranium production, at about 40% of the global market, while deposits of copper, lithium, cobalt, uranium, and rare metals across Kazakhstan and the wider region are making Central Asia an increasingly important link in clean-energy and high-tech supply chains. Investment activity in the extractive sector is stimulating the development of related high-tech industries within the region. Global players are increasingly coming not simply for raw materials, but with proposals to localize processing. Thus, in November 2024, Kazakhstan’s first tungsten processing plant began operating at the Boguty deposit in the Almaty region. The project, valued at $300 million, is being implemented by Aral Kegen, a subsidiary of Jiaxin International Resources Investment. In addition, in the East Kazakhstan region, with the participation of the German mining company HMS Bergbau AG, two new industrial enterprises specializing in lithium extraction and processing are planned by 2029. Work is underway on the construction of a mining and processing plant, as well as a pegmatite ore processing facility. This allows the countries of the region to move away from the “quarry” model toward the model of a technological hub, where natural wealth becomes leverage for gaining access to Western and Eastern innovation. Investment transformation: from capital to ecosystems The traditional model, focused on extraction, is gradually giving way to the formation of value-added ecosystems. This presupposes the development of processing, the creation of high-tech production, and the formation of a scientific base. Kazakhstan’s national companies, such as Tau-Ken Samruk, Kazatomprom, and KazMunayGas, act as a strategic “anchor” for foreign capital, taking on the primary risks and bureaucratic burden. They absorb part of the early project risk, from licensing and exploration to infrastructure and coordination with the state, making entry into Kazakhstan easier for major foreign investors. This allows the state to retain control over strategic assets while using private capital for accelerated modernization of the sector. The main emphasis today is shifting from raw material extraction to the localization of higher value-added stages. Through the creation of joint ventures, national companies are introducing Western technologies and building plants with high added value, from the production of nuclear fuel assemblies to the manufacture of polyethylene and metal refining. In this way, they integrate Kazakh business...

Clean Energy

Uzbekistan Moves Forward with $6 Billion Biofuel Project in Khorezm

Uzbekistan has announced a major step toward developing large-scale clean energy infrastructure with the signing of a binding implementation agreement for a $6.08 billion biofuel project in the Khorezm region. The Project Implementation Agreement (PIA) was signed between Allied Biofuels FE LLC and the regional government of Khorezm, formalizing plans to build what the developers describe as Central Asia’s first integrated biofuel refinery. The agreement was concluded on April 2 in Perth, Australia, by Khorezm regional governor Jurabek Rakhimov and Alfred Benedict, chairman and general director of Allied Biofuels. According to Allied Biofuels, the project has been granted special economic zone status under a presidential decree, providing tax exemptions and customs incentives aimed at ensuring long-term financial stability and investor confidence. Once completed, the facility is expected to produce sustainable aviation fuel (SAF), electro-synthetic SAF (e-SAF), and green diesel at an industrial scale. Annual output is projected to reach approximately 160,400 tonnes of SAF, 257,000 tonnes of e-SAF, and 5,040 tonnes of green diesel. The refinery will be supported by a large renewable energy system, including battery storage and hydrogen production capacity. The project also incorporates a closed-loop model that converts biogenic carbon dioxide into fuel while using agricultural feedstock as a primary input. Officials say the initiative is designed not only to produce fuel but also to strengthen industrial capacity and introduce advanced technologies. The construction phase alone is expected to generate around 2,000 direct and indirect jobs. Speaking at the signing, Rakhimov said the project would help build a “high value-added industrial chain” in the region and expand export potential. He added that cooperation with Allied Biofuels would support the transfer of advanced green technologies and position Khorezm as “an emerging international hub for green industry.” Benedict described the agreement as “a defining moment” for both the company and the broader clean energy sector. “This project sends an unambiguous message to the global investment community, Uzbekistan is not merely open for business; it is ready to lead,” he said. The project is being developed in partnership with international technology providers, including hydrogen systems supplied by Plug Power. Advisory support for the transaction was provided by Affinity Capital Group.

Air Routes

Turkmenistan’s Air Connectivity Shows Little Change Despite Expansion Plans

Turkmenistan’s airport schedules remain largely unchanged, with no new destinations added and previously announced flights yet to begin operating. Plans to expand international air links from Turkmenistan have been discussed for years, but little has changed in practice. At the end of last year, Russia’s S7 Airlines announced the launch of the Ashgabat-Novosibirsk route starting March 31. Tickets went on sale at the time, with flights planned once a week. However, as of early April, the flights are absent both from the airline’s schedule and from airport data. Only connecting options remain in booking systems. No official explanation has been provided, despite considerable interest in the route. Flights from Turkmenistan to Russia remain in high demand, significantly exceeding supply. Tickets sell out almost immediately despite high prices, which passengers often associate with monopoly conditions and possible corruption schemes. At present, the choice is limited to two routes: S7 Airlines operates Ashgabat-Moscow flights, while national carrier Turkmenistan Airlines serves only the Ashgabat-Kazan route. The limited number of direct routes forces passengers to seek alternatives. One of the most common is transit through Uzbekistan. The neighboring country can be reached by land, and from there dozens of flights to Russian cities are available. At the same time, there is separate demand for travel to Uzbekistan itself, including for business, education, and tourism. Nevertheless, Turkmenistan has no direct air links with any neighboring country. The restoration of flights with Uzbekistan was discussed in 2025 by presidents Serdar Berdimuhamedov and Shavkat Mirziyoyev, but no specific timelines or routes have been announced since. Some travel takes place via Azerbaijan. In the first two months of this year, more than 4,000 citizens of Turkmenistan entered the country. A significant share of these trips is related not to tourism but to obtaining European visas, as doing so from within Turkmenistan is more difficult. Meanwhile, discussions on transport cooperation between Ashgabat and Baku have focused mainly on cargo transportation. The only notable change has been an increase in the number of flights between Ashgabat and Istanbul, driven by the foreign carrier Turkish Airlines.