Page 123 – The Times Of Central Asia

23 Dec 2025

Japan and Central Asia Enter a New Era of Strategic Partnership

December 29, 2025
By Aliya Haidar

On December 20, the first summit of Central Asian and Japanese leaders (CA+JAD) was held in Tokyo. The Tokyo Declaration, an ambitious roadmap for future cooperation, was adopted during the summit. It aims to transform relations between Japan and the five Central Asian countries into a deep and multifaceted strategic partnership.

New Paths for the Region

Japan intends to invest about $20 billion in business projects across Central Asia over the next five years. Priority areas for cooperation include environmental initiatives, and the transition to carbon neutrality in the energy sector.

Additional areas include developing supply chains for key minerals, disaster risk reduction, and earthquake preparedness. Projects in agriculture and logistics, particularly improvements along the Trans-Caspian International Transport Route, were also discussed.

Other topics covered included launching direct flights between Japan and Central Asia, advancing cooperation in digital technologies and artificial intelligence, and expanding scholarships and training programs.

Attendees included Japanese Prime Minister Sanae Takaichi; Kazakh President Kassym-Jomart Tokayev; Kyrgyz President Sadyr Japarov; Tajik President Emomali Rahmon; Turkmen President Serdar Berdimuhamedov; and Uzbek President Shavkat Mirziyoyev. The second Central Asia-Japan summit is scheduled to take place in Kazakhstan, in line with the agreed English alphabetical rotation.

Turkmenistan: Petrochemical Cooperation

President Serdar Berdymuhamedov met with representatives of major Japanese corporations, including Sumitomo, Toyo Engineering, Muroosystems, Itochu, Argonavt, Mitsubishi, Kawasaki Heavy Industries, and Tokyo Boeki Eurasia.

He cited several successful Japanese-led projects in Turkmenistan, such as waste processing plants, a wastewater treatment initiative for industrial reuse, PET plastic recycling, and e-waste processing to reduce hazardous materials.

New memorandums were signed between Turkmen and Japanese entities. Key among them: an agreement involving the state-owned concern Turkmenhimiya, Mitsubishi Heavy Industries, Mitsubishi Corporation, and Gap Inşaat on building a urea plant in the Balkan region with a capacity of 1.155 million tons per year.

Turkmenhimiya also signed an agreement with Kawasaki Heavy Industries to extend maintenance for the Akhal gas-to-gasoline plant. In addition, a cooperation deal was reached with Toyo Engineering and Turkey’s Rönesans Endüstri for the second phase of the Kiyanly polymer plant.

Other memoranda included partnerships between the Ministry of Automobile Transport of Turkmenistan and Sumitomo Corporation, TurkmenGas and Sumitomo Europe, and the Ministry of Communications and Mitsubishi Corporation Machinery, focusing on artificial intelligence and digital technologies. Agreements were also signed with media outlets, banks, and universities.

Diplomatic ties between Japan and Turkmenistan were established in 1992. The Japanese Embassy opened in Ashgabat in 2005, and the Turkmen Embassy in Tokyo followed in 2013. Japan also plays a vital role in Turkmenistan’s export of polypropylene. Japanese firms Kawasaki and Sojits helped construct a fertilizer complex in the town of Mary, while Itochu and Day Nippon were involved in modernizing the national railway’s IT systems.

Kyrgyzstan: Energy and Education Ties

President Sadyr Japarov oversaw the signing of bilateral agreements spanning exports, energy, healthcare, education, tourism, agribusiness, and digital development.

Agreements included a roadmap between Kyrgyzstan’s Ministry of Energy and MurooSystems for a small hydropower plant on the Chon-Kemin River and various education-related memorandums with Japanese firms like Sprix, Fujifilm SystemService, Digital Knowledge Inc, and Gakken Holdings.

A strategic memorandum of understanding was signed between the Kyrgyz-Japanese Human Development Center (KRJC) and the Kyrgyz-Japanese School Complex. Another focused on establishing the Kyrgyz-Japanese Digital University (K-JDU).

