Business & Economy - The Times Of Central Asia

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Infrastructure Finance

Opinion: Central Asia’s Shift from Silk Road Romance to Infrastructure Finance – What the June Forums Are Building

In mid-June, Tashkent and Baku will host two major international finance gatherings within the same regional window: the fifth Tashkent International Investment Forum in Uzbekistan, and the Islamic Development Bank Group’s 2026 Annual Meetings in Azerbaijan. The overlap in timing is useful less as a calendar coincidence than as a signal of how infrastructure, finance, and regional integration are now being discussed together. In Tashkent, the fifth Tashkent International Investment Forum opens under the theme “Investment Resilience: New Frontiers, New Partnerships.” In Baku, the Islamic Development Bank Group will convene delegates from its 57 member countries under the theme “Regional Integration for Sustainable Prosperity.” Add the Astana International Financial Centre’s increasingly active forum calendar, a new cross-border Islamic finance alliance signed in May among regional industry associations, and a stream of connectivity and green investment pledges from recent regional summits, and the wider region looks increasingly focused on turning connectivity talk into investment structures. The more important question is not how much money is being discussed, but what kinds of projects are becoming investable. One answer keeps surfacing: a multi-thousand-kilometer trade route that carries goods from China across Kazakhstan, over the Caspian Sea to Azerbaijan, and onward through Georgia and Türkiye to Europe. The Middle Corridor, formally known as the Trans-Caspian International Transport Route, runs through many of the investment pitches now being made across the region. The forums show how infrastructure, finance, and regional connectivity are increasingly being discussed together. The corridor is one of the clearest tests of whether that agenda can move from conference language into bankable projects. For most of the past century, the world categorized this region under two headings. One is heritage: the caravanserais and blue domes of the old Silk Road. The other is hydrocarbons: the oil and gas beneath the Caspian basin. Both cast the region as a place value came out of or once passed through. The corridor proposes something more ambitious: that value should pass through again, but this time on terms shaped by the region itself. The shift is from selling what lies underground to earning from where the region sits on the map. Freight volumes on the Middle Corridor have risen roughly fivefold over recent years, while transit times have been cut from about a month to roughly two weeks as border procedures and port operations improved. The World Bank’s benchmark study sets out the goal of tripling freight volumes and halving travel time by 2030, and regional projections now point to annual throughput of around ten million tons or more by the end of the decade. For landlocked economies long dependent on a single route to world markets, a second viable artery is less a convenience than a form of strategic insurance. But turning a route on a map into a working corridor requires serious capital. It requires expanded port capacity on the Caspian, additional vessels and ferries, rail upgrades, terminal infrastructure, and the less visible digital and customs systems that allow cargo to clear multiple borders...

AMM 2026

Ambassador Kazykhan Calls for U.S.–Kazakhstan Critical Minerals Projects at AMM Congress

