ASTANA (TCA) — Kazakhstan has denied asylum to a Chinese national whose court testimony helped expose so-called “reeducation camps” in northwestern China’s Xinjiang Uyghur Autonomous Region, RFE/RL reported.

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BISHKEK (TCA) — Kyrgyz MPs offered to sell the national airline Air Kyrgyzstan to Chinese investors. Earlier, Chinese companies expressed interest in purchasing Air Kyrgyzstan.

If purchased, the investor promised to bring 12 aircraft to the company within five years, the MPs said.

Minister of Transport and Roads of Kyrgyzstan Jamshitbek Kalilov confirmed the interest of Chinese investors in the purchase of Air Kyrgyzstan, although there were no official applications to the State Property Management Fund. But even taking into account the difficult financial situation of the airline, the minister considers the idea of selling it to be doubtful.

Current situation

Kyrgyzstan’s state-owned fleet consists of one aircraft, which is not currently operating because its engine is under repair.

Earlier, Kyrgyzstan offered to sell 49% of Air Kyrgyzstan’s shares, but a foreign investor wanted to buy a controlling stake.

According to the State Property Management Fund of Kyrgyzstan, the company’s net profit plan for 2017 was 10.6 million soms but the result was 7 million soms without dividends. Air Kyrgyzstan’s assets are 639.8 million soms, and loan debt is 302.6 million soms.

Due to the difficult financial situation, the company cannot pay salaries to its employees, and it was forced to reduce the staff.

The company has four aircrafts including a Boeing 737-500 which stands idle at the Manas International Airport due to technical malfunction of its engine, and Air Kyrgyzstan’s flights are postponed indefinitely. The second aircraft, a Boeing 737-300, is subleased in Romania.

The third one, a Tu-154, has not been operated since 2012, when the Aviation Department imposed a restriction on this kind of aircrafts due to aviation safety rules. The fourth aircraft, a Boeing 737-200, has not been operated since 2009.

Unable to compete

The analysis of Air Kyrgyzstan’s financial and economic activity revealed two reasons why the airline came to this situation.

In 2008, the State Property Fund transferred the shares of the Altyn Air state-owned airline from the Kyrgyzaltyn JSC to Air Kyrgyzstan, which resulted in debts of 94.5 million soms. Kyrgyzaltyn, the state owned gold mining company and the shareholder of Centerra Gold Inc., tried to return this amount in 2010 through the courts, but the then government helped Air Kyrgyzstan to pay off the debt within three years.

The second cause is competition. In 2012 and 2013, large Turkish airlines, Atlasjet and Pegasus, entered the Kyrgyz market. In addition, the Russian Aeroflot operated there. Air Kyrgyzstan did not have modern aircrafts to compete.

Since January 2018, the airline has not operated flights, and over 30 employees are on leave without pay.

Privatization or trust management?

The national privatization program for 2015-2017 provided for the privatization of 51% of the state share in Air Kyrgyzstan. The State Property Fund conducted negotiations with Korean, Arab and Chinese investors, but to no avail. The state-owned company did not have support from the State, and investors did not want to deal with it. The Chinese side requested a controlling stake but according to Kyrgyzstan’s law, 51% of the company’s assets should be in the state ownership.

The large debt also deprives the company of investment attractiveness.

The next privatization program for 2018-2020 provides for the sale of 75% of the company’s shares.

The possibility of transferring the company into trust management is also considered by authorities. In this case, the company will not be transferred to ownership, but its assets and the property will be transferred for temporary use.

Some experts disagree with the MPs’ proposal to transfer the company to foreign investors.

Each state should have its own airline not only to carry passengers, but also for strategic purposes, independent expert Maksat Chakiyev told to the Vesti.kg news agency. In case of emergency, the state company could be used because private companies could refuse or demand too high payment. Kyrgyzstan does not have money to invest in Air Kyrgyzstan, but this does not mean that it must be sold. At least a controlling stake should belong to the State, the expert concluded.

Open skies policy

The open skies project will destroy domestic civil aviation, MP Ulugbek Ormonov said recently at a parliamentary meeting to consider the draft law “On Amendments to the Air Code of the Kyrgyz Republic”.