Uzbekistan: Strategic Investment Expansion

President Shavkat Mirziyoyev and Prime Minister Takaichi signed wide-ranging agreements in education, healthcare, environment, water, transport, urban development, agriculture, and disaster preparedness.

Key priorities included green energy, IT, critical minerals, mechanical engineering, and healthcare modernization. Japan committed yen-denominated loans, medical equipment grants, and investment support for MSMEs.

A project portfolio worth over $12 billion was announced, and both sides agreed to create a joint investment platform and a special economic zone in Samarkand modeled on Japanese standards. The scaling-up of the “One Village, One Product” initiative was also supported.

Japan and Uzbekistan, which have cooperated in education since the early 1990s, plan to open a joint university in Tashkent with Tsukuba University.

Tajikistan: Unlocking Potential

A Trade and Investment Forum during President Emomali Rahmon’s Tokyo visit attracted over 70 officials and business leaders.

The two sides noted the need to shift from isolated projects to a systemic investment strategy. Tajikistan emphasized its favorable business climate and openness to Japanese participation in infrastructure, energy, and high-tech sectors.

An intergovernmental agreement was signed on mutual investment protection.

JICA has played a key role in Tajikistan since 2006, supporting development in water, transport, education, and more. Bilateral trade exceeded $109 million in 2024.

Kazakhstan: Resources and Logistics Hub

President Kassym-Jomart Tokayev held high-level talks with Prime Minister Takaichi and business leaders from Mitsui, Rakuten, Sumitomo, Komatsu, Hitachi, and the Japan Organization for Metals and Energy Security.

Over 60 agreements totaling $3.7 billion were signed. Kazakhstan, which supplies uranium, rare earth metals, and oil to Japan, received more than $8.5 billion in Japanese investments. Trade between the two countries reached approximately $2 billion in 2024.

Japan will help modernize customs procedures at the port of Aktau and participate in infrastructure development along the Middle Corridor (Trans-Caspian route). More than 80% of land freight between Asia and Europe currently passes through Kazakhstan.

Energy Projects and Future Cooperation

Kazakhstan’s natural resources and Japan’s nuclear expertise offer opportunities for cooperation in energy innovation, safety, waste management, and personnel training.

The region’s reserves of rare earth elements make it a potential hub in the global energy transition. The SmartMining Plus project, focused on digitalization and sustainability in mining, is already underway.

Diplomatic relations between Kazakhstan and Japan date back to 1992. Over 60 Japanese firms now operate in Kazakhstan across sectors such as energy, mining, finance, medicine, and logistics.

Expert Assessment

According to Timur Dadabaev, professor at Tsukuba University, the summit marks a shift from quiet diplomacy to a strategic institutional partnership. It strengthens Central Asia’s multi-vector diplomacy and embeds Japan’s long-term presence.

Tajik analyst Sobir Kurbanov noted the increased significance of Central Asia in the wake of Russia’s war in Ukraine. Japan’s access to critical resources, including rare earth metals, is a key strategic interest.

Japan faces stiff competition from Russia, China, the European Union, and the U.S., but its image as an innovative, non-imperial partner gives it a unique edge.

Kazakh political scientist Dosym Satpayev noted that Japan’s trade with Central Asia, about $35 billion, is higher than that of the U.S., though it trails China’s $95 billion and the EU’s $50 billion with Kazakhstan alone. Kazakhstan remains Japan’s primary regional partner, mostly supplying raw materials.

23 Dec 2025

Central Asia, Home, Uzbekistan, Uzbekistan Home, Uzbekistan Business & Economy, Business & Economy

Uzbekistan Unveils New Capital Market Reforms to Attract $1 Billion in Investment

December 23, 2025
By Sadokat Jalolova

Uzbekistan has approved a presidential decree aimed at enhancing the investment climate in the country’s capital markets. According to the Ministry of Justice, the reform package is designed to attract $1 billion in new investments by 2030 through the introduction of modern financial instruments. As part of this strategy, authorities plan to issue corporate bonds worth five trillion Uzbekistani som (approximately $415 million) to expand funding opportunities for local businesses.

