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Somon Air

Somon Air Awaits Boeing Delivery as Tajikistan´s Aviation Sector Grows

Tajikistan’s Somon Air expects the delivery of new Boeing 737 MAX 8 aircraft in the next few months, in a fleet expansion designed to strengthen the airline as a growing player in Central Asia's aviation sector. The national carrier, which aims to offer new intercontinental routes, said its management met a Boeing delegation this month to build on an agreement late last year in which Somon Air selected up to 14 Boeing 787 Dreamliner and 737 MAX aircraft. During the May 15 meeting, “the parties discussed key issues related to the introduction into service of the new Boeing 737 MAX 8 aircraft, whose delivery to Tajikistan is scheduled for July–August 2026,” Dushanbe-based Somon Air said. “The expansion of the fleet with modern aircraft will enable Somon Air to improve the quality of passenger service, expand its route network, and strengthen its position in the regional civil aviation market,” the airline said. Established in 2008, Somon Air currently operates six Boeing 737 Next Generation airplanes on routes to Germany, the United Arab Emirates, Turkey, China, India, Iran, Saudi Arabia, Russia, Kazakhstan and Uzbekistan. It has a total of 25 destinations. Tajikistan’s international routes traditionally focused on Russia, the destination for many migrants from Central Asia. According to Boeing, the new aircraft for Somon Air will deliver a 20–25% fuel-use improvement compared to the airplanes they replace and enable lower seat and maintenance costs. In another sign of commercial aviation growth in Tajikistan, Shohin Airlines, a new private airline registered in the country, said in April that it was in the final stage of acquiring four planes from the Airbus A320neo line of aircraft. Shohin Airlines, which operates helicopters for specialized flights, wants to make a significant expansion into commercial passenger traffic. It had announced a $200 million investment from a European investment fund. In 2025, Tajikistan introduced an Open Skies policy in which civil aviation authorities lifted many market restrictions. The move came two years after a 2023 study in which the World Bank said airport charges in Tajikistan were very high and that refueling costs were among the most expensive in Central Asia. The agency recommended market deregulation as a way to encourage competition, leading to better prices for passengers, more efficient service and route diversification.

Astana LRT

Astana Launches First Light Rail Transit Service After Years of Delay

Kazakhstan has officially launched Astana’s long-awaited light rail transit (LRT) system, connecting the capital’s international airport with Nurly Zhol railway station. President Kassym-Jomart Tokayev took part in the inauguration ceremony despite previously expressing doubts about the project’s viability. The Astana LRT project, envisioned as a high-speed elevated transport system designed to bypass road congestion, was first launched in 2011. Authorities initially planned to complete construction by 2017, ahead of the international EXPO exhibition hosted in the capital. However, the project was suspended in 2013 because of rising costs. In 2015, Astana’s city administration attempted to revive the initiative with the participation of a consortium of Chinese companies, China Railway International Group Limited and Beijing State-Owned Assets Management Co., Ltd., but the contractors later withdrew because of financing problems. [caption id="attachment_49015" align="aligncenter" width="2560"] @Akorda[/caption] In 2019, criminal investigations were launched over allegations of inflated project costs and embezzlement of public funds allocated for construction. Former Astana LRT chief Talgat Ardan and former deputy mayor of Astana Kanat Sultanbekov were accused of embezzling nearly 30 billion KZT (approximately $79 million at the exchange rate at the time). In May 2023, both men were sentenced in absentia to seven years in prison. Ardan was detained in Turkey in May 2025 following an extradition request by Kazakhstan. However, to date, he has not been extradited because the legal assistance agreement between Kazakhstan and Turkey does not specify deadlines for extradition procedures. [caption id="attachment_49041" align="aligncenter" width="2560"] @Akorda[/caption] Despite Tokayev’s initial skepticism about the LRT project’s practicality, city authorities ultimately decided to complete construction. The system officially entered service this weekend, with Tokayev personally attending the launch ceremony. During a visit to the Unified Dispatch Center, which is responsible for monitoring and regulating Astana’s public transport system, including the LRT network, Tokayev described the opening as significant not only for Astana but for Kazakhstan as a whole. Tokayev said the capital should eventually become a major transportation hub for Eurasia. [caption id="attachment_49016" align="aligncenter" width="2560"] @Akorda[/caption] After receiving passenger card No. 001, Tokayev became the system’s first official passenger, traveling from the airport to the National Museum station. Astana Mayor Zhenis Kassymbek said a dedicated dispatch service for the LRT system has been established. Twenty-one specialists are involved in monitoring and regulating the city’s public transport network. Each LRT train can carry more than 600 passengers. The 22.4-kilometer line will operate with 15 trains, while four additional trains will remain in reserve. The trains operate in fully automated driverless mode. Train acceleration, braking, door operations, and emergency response systems are entirely automated, although manual control and communication with dispatchers remain available as backup systems. The new infrastructure includes 18 stations and a modern depot facility. Travel time across the entire route is expected to take approximately 40 minutes, with average speeds of 50-60 kilometers per hour. Trains are scheduled to run at intervals of five to six minutes. [caption id="attachment_49017" align="aligncenter" width="2560"] @Akorda[/caption] Authorities are already discussing a second expansion phase of the LRT network. Planned future...