MP Abdyvakhap Nurbayev objected by saying: “We should not put the interests of several airlines above the interests of all citizens of Kyrgyzstan.” The country’s population will have opportunity to fly directly to European and other countries. The competition will improve, and tourists will be able to fly directly to Kyrgyzstan. Air ticket prices will drop and flight safety will be ensured due to using new aircrafts, Nurbayev said.

In other countries, introduction of the open skies policy allowed to increase passenger traffic by up to 35%, reduce air ticket prices by 40%, and create new jobs, he added.

The Government drafted the relevant bill, and its joint version was agreed with the Parliament. After discussions, the Parliamentary Committee on Transport and Communications approved the amendments to the Air Code, which envisages the implementation of the open skies project in stages.

According to Chairman of the Trade Union of Aviators of Kyrgyzstan Kanybek Kalmurzayev, the domestic aviation does not develop because the Transport Ministry does not pay enough attention to it. Even in Tajikistan, where there was a civil war for many years, there are 18 state-owned aircrafts.

Exit from the EU blacklist

The action plan on the withdrawal of Kyrgyzstan’s airlines from the blacklist of the European Union has been 93% implemented, Transport Minister Kalilov said at a government meeting.

The EU Air Safety List (the so-called blacklist) includes airlines that do not meet international safety standards and are therefore subject to an operating ban or operational restrictions within the European Union.

All of Kyrgyzstan’s airlines currently remain on the EU blacklist since 2006, along with airlines from Afghanistan, Angola, Mozambique, Congo, and other African countries. Among the CIS countries, only Kyrgyz airlines are now forbidden to fly to the European Union. In December 2016, the European Commission excluded Kazakhstan’s airlines from its blacklist “following further improvements to the aviation safety situation in that country”.

Kyrgyzstan has been an ICAO (the International Civil Aviation Organization) member since 1992. In order to be taken off the blacklist, the state has to pass through the ICAO audit, which regulates the civil aviation. The basis audit includes such sections as primary aviation legislation, principles of civil aviation organization, aeronautical personnel licensing, operation of aircrafts, airport and ground-based air navigation services, and aircraft accident investigation.

In November or December 2018, ICAO experts are expected to arrive in Kyrgyzstan to monitor the implementation of the corrective action plan of the previous ICAO audit in the middle of 2018.

In 2019, Kyrgyzstan plans to obtain an ICAO certificate, after which the country will apply for exit from the EU blacklist. To be removed from the blacklist, the salary of the Civil Aviation Agency’s employees was increased twice, and pilots were trained in accordance with the ICAO requirements, Minister Kalilov said.

BISHKEK (TCA) — The Publisher’s note: Throughout the 19th and 20th centuries, Central Asia was the scene of intense geopolitical struggle and the Great Game between the British and Russian Empires, and later between the Soviet Union and the West, over Afghanistan and neighboring territories. Into the 21st century, Central Asia has become the area of a renewed geopolitical interest, dubbed the New Great Game, largely based on the region’s hydrocarbon and mineral wealth. On top of that, the region now is perhaps the most important node in the implementation of China’s One Belt, One Road initiative through which Beijing aims to get direct access to Western markets. Every week thousands of news appears in the world’s printed and online media and many of them may escape the attention of busy readers. At The Times of Central Asia, we strongly believe that more information can better contribute to peaceful development and better knowledge of this unique region. So we are presenting this Weekly Digest which compiles what other media have reported on Central Asia over the past week.

KAZAKHSTAN

US-Kazakhstan transit agreement faces challenges from Russia

Kazakhstan has been consistent in pursuing a balanced policy in its relations with the world’s big powers — which is particularly illustrated by Astana’s maneuvering between Russia and the US

