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Kazakhstan to Build New Reservoirs to Reduce Dependence on Neighboring Countries

The Ministry of Water Resources and Irrigation of Kazakhstan on December 22nd said it is beginning work on the construction of nine new reservoirs out of a planned twenty to reduce Kazakhstan’s dependence on the water flow from neighboring countries by 25%. The commissioning of new reservoirs will also increase the area of irrigated land by 250,000 hectares and reduce the threat of flooding in 70 rural settlements with a population of 137,000 people. Currently, design documentation is being developed for the nine facilities, and negotiations are underway to attract investors to the construction of new reservoirs. The Ministry of Water Resources and Irrigation has developed a Comprehensive Water Development Plan for 2024-2030. The document includes measures for the construction and reconstruction of reservoirs, reconstruction of hydraulic structures and irrigation systems. “The plan will be implemented in several stages,” said the Minister of Water Resources and Irrigation of Kazakhstan, Nurzhan Nurzhigitov. “In 2024-2026, it is planned to begin construction of twenty new reservoirs with a volume of 2.4 km³ in eleven regions. The implementation of the Comprehensive Plan will increase the volume of available water resources by 3.7 km³, expand the area of irrigated land to 2.2 million hectares, reduce annual losses of irrigation water by 3 km³, and also provide water supply to 41 settlements with a population of more than 55,000 people.” Kazakhstan, especially its southern regions, is highly dependent on irrigation water flow from upstream Kyrgyzstan. This past summer, Kyrgyzstan experienced a shortage of irrigation water and was forced to reduce the water flow to Kazakhstan’s southern Zhambyl region, which negatively impacted the region’s agriculture.

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Kazakhstan Launches Construction of New Railroad to China

The Prime Minister of Kazakhstan, Alikhan Smailov, via a teleconference on December 20th officially inaugurated the construction of a new railway line, Bakhty-Ayagoz, with a total length of 272 km in the Abay Region of southern Kazakhstan. The project is being implemented upon the instruction of President Kassym-Jomart Tokayev to increase the transport and transit potential of Kazakhstan. The project also involves the opening of a third border crossing with China, Bakhty-Chuguchak. The railway line will increase the throughput capacity between Kazakhstan and China from 28 million to around 48 million tons, lessen the burden on the southern checkpoints, and attract additional volumes of transit. It is planned that the double-track line will begin operating in 2027. The large-scale project will be realized with the participation of a private investor on PPP principles. During the ceremony, the Prime Minister stated that last year Kazakhstan's railroads transported the largest volume of cargo since the country’s independence, which amounted to 245 billion tons/kilometer. These rates have been maintained in the current year, despite the geopolitical situation and infrastructure constraints.[/vc_column_text][vc_single_image image="12823" img_size="full" el_class="scond-image" parallax_scroll="no" woodmart_inline="no"][vc_column_text woodmart_inline="no" text_larger="no"]"Over the past five years, the volume of transit container transportation has grown 3.2-fold. Existing transit corridors are being expanded, and new ones are being opened. The Trans-Caspian International Transport Route, North-South and Southern corridors have become particularly relevant," Smailov said. At the same time, the throughput and infrastructure capacities have reached their peak. To address this strategic issue, a decision was made to implement a number of infrastructure projects in the rail industry. The new line is expected to help increase Kazakhstan's exports and the transit of goods from Russia to China and back.

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EDB and Kazakhstan Join Efforts for Water Investment

EDB and Kazakhstan Join Efforts for Water Investment The Eurasian Development Bank (EDB) has signed a memorandum of cooperation with Kazakhstan’s Ministry of Water Resources and Irrigation (MWRI). Ruslan Dalenov, Vice Chairman of the EDB Management Board, and Bekniyaz Bolat, MWRI First Deputy Minister, formalized this partnership during a ceremony in Astana on December 13th. The memorandum aims to establish long-term, mutually beneficial collaboration focused on mobilizing investment and grants for joint water and irrigation projects. “We are committed to jointly developing sustainable infrastructure solutions that will support important water-related projects and contribute to overall economic growth,” said Dalenov. The parties intend to actively cooperate in financing investment projects and exchange expertise through participation in workshops, conferences, and other events. The EDB is currently implementing the Central Asian Water and Energy Complex mega-project based on research and projections on the most effective ways to comprehensively develop the sector. Bank analysts have conducted studies such as Investment in the Water and Energy Complex of Central Asia, Regulation of the Water and Energy Complex of Central Asia, and Efficient Irrigation and Water Conservation in Central Asia. The latter outlines ten practical steps for preserving irrigated land potential and promoting water conservation, including four recommendations for adoption at a regional level and six at a national level. These measures are designed to conserve enough water annually to support sustainable development. The EDB has also identified projects to cater to the region’s electricity and water needs. The Bank is financing the construction of the 100 MW Kulanak HPP in the Kyrgyz Republic. Additionally, the Bank is evaluating several projects aimed at enhancing the region’s water and energy infrastructure.