The ministry noted that the decree also focuses on improving investor protection by introducing mechanisms expected to eliminate over 85 percent of current violations in the capital market. A key component of the reform is the indefinite extension of the “Regulatory Sandbox”, a special legal regime that allows financial institutions to test innovative products under simplified regulatory conditions.

Within the sandbox framework, Uzbek legal entities can apply for participant status, while foreign organizations and local investment funds may offer financial services related to the safe custody and accounting of securities they issue or hold. The decree also permits issuers, in specific cases outlined by law, to release unsecured corporate bonds exceeding the size of their own capital, broadening fundraising options for businesses.

Separately, Uzbekistan has taken a major step toward digital finance. As previously reported, the Wallet service on the Telegram messaging platform officially launched in Uzbekistan on December 9, giving over 27 million local users access to cryptocurrency transactions. The service supports major digital assets such as Bitcoin, Toncoin, and USDT, enabling users to buy, store, and transfer crypto using local payment systems.

The launch reflects Uzbekistan’s broader ambition to position itself as a regional hub for regulated digital financial services.

23 Dec 2025

Central Asia, Home, Life & Culture, Kyrgyzstan Life & Culture, Kyrgyzstan, Features, Kyrgyzstan Features, Kyrgyzstan Home

New Report Highlights Persistent Gender Equality Gaps in Kyrgyzstan

December 23, 2025
By Sergey Kwan

Kyrgyzstan has released its Country Gender Equality Profile (CGEP), a comprehensive, evidence-based assessment prepared by the Ministry of Labor, Social Welfare, and Migration in collaboration with UN Women and with support from the European Union. The report, presented during a National Dialogue on Promoting Gender Equality Policy, examines structural barriers to gender equality through government statistics, legislative analysis, and stakeholder consultations.

Speaking at the event, Deputy Prime Minister Edil Baisalov highlighted the strategic importance of the CGEP, noting that women remain underrepresented in public administration. He called for systemic and practical solutions to ensure women’s full participation in both elected and appointed leadership positions.

While Kyrgyzstan’s National Gender Equality Strategy through 2030 outlines women’s economic empowerment, cultural transformation, prevention of gender-based violence, and gender parity in decision-making as core priorities, the CGEP finds that implementation remains constrained by deep-rooted challenges.

The report notes that gender quotas have proven effective in elected bodies, with women now holding 39% of seats in local councils. However, the absence of similar mechanisms in appointed positions has led to ongoing exclusion. Women currently hold only 5% of cabinet posts, occupy none of the positions of Presidential Representatives or district heads, and account for just 3.5% of leadership roles in rural administration. Media representation further skews public perception, with male politicians receiving seven times more coverage than their female counterparts.

The CGEP also highlights growing economic and social disparities. Women’s employment rate declined from 49.3% to 43.8% over the past 15 years, driven by traditional gender norms and rising religious conservatism. The majority of employed women (77%) work in lower-paid sectors such as education and healthcare or in informal roles, contributing to a 25% gender pay gap. On average, women spend 4 hours and 20 minutes per day on unpaid household labor, compared to just 55 minutes for men.

Access to property and finance remains limited. Women own only 29% of registered real estate, restricting their ability to secure credit and scale businesses. They make up just 27% of entrepreneurs and hold only 1.2% of leadership roles in Water User Associations.

Digital inequality is another critical barrier. In 2023, just 45% of rural women had internet access, compared to 65% of men. Women’s representation in the information and communications technology (ICT) sector dropped from 40.8% in 2020 to 31.9% in 2022, and they hold only 15% of leadership roles in the tech industry. Meanwhile, women account for just 33.9% of students enrolled in computing-related degree programs.