Oct 2 — “During the Collective Security Treaty Organization (CSTO) foreign ministers’ meeting in Almaty on June 11, 2018, Russia’s Foreign Minister Sergey Lavrov informed his Kazakh counterpart of Moscow’s concerns over U.S. military logistics planning involving Kazakhstan, and biological laboratories in the country. The protest was prompted by President Nursultan Nazarbayev’s signature on May 5 of amendments to the 2010 U.S.-Kazakhstan agreement on commercial rail transit of special cargo to Afghanistan through Kazakhstan, which allow the U.S. to use Kazakhstan’s territory for supplying U.S. forces in Afghanistan.” READ MORE: https://timesca.com/index.php/news/26-opinion-head/20323-us-kazakhstan-transit-agreement-faces-challenges-from-russia

Kazakhstan’s Next Political Crisis

State power succession remains a very topical and rather complicated issue in Kazakhstan

Oct 3 — “In June 2018, the speaker of Kazakhstan’s parliament, Kassym-Jomart Tokayev, “ dropped a political bombshell ” in an interview with the BBC. He said that the country’s President Nursultan Nazarbayev—who is seventy-eight years old and who has ruled the country since it gained independence from the Soviet Union in the early 1990s—would not run for re-election in 2020. Soon afterwards, Tokayev backtracked , saying that there was “no need to fuel a drama about what [he] said.” READ MORE: https://nationalinterest.org/feature/kazakhstans-next-political-crisis-32562

Some Win, Some Lose as Kazakhstan Gets a $1.1 Billion Check

Kazakhstan is set to get more profits from its oil industry — the main source of the country’s hard-currency revenues

Oct 3 — “Western companies operating at Karachaganak agreed to pay Kazakhstan $1.1 billion, ending an enduring spat with the government” READ MORE: https://thediplomat.com/2018/10/some-win-some-lose-as-kazakhstan-gets-a-1-1-billion-check/

Kazakhstan: Pension plans darken a grim picture

In Kazakhstan, like in other post-Soviet Central Asian countries, the pension issue is very relevant, and often painful, for many citizens

Oct 3 — “Authorities in Kazakhstan are set once again to tinker with how pension funds are managed. And if social media and news website comment boards are any indication, people are livid. Since 2013, pension contributions have been held in an entity called the Single Accumulated Savings Fund, or ENPF in its Russian initials. The fund comprises 10 million accounts worth a total of 9 trillion tenge ($25 billion) and is managed by the National Bank. Now, the government is talking of reverting to the pre-2013 arrangement, wherein the money is managed by private-sector operators.” READ MORE: https://timesca.com/index.php/news/20328-kazakhstan-pension-plans-darken-a-grim-picture

KYRGYZSTAN

A New Ambassador Offers a Chance to Start Again

The new US Ambassador to Kyrgyzstan would address the impasse which has strained U.S.-Kyrgyzstan relations for the past three years

Oct 3 — “Donald Lu, the new U.S. ambassador to Kyrgyzstan, recently took up residence in Bishkek. Kyrgyzstan, a country with some potential for democratic reforms that is nevertheless often overlooked in U.S. foreign policy. Located in a region where the United States seeks to maintain a foothold and promote stability, Kyrgyzstan sits at the heart of the great powers rivalry between China, Russia, and the United States.” READ MORE: https://www.opensocietyfoundations.org/voices/new-ambassador-offers-chance-start-again

Combatting Extremism in Kyrgyzstan: Everyone’s At Risk

Hundreds of people in Kyrgyzstan face trial over allegedly radical books, videos or pamphlets

Oct 3 — “Concerns are rising over Kyrgyzstan’s heavy-handed approach to prosecuting individuals over the possession of supposedly extremist material. A new report by Human Rights Watch (HRW) claims that such criminal cases often serves as part of a more general policy of repression under the guise of combatting Islamist extremism.” READ MORE: https://iwpr.net/global-voices/combatting-extremism-kyrgyzstan-everyones-risk

Kyrgyzstan Moves Toward Stripping Former Presidents of Immunity

Two former prime ministers have been detained on corruption charges in Kyrgyzstan, and some politicians demand investigation into alleged wrongdoings of a former president

Oct 4 — “Only two former Kyrgyz presidents actually still enjoy immunity, but only one — Almazbek Atambayev — looks like a target.” READ MORE: https://thediplomat.com/2018/10/kyrgyzstan-moves-toward-stripping-former-presidents-of-immunity/