ASTANA — Ambassador Yerzhan Kazykhan, Kazakhstan’s presidential representative for negotiations with the United States, delivered the opening remarks at the U.S.–Kazakhstan Country Roundtable during the Astana Mining & Metallurgy Congress on June 11, calling for expanding bilateral ties to be turned into practical critical minerals projects. The roundtable brought together U.S. officials, American businesses, and Kazakh counterparts to discuss practical measures for advancing projects in the critical minerals sector. His remarks focused on turning the U.S.–Kazakhstan minerals agenda into projects, investment, offtake agreements, processing capacity, and more resilient supply chains. Kazykhan placed the discussion within President Kassym-Jomart Tokayev’s broader effort to deepen the U.S.–Kazakhstan relationship around energy, supply-chain security, investment, and critical minerals. According to the transcript of his remarks, he referred to the November 6 meeting between Tokayev and U.S. President Donald J. Trump, saying the two leaders had met “to unlock the substantial potential” of what the U.S. State Department had called “A New Era” in bilateral relations. “The strategic understanding reached by our leaders was fully aligned with the national interests of both countries,” Kazykhan said. He said that understanding included support for energy security, supply-chain resilience, and a “shared commitment to strengthening cooperation in energy, rare earths, and other critical minerals.” He argued that the agenda had already moved beyond diplomacy. “You can see these priorities are not abstract,” Kazykhan said. “They are being advanced through concrete partnerships that strengthen industrial capacity, accelerate technological development, and support emerging fields such as artificial intelligence.” Kazykhan presented Kazakhstan as a strategic partner for Washington at a time when the United States and its allies are seeking alternatives to concentrated supply chains for minerals used in defense, energy, advanced manufacturing, and emerging technologies. “Kazakhstan is uniquely positioned to serve as a strategic partner for the United States, one that can offer increased resilience and enhanced competitiveness,” Kazykhan said. He described Kazakhstan as “a reliable and substantial supplier” and “a Middle Power with regional influence, a diversified industrial base, and one of the world’s top 50 economies.” He also pointed to Kazakhstan’s mineral base, saying the country holds top-ten reserves of tungsten, molybdenum, tantalum, nickel, cobalt, and lithium, along with deposits of other critical elements. Kazakhstan is also the world’s largest uranium producer, accounting for about 40% of global output and more than 20% of U.S. natural uranium imports, he said. But Kazykhan’s central argument was that Kazakhstan should not be viewed only as a source of raw materials. He said durable supply-chain security requires processing, refining, and integration into higher-value industrial stages. “Mining alone is not enough,” he said. “True supply-chain security requires processing, refining, and downstream integration.” He added that Kazakhstan “is not a greenfield jurisdiction,” citing its industrial workforce, established producers, export record, and institutional capacity for long-duration resource projects. Kazykhan also linked the minerals agenda to transport and logistics. He said Kazakhstan has been strengthening access to the Caspian Sea and expanding connectivity through the Trans-Caspian and broader East-West corridors, giving it routes to deliver materials...

Renewable Energy

Central Asia’s Renewable Energy Boom Faces Growing Grid Challenges

Central Asia is rapidly expanding its renewable energy sector, with solar power emerging as one of the key drivers of the region’s energy transition. However, a new report by the Eurasian Development Bank (EDB) warns that accelerated deployment of renewable energy, without matching investment in grid infrastructure, reserve capacity, storage systems, and market reforms, could increase systemic risks and raise overall electricity costs. The warning comes as electricity demand across Central Asia continues to grow steadily. The region’s population now exceeds 80 million, and power consumption is rising by 3% to 6% annually. According to the EDB, electricity demand could increase by nearly 40% by 2030, reaching 370 billion kilowatt-hours annually, up from approximately 270 billion kilowatt-hours today. Governments across the region have announced ambitious renewable energy targets for the coming decade. Uzbekistan plans to install more than 25 gigawatts of renewable energy capacity by 2030, including solar and wind generation. Kazakhstan aims to commission 8.4 gigawatts of renewable energy by 2035, while Kyrgyzstan plans to add 3.65 gigawatts of solar capacity and 400 megawatts of wind power over the same period. Tajikistan is targeting 2 gigawatts of solar and wind generation by 2030, while Turkmenistan has announced plans for 300 megawatts of solar power capacity. Yet the region’s transition toward cleaner energy sources presents a growing challenge: electricity demand is increasing faster than power systems are adapting to accommodate large volumes of variable renewable generation. Solar energy production peaks during daylight hours, creating fluctuations that conventional power systems must manage. In the morning, before solar panels begin generating at full capacity, electricity demand is largely met by hydropower plants and thermal generation fueled by coal or natural gas. As solar output rises during the day, conventional plants must reduce generation or temporarily shut down. After sunset, when electricity consumption remains high but solar production falls to zero, conventional generators must rapidly increase output to stabilize the system. These abrupt shifts create operational challenges and increase costs for grid operators. According to the EDB’s report, Power Sector of Central Asia: Modernization and Energy Transition, the main obstacles to integrating renewable energy are technical and institutional, not simply financial. If sudden drops in solar or wind generation caused by weather changes are not immediately offset, power systems risk instability and, in extreme cases, blackouts. As renewable capacity expands, grids require more flexible generation, larger reserve margins, energy storage systems, and more sophisticated operational management tools. The report notes that renewable generation is being introduced faster than supporting infrastructure can be developed. In many countries, transmission networks were not designed to accommodate a high share of variable energy sources. Weather forecasting systems also remain insufficiently accurate to support reliable real-time balancing of renewable output. Market reforms have lagged as well. Capacity markets, reserve markets, and tariff systems in several Central Asian countries have yet to evolve in ways that encourage investment in flexible backup generation and storage technologies. As a result, the report argues, the real system-wide cost of renewable energy may...