According to the National Statistical Committee, as of January 1, 2025, Kyrgyzstan’s population stood at 7.28 million, 3.68 million women and 3.60 million men.

The findings underscore that despite a robust policy framework, Kyrgyzstan continues to face entrenched structural and cultural barriers that limit women’s full participation in political, economic, and digital spheres.

23 Dec 2025

Central Asia, Home, Kazakhstan, Business & Economy, Kazakhstan Business & Economy, Kazakhstan Home

Kazakhstan’s Automotive Industry Approaches $4 Billion by End of 2025

December 23, 2025
By Dmitry Pokidaev

Kazakhstan’s automotive industry posted record-breaking results in the first 11 months of 2025, with total production valued at nearly $4 billion, already exceeding the full-year total for 2024 by approximately $251 million.

According to official data from the Bureau of National Statistics, the industry reached its highest monthly output in November, producing 22,580 units of automotive equipment valued at around $601 million. This marked a 25.5% year-on-year increase in production volume.

A record number of passenger cars, trucks, buses, trailers, and specialized vehicles were manufactured during the month. In total, from January through November, Kazakhstan produced 146,163 vehicles worth approximately $3.9 billion, 15.7% more than during the same period in 2024.

While physical output remained comparable to previous years, the increase in the total value of production, surpassing $3.6 billion in 2024 and $3.4 billion in 2023, indicates rising added value and growing complexity in domestic manufacturing processes.

Automotive production accounted for 41.7% of Kazakhstan’s overall machine-building sector during the first 11 months of 2025, up from the previous year. According to the Kazakhstan Automobile Union (KAS), Allur, based in the Kostanay region, remained the industry leader with more than 79,000 vehicles produced during the reporting period.

Southern Kazakhstan also saw strong growth, with over 48,000 cars assembled at the Hyundai Trans Kazakhstan and Hyundai Trans Almaty plants, up 26.7% year-on-year. In the Karaganda region, QazTehna expanded commercial vehicle output by more than 50%. However, production declined in eastern Kazakhstan, particularly in Semey, underscoring regional disparities in industry development.

The Chevrolet Cobalt, Hyundai Tucson, Kia Sportage, Hyundai Mufasa, and Hyundai Elantra were the top models produced, and also ranked among the most popular vehicles on the domestic market.

The production surge coincided with a revival in consumer demand. As previously reported by The Times of Central Asia, Kazakhstan set a new car sales record in November 2025, further supporting high factory utilization across the country.

22 Dec 2025

Central Asia, Home, Business & Economy, Kazakhstan, Kazakhstan Business & Economy, Kazakhstan Home

KazTransOil Opens First EU Office in Poland to Boost Oil Transit and Exports

December 22, 2025
By Sergey Kwan

Kazakhstan’s national oil pipeline operator KazTransOil has announced the opening of its first representative office in the European Union, selecting Poland as the location. The decision, approved by the company’s board of directors, aims to strengthen Kazakhstan’s presence in European energy markets, the company said in a statement.

The new office will focus on protecting KazTransOil’s commercial interests in Poland and facilitating the transit of Kazakh crude oil through Belarus and Poland. It will also oversee the handover of oil at the Adamova Zastava delivery point on the Belarusian-Polish border, from where it is transported to the Schwedt refinery in eastern Germany.

KazTransOil stated that the move is intended to expand alternative export routes, enhance supply reliability, and reinforce Kazakhstan’s role as a strategic energy partner to Europe.

The expansion comes amid deepening oil cooperation between Kazakhstan and European countries. On December 18, KazTransOil and Russia’s state-owned pipeline operator Transneft signed a transit agreement for 2026, allowing Kazakh oil to continue flowing through Russian territory. While specific volumes were not disclosed, the agreement covers shipments to Russian ports such as Novorossiysk and Ust-Luga, and to the Russia-Belarus border for onward delivery to EU countries.