Of How I Created My Own Kingdom in Kyrgyzstan

A travel piece on an exciting journey on Kyrgyzstan’s mountain roads

Oct 5 — “That was my seventh month on the bicycle, and after Cambodia, India, Nepal and China, I felt like it would be a piece of cake. The plan was to cross the Kyrgyz border from China, and go to an ATM because I had run out of money. From the Chinese border to Sary Tash it was 70 kilometers, and it was like paradise: beautiful grasslands, crystalline lakes, and huge mountains topped with glaciers 4,000 meters above the level of the sea. At night it was so cold I had to wrap my arms and legs with the rest of my clothes, and in the morning my tent had a layer of ice.” READ MORE: https://egyptianstreets.com/2018/10/05/of-how-i-created-my-own-kingdom-in-kyrgyzstan/

TAJIKISTAN

Tajikistan: Leaders introduced to president-to-be?

The most recent developments suggest that Tajikistan has opted for a father-to-son power succession scheme

Oct 1 — “In a gesture profound in symbolism, Rustam Emomali, the mayor of Tajikistan’s capital and son of the president, last week met with the heads of state visiting Dushanbe to attend a Commonwealth of Independent States summit. In Tajikistan, greeting arriving presidents is typically the purview of the prime minister, making this a noteworthy departure from convention. Thirty-year-old Emomali was captured in photographs as he met in Dushanbe international airport with Russian President Vladimir Putin, Kazakhstan’s Nursultan Nazarbayev, Alexander Lukashenko of Belarus, and others.” READ MORE: https://timesca.com/index.php/news/20318-tajikistan-leaders-introduced-to-president-to-be

Tajikistan: Trucks resume Turkmenistan transit

It may have been Iran that put Turkmenistan up to the blockade against Tajik trucks

Oct 4 — “A month after Turkmenistan inexplicably began denying Tajik trucks permission to pass through its territory, the long-distance haulers have been given the green light. Around 100 trucks either from Tajikistan or heading there had been standing idle on northern and southern border entry points into Turkmenistan since the start of September.” READ MORE: https://eurasianet.org/tajikistan-trucks-resume-turkmenistan-transit

Saudi Arabia carries out $8.14m relief projects in Tajikistan

Saudi Arabia has increased its financial support of Tajikistan, in an apparent effort to squeeze its arch-rival Iran from the Central Asian country

Oct 5 — “Dr. Abdullah Al-Rabeeah, general supervisor of the King Salman Center for Relief and Humanitarian Aid (KSRelief), inaugurated the building project of the Committee for Emergency Situations and Civil Defense (CoES)’s republican education and training center in the Tajik capital of Dushanbe.” READ MORE: http://www.arabnews.com/node/1382736/saudi-arabia

TURKMENISTAN

Turkmenistan: My kingdom for a horse

In its ‘Akhal-Teke: A Turkmenistan Bulletin’, Eurasianet reviews the main news and events in the Central Asian country for the previous week

Oct 2 — “After a decade-long hiatus, Turkmenistan’s President Gurbanguly Berdymukhamedov last week convened the Halk Maslahaty, or People’s Council. In his speech delivered on September 26, he made no mention on why he had decided to summon the council, a gathering of community elders and public figures that he abolished in 2008. The institution had once fundamentally functioned to lend the rule of Berdymukhamedov’s eccentric predecessor, Saparmurat Niyazov, who died in December 2006, the flavor of popular support.” READ MORE: https://eurasianet.org/turkmenistan-my-kingdom-for-a-horse

Turkmenistan enters brave new world of eSports

eSports have arrived in authoritarian Turkmenistan, a country of around five million people which was practically offline just over a decade ago

Oct 4 — “Reclusive, gas-rich Turkmenistan is dipping its toe into the world of eSports having got a taste for gaming at a showcase sporting event it held last year. The Central Asian country is in the process of forming a national eSports team that will represent it in events devoted to Counter-Strike, Dota 2, Hearthstone and other popular computer game titles.” READ MORE: https://www.thestar.com.my/tech/tech-news/2018/10/04/turkmenistan-enters-brave-new-world-of-esports/