Banking Regulation

Tajikistan and UK Discuss Banking Regulation and Sanctions Compliance

Representatives of Tajikistan’s government and banking sector met with Douglas Clark, the United Kingdom’s regional sanctions attaché, in Dushanbe to discuss banking regulation, risk management, and the development of bilateral cooperation in the financial sector. According to the National Bank of Tajikistan, the meeting was attended by First Deputy Prime Minister Hokim Kholikzoda, senior National Bank officials, and representatives of the Ministry of Foreign Affairs and the Ministry of Finance. During the talks, participants reviewed the current state of cooperation and discussed coordination in the financial sector. The agenda included Tajikistan’s banking system, compliance with international standards, supervisory mechanisms, and risk management. Kholikzoda said Tajikistan is interested in expanding mutually beneficial cooperation with international partners. He said the government is taking measures to improve the transparency and resilience of the country’s financial system and align the sector with international standards. Firdavs Tolibzoda, chairman of the National Bank of Tajikistan, briefed participants on efforts to support the stability of the banking system. These include compliance with international supervision and risk-management requirements, along with tighter compliance controls in credit and financial institutions. Clark praised Tajikistan’s engagement with international partners and its work on coordination mechanisms in financial-sector cooperation. At the conclusion of the meeting, both sides reaffirmed their readiness to continue cooperation in areas of mutual interest. As previously reported by The Times of Central Asia, the European Union removed three Tajik banks from its sanctions list in April.

AMM 2026

Kazakhstan Seeks More Than Extraction as U.S. Minerals Interest Grows

Kazakhstan is using renewed U.S. interest in critical minerals to push a larger industrial goal: moving beyond raw-material exports and into processing, technology transfer, and higher-value manufacturing. That ambition was on display in Astana this week across two closely linked but distinct events. The C5+1 Critical Minerals Dialogue, held on June 10, brought together representatives of the five Central Asian states and the United States for a diplomatic discussion on supply-chain cooperation. The following day, the 16th International Mining and Metallurgy Congress and Exhibition, Astana Mining & Metallurgy (AMM) 2026 opened as an industry forum for mining companies, investors, technology providers, and government officials. The proximity was deliberate; the purposes were different. For Kazakhstan, the issue is not only foreign demand. It wants critical minerals to support a wider industrial strategy, including domestic processing, engineering capacity, and new manufacturing clusters. June 10: The C5+1 Diplomatic Track The C5+1 dialogue brought together representatives of Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan, Uzbekistan, and the United States. Its agenda covered geological exploration, surveying and mapping, mining and processing, logistics, and global value and supply chains. Kazakhstan’s Minister of Industry and Construction, Yersayin Nagaspayev, used the dialogue to present critical minerals as part of the country’s industrial policy rather than simply as an export opportunity. U.S. Special Envoy for South and Central Asian Affairs Sergio Gor represented Washington at the meeting. “Kazakhstan is interested not only in exporting raw materials, but also in developing joint production facilities, technology transfer, workforce training, and scientific cooperation,” Nagaspayev said. That point is central to Astana’s pitch. Kazakhstan has long been a major mining state, but the government is increasingly presenting critical minerals as a way to change the structure of the economy. Nagaspayev said the country has more than 9,500 mineral deposits, including more than 100 that contain rare and rare-earth metals. Kazakhstan holds significant deposits of tungsten and molybdenum and has the potential to establish a domestic raw-material base for tantalum and niobium production. It also has reserves of lithium and beryllium, which are important for advanced manufacturing, electronics, aerospace, energy storage, and defense-related industries. Kazakhstan has proven reserves or active production of roughly half of the 54 minerals identified as critical by the United States, according to Al-Farabi Ydyryshev, director general of the National Center for Technological Forecasting under the Industrial Committee. Ydyryshev said Kazakhstan already has extraction and processing capacity for materials used in aerospace, electronics, energy, and defense industries, including beryllium, tantalum, niobium, titanium, and rhenium. The question is whether those capabilities can be expanded into higher-value production. Washington’s interest in Central Asia has grown as critical minerals have become a larger part of economic security policy. China remains dominant in the production and processing of many minerals needed for batteries, semiconductors, renewable energy, digital infrastructure, and advanced defense systems. Speaking at the June 10 meeting, Gor linked the minerals agenda to the need for diversification. “Our economic security depends on our ability to diversify our access to critical minerals,” Gor said. “Ensuring reliable access...