Critical Minerals

Central Asia Seeks More Local Value From Critical Minerals

Rising demand for critical minerals is drawing Central Asia deeper into global supply chains, but the region’s harder test is not whether it has the deposits. It is whether more value can stay at home. Copper, tungsten, graphite, antimony, rare earths and other metals now sit at the center of battery production, power grids, chips, weapons systems, and renewable energy. Governments across the region want the sector to bring capital, jobs, and technology. The risk is another cycle in which raw materials leave the region, and most of the value is created elsewhere. The scale of the region’s reserves explains why outside interest is rising. An OECD review of critical raw materials in Central Asia says the region holds 39% of global manganese ore reserves, 31% of chromium, 20% of lead, 13% of zinc, 9% of titanium, 6% of aluminum, and 5% each of copper, cobalt, and molybdenum. The same review says Kazakhstan can export 21 of the 34 critical raw materials on the EU list, while Kyrgyzstan has the world’s third-largest antimony reserves, and Uzbekistan has the world’s eleventh-largest copper reserves. Uranium widens the picture: Kazakhstan is the world’s largest uranium producer, accounting for 39% of mined uranium supply in 2024, according to the World Nuclear Association. Kazakhstan has moved fastest in turning this base into policy. The prime minister’s office says the country will spend about $500 million over three years on geological exploration and modernizing infrastructure. The plan includes seismic surveys, new data systems, and a geological cluster in Astana. The government wants to raise geological study coverage to 2.2 million square kilometers. President Kassym-Jomart Tokayev has linked the sector to Kazakhstan’s wider industrial plans. In his 2025 state-of-the-nation address, Tokayev said the mining and metallurgical complex still had “significant growth potential, particularly in the production of high-value-added products.” New discoveries have sharpened that push. Kazakhstan’s industry ministry said in 2025 that geologists had identified the Zhana Kazakhstan rare earth site, with estimated resources of more than 20 million metric tons. The site contains neodymium, cerium, lanthanum, and yttrium. Officials have also cited the Kuirektykol site in the Karaganda Region, where confirmed reserves are estimated at 795,800 tons, with total resources estimated at 935,400 tons. Uzbekistan is making its strongest move in copper and processing capacity. In March, President Shavkat Mirziyoyev launched Copper Concentrator No. 3 at the Almalyk Mining and Metallurgical Complex. The $2.7 billion facility is designed to process 60 million tons of ore and produce about 900,000 tons of copper concentrate per year. Once fully operational, it is expected to raise daily concentrate output at Almalyk from 2,400 tons to 5,000 tons. Uzbekistan’s minerals push has also drawn U.S. support. Uzbekistan and the United States signed a memorandum on critical minerals and rare earth supply chains in February, giving Tashkent a clearer place in Washington’s effort to diversify critical minerals supply chains beyond China. The U.S. International Development Finance Corporation later signed a Joint Investment Framework with Uzbekistan, stating that this would “promote cooperation...

Food Security

Turkmenistan Pushes for Food Security with International Help

As Turkmenistan works to modernize food production, representatives from dozens of foreign companies were in the country this week for meetings on the agricultural and food industries as well as the packaging of goods. The Agro Pack Turkmenistan-2026 event reflected the Central Asian country’s efforts to turn the corner on reported food shortages, import dependence and high prices over many years – and evolve as an exporter. The impact of climate change on farming yields, along with recent shipping disruptions and higher fuel and transport costs linked to the Iran war, pose challenges to many regions working to maintain a stable supply. The Food and Agriculture Organization, a U.N. agency dedicated to food security, signed a deal to open an office in Turkmenistan in January as the country stepped up its campaign to improve production and quality with international help. Visiting Turkmenistan at the time, FAO Director-General Qu Dongyu said it was the last country in the region without “representation” of the U.N. agency and that a “turning point” had arrived. “In Turkmenistan, traditional agriculture has its limits,” Qu said. “But through innovation and modern technology, you can unleash the biggest potential of your land in this region.” During his visit, Qu said he had spoken to President Serdar Berdimuhamedov for one hour – far longer than he had expected. This week, Berdimuhamedov said in a message to participants in the May 12-14 Agro Pack conference that the state was coordinating with foreign companies to introduce “high technologies and innovative initiatives into large investment projects.” In addition, the president said, state-backed private Turkmen producers are making progress in “farming, livestock farming, the development of poultry complexes, greenhouse farms, meat and milk processing, the production of confectionery, fruit juices, juices and processed vegetables and melons.” The conference was held at Turkmenistan’s Chamber of Commerce and Industry in Ashgabat and drew diplomats and business executives from Pakistan, Azerbaijan, Türkiye, China, and other countries. Azerbaijani companies participated in the exhibition, according to Azerbaijan’s embassy. One was Gözel Seeds, which has seed breeding operations in Spain, Türkiye, Azerbaijan, and Uzbekistan. In another development, Kirill Zaitov, director of the Russian company AgroExport, said at the conference that there are plans to increase wheat flour supplies to Turkmenistan to 400 tons per day. Currently, the company exports 6,000 tons of products to Turkmenistan every month, according to the Business Turkmenistan website. Reports of food problems, including in Turkmenistan’s military, have persisted until recently. However, Turkmenistan reported a successful spring sowing campaign for potatoes and other crops that aims to increase domestic supply and reduce the need for imports.