U.S. companies see great potential in partnership with Turkmenistan

Cash-strapped Turkmenistan is reaching out to the US in the search for new investments in its crisis-hit economy

Oct 5 — “The business forum Turkmenistan-U.S., which was held recently in New York and was attended by Turkmen President Gurbanguly Berdimuhamedov, identified new ways of developing bilateral business cooperation. The meeting once again demonstrated the impressive economic potential of Turkmenistan.” READ MORE: https://www.azernews.az/region/138641.html

UZBEKISTAN

Uzbek Authorities Deny Reports Of Gulnara Karimova’s Release, Dubai Hotel Stay

Contraversial reports surfaced about the whereabouts of the elder daughter of the late Uzbek president

Oct 3 — “Uzbekistan’s Prosecutor-General’s Office has denied a report that Gulnara Karimova, the imprisoned daughter of deceased former President Islam Karimov, has been freed from state custody and has checked into a luxury hotel in Dubai. The office told RFE/RL’s Uzbek Service on October 3 that Karimova “is serving her sentence in Uzbekistan according to the law.” READ MORE: https://www.rferl.org/a/uzbek-authorities-deny-reports-of-gulnara-karimova-s-release-dubai-hotel-stay/29523937.html

India just rolled out the red carpet for Uzbekistan. But, experts say New Delhi relations with Central Asia could be better considering their keeness

Experts say that New Delhi is not doing enough to strengthen relations with Central Asian countries

Oct 4 — “New Delhi is not doing enough to strengthen relations with Central Asian countries, even as they are keen to enhance ties with India, experts tell FE Online. Lack of interest is holding back India in strengthening ties with the Central Asian countries, which can help New Delhi in balancing relations with China.” READ MORE: https://www.financialexpress.com/defence/india-just-rolled-out-the-red-carpet-for-uzbekistan-but-experts-say-new-delhi-relations-with-central-asia-could-be-better-considering-their-keeness/1336701/

Uzbek expats heed president’s call to return

Veteran investor launches financial services firm to capitalize on reforms in Uzbekistan

Oct 4 — “The economic reforms of Uzbek president Shavkat Mirziyoyev received another vote of confidence in September with the launch of a US-based investment firm focused on the country’s financial services sector. Mirziyoyev has been opening up Uzbekistan’s economy since taking over the presidency in September 2016 after the death of his isolationist predecessor, Islam Karimov. Key moves have included the lifting of draconian restrictions on foreign exchange and a rebuilding of relations with the international community, notably with the multilateral development banks.” READ MORE: https://www.euromoney.com/article/b1b7c7wcf42j7s/uzbek-expats-heed-presidents-call-to-return

Currency crisis comes to Uzbekistan

Analyst says that a weak currency could have negative implications for Uzbekistan’s struggling economy, such as reversing some of the progress made by the reforms

Oct 5 — “It’s been a tough year for some of the world’s major currencies. The Turkish lira, the Russian ruble, the Chinese yuan and many others have declined steadily, with some dropping quite dramatically in August. Some have recovered slightly, but the overall trend remains the same. And now, we can add Uzbekistan to the list. The Uzbek currency, the som, has been declining since early August. On 2 October, it was valued at 8,179 soms to the dollar.” READ MORE: https://www.euractiv.com/section/central-asia/opinion/currency-crisis-comes-to-uzbekistan/

AFGHANISTAN

Dance Like It’s 1949: Afghan Islamists Celebrate Chinese Communism

Afghanistan’s prominent onetime hard-line Islamists were accused of “hypocrisy” by social-media users for watching half naked Chinese girls dancing in Kabul’s Chinese embassy reception

Oct 1 — “Sibghatullah Mojadedi, Mohammad Mohaqiq, and Mohammad Khan are among Afghanistan’s most prominent onetime hard-line Islamists. But the former warlords’ credentials have been questioned by some Afghans after they attended a celebration marking Chinese communism in Kabul.” READ MORE: https://www.rferl.org/a/dance-like-it-s-1949-afghan-islamists-celebrate-chinese-communism/29519519.html