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Recent murder in Kazakhstan draws attention to domestic violence and gender discrimination

A very public tragedy in Kazakhstan put on display domestic violence at its worst. A quarrel in a restaurant in Astana on the evening of November 8th is reported to have resulted in the death of Saltanat Nukenova, the 31-year-old wife of Kuandyk Bishimbayev. Bishimbayev, who served as Minister of National Economy under former President Nazarbayev, was detained on the same day for suspected murder and remains under arrest awaiting trial. On November 11th, Saltanat was buried in Pavlodar. This appalling incident highlighted the urgent need for stronger protections against domestic violence. An authorized rally was held in Almaty in late November. Around 200 participants came out onto the square behind the Sary Arka cinema, holding posters and chanting slogans against domestic violence. The event was organized by a public movement called Zhana Adamdar and the attendees mostly included young people and students from the movement. Relatives of Saltanat Nukenova also took part. The participants wanted to raise awareness about fighting any manifestation of violence against women and children. Most of the attendees were dressed in the same style, and many of them had scarves with the inscription “Say no to the animal world,” which was also the title of the rally. Speakers at the event detailed the most resonant cases of violence in recent times while the organizers of the rally held a small flash mob and arranged an installation with mannequins in cages with animal masks on them. A minute of silence was observed in honour those who died as a result of violence. Progress in protecting women What proceeded this public tragedy hopefully presents a silver lining. A month later, on December 8, Kazakhstan's current President Kassym-Jomart Tokayev signed a Decree to strengthen human rights with concrete steps towards preventing violence and promoting gender equality. The Decree instructs Kazakhstan’s government to take systematic measures to promote equal rights and opportunities in all spheres of society, as well as to overcome all forms and manifestations of gender discrimination. The decree also encompasses legislation to deter domestic violence and promotes equal rights and safety for both men and women in the Republic of Kazakhstan, as endorsed by UN Security Council resolution 13251. It further involves legislative measures to tighten criminal liability in cases of domestic violence, which have now been implemented. These measures aim to hold perpetrators accountable and ensure that victims can get justice. Additionally, offenders of domestic violence may be required to undergo comprehensive psychological correction as part of their rehabilitation process. The Decree also asks for creating specialized units within the Ministry of Internal Affairs staffed with female officers, who can enhance the effectiveness of combating domestic violence. While the timing of the Decree coincided with the aftermath of Saltanat’s death, there are signs that these steps may have already been in the works. President Tokayev had voiced concerns about domestic violence before the current headlines emerged. At a meeting in the Ministry of Internal Affairs in June 2023, for example, he had affirmed that “comprehensive...

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Uzbekistan’s Transition to Market Economy to Accelerate