Trade

EDB: Central Asian Trade Has Doubled in Five Years

Mutual trade between Central Asian countries reached $12.3 billion in 2025, nearly doubling compared to 2020, according to analysts at the Eurasian Development Bank (EDB). The figure underlines how Central Asia is increasingly emerging as a more interconnected regional market after years of relatively limited internal trade links following the collapse of the Soviet Union. Kazakhstan remains the largest participant in regional trade, accounting for 54% of all intraregional exports, valued at $6.6 billion. The country's key export commodities to the region include grain products (18%), ferrous metals (13%), crude oil and petroleum products (8%), sunflower oil (7%), and beverages (3%). The primary destination for these exports is Uzbekistan, while Kyrgyzstan recorded the fastest growth in imports from Kazakhstan, with volumes nearly tripling to $1.7 billion. Uzbekistan ranks second, accounting for 26% of regional exports, worth $3.2 billion. The largest increase in Uzbek exports was recorded in trade with Kazakhstan, where shipments grew 2.1 times. Uzbekistan’s main export products include motor vehicles and auto parts (14%), fruit and vegetables (11%), plastic products (5%), fertilizers (4%), and clothing (3%). Between them, the two largest Central Asian economies represent nearly $10 billion of exports to their neighbours, representing almost 80% of regional trade. Turkmenistan's share of exports – primarily natural gas – rose to 11%, while Kyrgyzstan's $0.9 billion of exports (half of which was unprocessed precious metals and coal) represented 7%. Tajikistan was the smallest contributor, accounting for just 3% of intraregional exports – principally zinc, lead and copper. According to EDB analysts, the rapid expansion of trade has been driven by strengthening bilateral economic cooperation among Central Asian states and efforts to simplify trade procedures. The bank said the pace of growth demonstrates that Central Asia is gradually emerging as an increasingly integrated regional market with strengthening internal economic ties. That said, analysts stressed that the current level of trade still represents only a fraction of the region’s broader economic potential. Further reductions in trade barriers, improved transport connectivity, and deeper industrial cooperation could significantly accelerate intraregional trade turnover, the report said. EDB analysts estimate that trade between Central Asian countries could increase by an additional $4 billion by 2029.

Minimum Wage

Kyrgyzstan Retains Lowest Minimum Wage in the Eurasian Economic Union

Kyrgyzstan continues to have the lowest minimum wage among member states of the Eurasian Economic Union (EAEU), according to Eurasian Economic Commission (EEC) data cited by local media. As of March 2026, Kyrgyzstan’s minimum monthly wage was about $38. By comparison, the minimum wage stood at $337 in Russia, $292 in Belarus, $174 in Kazakhstan, and $199 in Armenia. Analysts say Armenia’s economy is broadly comparable in scale to Kyrgyzstan’s. According to official statistics, the minimum wage in Kyrgyzstan has risen far more slowly than in other EAEU countries and remains significantly below both the country’s average salary and the official subsistence minimum. Data from Kyrgyzstan’s National Statistical Committee show that the subsistence minimum currently stands at around $105. Meanwhile, minimum wages in Russia and Belarus have nearly doubled over the past several years. Against this backdrop, the situation regarding average salaries in Kyrgyzstan appears somewhat more positive. According to the EEC, Kyrgyzstan and Belarus recorded the highest rates of average wage growth in the region. Over the past year, average wages in Kyrgyzstan increased by around 10%, while Belarus recorded growth of approximately 9%. Despite this, average wages in Kyrgyzstan remain the lowest among EAEU member states. By the end of 2025, the average monthly salary in Kyrgyzstan stood at approximately $508, compared to $783 in Armenia, $877 in Belarus, and $1,203 in Russia. No data for Kazakhstan were included in the published EEC statistics. Kyrgyzstan’s National Statistical Committee previously stated that nominal wages in the country have roughly doubled over the past five years. Per capita household spending has also increased significantly, which officials say reflects rising consumption levels and gradual improvements in living standards. At the same time, consumer spending continues to account for the largest share of household expenditures in Kyrgyzstan.