The Islamic State’s Future in Afghanistan

IS-K has always been regarded by Afghans as a foreign force that has little regard for Afghan culture, customs, or traditions. Moreover, unlike the Taliban, IS-K has no supporters or sympathizers among Afghanistan’s neighbors

Oct 4 — “The Islamic State (ISIS) temporarily managed to win over disgruntled elements among the Afghan and Pakistani Taliban, along with youth from the remote districts in Afghanistan’s east, after restructuring and renaming itself Islamic State in Khorasan (IS-K). IS-K’s initial victories against the Taliban and the Afghan government on both the battle and propaganda fronts rang alarm bells in world capitals, particularly among the weaker, neighboring Central Asian states.” READ MORE: https://www.algemeiner.com/2018/10/04/the-islamic-states-future-in-afghanistan/

The War in Afghanistan is Enabling Pedophilia

A new State Department report makes the grim reality clear

Oct 5 — “While Saddam Hussein’s alleged possession of weapons of mass destruction was the main selling point for the 2003 Iraq war, ending the dictator’s many human rights abuses was another key rationale. And chief among those abuses was Saddam’s “rape rooms.” READ MORE: https://www.theamericanconservative.com/articles/the-war-in-afghanistan-is-enabling-pedophilia/

Afghanistan’s Minerals: A Looted Economic Hope for Stability

Afghanistan possesses huge reserves of mineral resources, but their extraction requires large investments and security that is missing in the war-torn country

Oct 5 — “Instead of being looted, Afghanistan’s resources should be strategically exploited for the country’s benefit.” READ MORE: https://thediplomat.com/2018/10/afghanistans-minerals-a-looted-economic-hope-for-stability/

WORLD

Potential Hot Spots: Central Asia Smolders

Central Asia is among the leading ‘exporters’ of terrorists to western countries and Russia

Oct 3 — “Islamic terrorism should be thriving in Central Asia, but it isn’t. Blame it on Russian and Chinese communism as well as local traditions that survived communism and the czars. Most of Central Asia consists of the five former republics of the Soviet Union (Uzbekistan, Kazakhstan, Turkmenistan, Tajikistan and Kyrgyzstan). “ READ MORE: https://www.strategypage.com/qnd/pothot/20181003.aspx

Is Russia becoming Central Asia’s ‘near abroad’?

Russia’s relationship to Central Asia has always been distinctive and ambiguous. Only in the 20th century did it develop a deep sense of mission in this region. Today, Central Asia is fast recovering its traditional regional spirit, which increasingly impacts its former imperial ruler. As this happens, Russia, while remaining a force to be reckoned with in Central Asia, is also becoming an object of Central Asian geopolitical and cultural influence. Hence the notion of Russia as Central Asia’s “near abroad”

Oct 6 — “President Putin’s, and hence Russia’s, attitude towards Central Asia is no secret. He called the collapse of the USSR “the greatest geopolitical tragedy of the twentieth century.” It left Putin with the greatest geopolitical hangover of the twenty-first century. When in the 1990s the Central Asians formed a kind of regional union, Putin demanded to be included as an observer. Two years later he demanded to be a full member. And then he closed down the organization, merging it into what became his Eurasian Economic Union. Immediately after 9:11 he laid out his position: in phone conversations with every Central Asian president he told them they had no right to deal with the Americans without first receiving his OK.” READ MORE: https://timesca.com/index.php/news/26-opinion-head/20339-is-russia-becoming-central-asia-s-near-abroad

BISHKEK (TCA) — Enhancing security dialogue in Central Asia, countering new challenges and threats in border areas, promoting Mediterranean cooperation and strengthening citizens’ engagement in building secure societies have been among the topics of debate at the OSCE Parliamentary Assembly’s 17th Autumn Meeting in Bishkek, Kyrgyzstan this week.

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DUSHANBE (TCA) — Carrying on a tradition of over 25 years of partnership between the United States and Tajikistan, the U.S. Embassy in Dushanbe has provided a school and a clinic to better assist local communities. On behalf of the Embassy, Isfara District Officials opened the Isfara School #31 in Sughd Province and Shahrtuz District officials opened the Korez Village Health Clinic in Khatlon Province, the Embassy reported.

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