Uzbekistan’s Transition to Market Economy to Accelerate The World Bank’s Board of Executive Directors on December 8th approved a Development Policy Operation to financially support the Government of Uzbekistan in implementing a new generation of economic, social, and climate reforms. The objective of these reforms is to expedite the country’s transition to a market economy, ensuring that economic opportunities are accessible to all citizens and creating a strong foundation for sustained growth. In Uzbekistan, despite significant progress in the transition to a market economy, there is a need to complete this process and to shift urgently towards a greener and more equitable economic model which would help the country achieve its development and environmental goals. The government aims to halve the poverty rate by 2026, and elevate the country to the status of an upper-middle-income economy by 2030. Achieving these objectives requires much faster growth, which is possible through reducing state control over the economy and empowering the private sector to become the primary driver of economic development. “The World Bank’s new operation supports key government priorities, including reducing state dominance in crucial sectors such as agriculture, railway, chemicals, and energy,” said Marco Mantovanelli, World Bank Country Manager for Uzbekistan. “This will allow for greater private sector participation in the given areas. The operation also aims to strengthen social and legal protection for vulnerable groups, and address pressing issues of climate change and environmental protection.” The World Bank will provide financial support to the government through a combination of highly concessional and low-cost loans totaling $800 million. The financing will offer the government a low-cost, long-term repayment option compared to what would be available in international financial markets, resulting in a significantly lower loan repayment cost. This, in turn, will free up more resources for the country’s urgent development priorities. “The Government has a strong commitment to reforms that will transform Uzbekistan into a more open and competitive market economy. The World Bank is supporting the country in achieving this goal by providing the necessary expertise, international experience, and financing,” said Jasur Karshibaev, Deputy Minister of the Economy and Finance of Uzbekistan. The financing from the World Bank operation will support the government’s reforms and actions in a number of critical areas, including: Energy sector: Establishing an independent energy regulator and implementing energy tariff reform to improve the energy sector’s performance, enhance the efficient use of energy resources, attract private investment in modernizing energy infrastructure, and promoting competition and private sector participation in the industry. Railway sector: Undertaking institutional reforms in the railway sector to modernize price setting for passenger and freight transportation and strengthen competition and the institutional environment in the industry. Chemical sector: Establishing a framework for institutional reforms in the chemicals sector and privatizing FerganAzot JSC, a large state-owned chemical plant, to liberalize the sector, attract private investments for its modernization, and enhance competition and efficiency in the industry. Agriculture sector: Abolishing the crop placement system for all crops to promote greater diversity and productivity in crop...

Turkmenistan-Iraq Natural Gas Deal: A Complex Balancing Act

The recent natural gas deal between Turkmenistan and Iraq has sparked both excitement and concern in the energy world. On November 8, representatives from the State Concern Türkmengaz met with a delegation from Iraq, led by the Minister of Electricity Ziad Ali Fadel, to discuss the export of natural gas from Turkmenistan to Iraq. As with any major energy agreement, this deal carries significant implications for both countries and the region as a whole. This opinion piece explores the positive aspects, potential challenges, and wider implications of the Turkmenistan-Iraq natural gas deal. The Turkmenistan-Iraq natural gas deal presents several positive aspects for both countries. Economically, the agreement opens up new opportunities for trade and investment, providing a boost to the economies of both nations. Additionally, it strengthens diplomatic relations between Turkmenistan and Iraq, fostering closer ties and collaboration in other areas. Moreover, the deal has the potential to enhance energy security in Iraq, diversifying its energy sources and reducing dependence on a single supplier. For Turkmenistan, this agreement represents an opportunity to tap into new markets and expand its natural gas exports. While the deal offers numerous benefits, it also comes with potential challenges and drawbacks. From Iraq's perspective, one concern is the possibility that it becomes overly dependent on Turkmenistan for its energy needs. This could create vulnerabilities and limit Iraq's flexibility in the energy market. Disputes over pricing and payment terms may also arise as aligning the expectations of both parties can be a complex process. Additionally, the agreement may face infrastructure and logistical challenges, such as ensuring efficient transportation and distribution of the natural gas. The influence of regional politics on the deal is another factor to consider, as geopolitical dynamics may impact its implementation. The Turkmenistan-Iraq natural gas agreement has the potential to significantly impact the regional energy market. It may alter the dynamics of gas supply and demand in the region, affecting other players and stakeholders. The agreement could prompt neighboring countries to evaluate their own energy strategies and explore new partnerships. Additionally, the deal could contribute to greater energy cooperation and integration in the region, paving the way for future collaborations and joint projects. As we consider the implications of this gas deal, it is crucial to examine its environmental impact and public opinion. The environmental consequences of increased natural gas extraction and consumption should be carefully assessed to ensure sustainable practices. Additionally, public opinion in both countries will play a significant role in shaping the perceptions and outcomes of the deal. Public engagement and transparency are vital to ensure that the interests and concerns of the citizens are taken into account. The Turkmenistan-Iraq natural gas deal represents a complex balancing act. It ultimately offers economic benefits, strengthens diplomatic relations, and enhances energy security while also raising concerns about energy dependency, pricing disputes, and logistical hurdles. The agreement will have implications for the regional energy market, influencing the strategies of neighboring countries and reshaping energy dynamics. As the process unfolds, it is crucial to...