Germany, in particular, has ramped up imports of Kazakh oil as part of its broader effort to reduce reliance on Russian energy. Following the 2022 invasion of Ukraine and subsequent EU sanctions, Berlin halted Russian oil imports and began receiving regular shipments of Kazakh crude in 2023.

In 2024, Germany imported 1.5 million tons of Kazakh oil and plans to increase that to 1.7 million tons in 2025, with a long-term target of 2.5 million tons annually.

In October 2025, KazMunayGas, Kazakhstan’s national oil and gas company, signed an updated agreement with Rosneft Deutschland GmbH to extend oil supply arrangements through the end of 2026. The revised deal boosts monthly deliveries from 100,000 to 130,000 tons. Additional volumes are expected from the Karachaganak field, while supplies from the Kashagan and Tengiz fields are set to begin in 2024 and 2025, respectively.

According to KazMunayGas, approximately 1.5 million tons of Kazakh oil were delivered to the Schwedt refinery between January and September 2025. Rosneft Deutschland GmbH, which holds a stake in the refinery, remains under German government trusteeship as part of Berlin’s effort to minimize exposure to Russian energy assets.

Deliveries of Kazakh oil to Europe are conducted via the Druzhba pipeline. Originating in Samara, Russia, the pipeline splits near Bryansk and Mozyr into two branches: the northern route through Belarus and Poland to Germany, and the southern route through Ukraine to Hungary, Slovakia, and the Czech Republic.

22 Dec 2025

Central Asia, Environment, Home, Kazakhstan Environment, Kazakhstan, Kazakhstan Home

Kazakhstan to Permit Limited Saiga Horn Exports Under Strict Controls

December 22, 2025
By Vagit Ismailov

Kazakhstan plans to begin limited and strictly regulated exports of saiga antelope horns, according to the Ministry of Ecology and Natural Resources, as reported by Nege.Aqsha.

Minister of Ecology Yerlan Nysanbayev emphasized that unrestricted trade is not under consideration. He stated that exports will be allowed only under rigorous regulation, with restrictions on both volume and export mechanisms. A three-year quota system is expected to be implemented.

A critical condition for authorizing exports is the establishment of a traceability system. Kazakhstan aims to integrate its national tracking database with China’s, enabling the monitoring of saiga horn derivatives from the point of harvest to final processing. Nysanbayev noted that this system has been under development since 2023. All harvested saiga horns are currently microchipped and individually registered to minimize the risk of illegal trafficking.

The legal basis for these potential exports stems from a decision at the 20th Conference of the Parties to the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES), held in Samarkand from November 24 to December 5. While this decision does not trigger automatic exports, it provides Kazakhstan with a legal framework to manage regulated trade in accordance with international agreements.

Simultaneously, the Ministry of Ecology has finalized a national roadmap for managing the saiga population. As of May 2025, Deputy Minister of Ecology Nurken Shabiev confirmed the roadmap’s completion, although the accompanying biological justification was still under preparation.

“As many as they are ready to process will be seized to prevent a repeat of last year’s experience, when there was damage in some places,” a ministry spokesperson said.

Between July and November 2025, approximately 196,000 saigas were culled in Kazakhstan, with the carcasses transferred to local processing facilities.

Kazakhstan is home to three main saiga populations, Betpakdala, Ural, and Ustyurt which together account for more than 90% of the global saiga population. As of March 2025, the total population in Kazakhstan stood at 4.1 million, a dramatic increase from the historical high of 1.2 million during the Kazakh SSR period.

The saiga antelope has been listed as critically endangered by the International Union for Conservation of Nature since 2002. A nationwide moratorium on hunting and trade in saiga parts remained in effect until 2024. However, the sharp population increase led authorities to transition from a blanket ban to a model of regulated harvesting.

The renewed interest in saiga horn exports is also driven by persistent demand in traditional Chinese medicine, where the antlers are highly valued.