AMM 2026

U.S. Moves from Dialogue to Action on Critical Minerals in Kazakhstan

ASTANA — David L. Fogel, Assistant Secretary of Commerce and Director General of the United States and Foreign Commercial Service, told delegates at the 16th International Astana Mining & Metallurgy (AMM) Congress in Astana on June 11-12 that the United States is moving from discussion to strategic execution in Central Asia’s critical minerals sector. Fogel’s responsibilities at Commerce include leading the International Trade Administration’s Global Markets unit, which focuses on commercial diplomacy, export promotion, advocacy for U.S. companies, and foreign investment. Speaking in Astana, where the AMM Congress gathered top-level mining, metallurgy, technology, finance, and government leaders, Fogel said the United States had brought a historically large delegation to Kazakhstan, including more than 20 U.S. companies and representatives from across the U.S. government. The AMM Congress is one of the region’s major mining and metallurgy platforms. Fogel framed the visit as part of a broader U.S. strategic push to strengthen supply-chain resilience at a time of heightened global competition over minerals essential to energy, infrastructure, advanced manufacturing, and emerging technologies. Critical minerals, he said, are now among the top priorities for the United States, not only in terms of sourcing, but also processing. That emphasis is consistent with the Trump administration’s wider policy focus on processed critical minerals and derivative products as issues tied to economic security, national security, and America’s industrial base. Fogel placed the visit within the Trump administration’s broader effort to give Central Asia greater strategic attention, particularly as critical minerals, connectivity, and supply-chain resilience move higher on Washington’s agenda. He said the current push reflects sustained engagement from senior U.S. officials, including Ambassador Sergio Gor, U.S. Special Envoy for South and Central Asian Affairs, and is being carried forward in country by the U.S. team in Kazakhstan under U.S. Ambassador Julie Stufft. Fogel emphasized execution, saying talks related to the C5+1 Critical Minerals Dialogue the day before focused on turning a shared vision for cooperation into practical outcomes. “How do we take this vision of cooperation and put it into actionable projects?” he asked. According to Fogel, the objective is to turn plans into tangible ventures that can attract capital, technology, and long-term business participation. Fogel’s point was that the United States is looking for projects that strengthen critical minerals supply chains while building strategic relationships, rather than organizing endless rounds of declarations that lead nowhere. He presented the process as a disciplined commercial and strategic effort of identifying the right opportunities, minimizing risk for companies weighing where to direct their resources, applying consistent international standards, and creating conditions in which American companies can compete. [caption id="attachment_50309" align="aligncenter" width="1774"] Image: TCA[/caption] The practical implication of Fogel’s remarks was that enthusiasm for mineral resources alone is not enough to draw major long-term investment. Companies need reliable mapping, credible surveys, and consistent international standards that allow projects to be assessed and financed. In that sense, geological data and standards are not technical details, but the bridge between mineral potential and bankable projects backed up by solid in-country partners....