Page 153 – The Times Of Central Asia

15 Aug 2025

Business & Economy, Kazakhstan, Kazakhstan Business & Economy

Kazakhstan’s Student Housing Crisis Deepens

August 15, 2025
By Vagit Ismailov

Kazakhstan continues to face a severe shortage of student dormitories, with many new facilities being built in locations that do not address the areas of greatest need, according to a report by analysts at Energyprom.kz.

Demand far outstrips supply

In the 2024/2025 academic year, the country had 336,400 non-resident students, 7.5% more than the previous year. The largest concentrations were in Almaty (123,500), Astana (51,900), and Shymkent (28,500).

Of these, 131,400 required dormitory accommodation, but only 95,900 places were available. On average, just 39% of non-resident students in need were housed. In some regions, the situation was far worse: in Aktobe region, almost 70% of students seeking accommodation could not get it; in North Kazakhstan region, the figure was 68.8%; and in Turkestan region, 58.5%.

While the national average shows 73% of students have access to some form of housing, regional disparities are stark. Only eight out of 20 regions fully met demand. The lowest provision rates were recorded in Aktobe (50.4%), Almaty (60.3%), and Abai region (69.1%). As a result, even in relatively well-served areas, many students are forced to rent costly and often substandard accommodation.

Misaligned construction priorities

In the first half of 2025, 22 dormitories were commissioned nationwide, up from 18 in the same period last year. However, half were designated for workers and migrants rather than students. Only six were built specifically for students, while four were family-type facilities.

The Atyrau region saw the most activity, with six dormitories built, followed by Astana (four) and Akmola and Mangistau regions (three each). Notably, no new student dormitories were built in either Aktobe region or Almaty, where demand is highest.

Paradoxically, Atyrau, where 99.7% of demand is already met and only 26.3% of students require housing, recorded the highest construction rates.

Rising student numbers add pressure

The problem is compounded by an influx of internal and international student migrants. In the first quarter of 2025 alone, 8,900 such students arrived, a 26.3% increase year-on-year.

Almaty led the inflow with 2,100 new students, up from 1,400 last year (+48.9%). It was followed by Astana, Shymkent, Almaty region, and Turkestan region. Only Pavlodar region maintained last year’s intake, while Ulytau and Akmola regions saw declines.

Analysts note that while the growth reflects the appeal of Kazakhstan’s leading universities, it is placing additional strain on an already inadequate student housing system.

15 Aug 2025

Environment, Central Asia, Home, Kyrgyzstan Environment, Kyrgyzstan, Kyrgyzstan Home

Kyrgyzstan’s Issyk-Kul and China’s Qinghai Become Sister Lakes

August 15, 2025
By Sergey Kwan

Kyrgyzstan and China’s Qinghai Province have signed a memorandum of intent to establish “twin” or sister-lake relations between Lake Issyk-Kul and Qinghai Lake, the Kyrgyz Ministry of Natural Resources, Environment and Technical Supervision announced.

The two lakes share many natural similarities.

Issyk-Kul, Kyrgyzstan’s largest lake, measures 182 km in length and up to 60 km in width. Saline and surrounded by mountain ranges, it is the country’s leading tourist destination.

Qinghai Lake, located in northwest China’s Qinghai province, is the country’s largest lake, renowned for its scenic beauty and diverse birdlife. It stretches 105 km in length and 63 km in width, covering over 4,500 square kilometers. Situated at 3,200 meters above sea level, it has an average depth of 21 meters, with cold, salty waters.

Under the memorandum, Kyrgyz and Chinese representatives will organize mutual visits, seminars, scientific events, and other activities to foster cooperation and share expertise on lake management. The plan also includes developing an eco-tourism route called “Sister Lakes.”

The initiative forms part of broader Kyrgyz-Chinese environmental and social cooperation under the Belt and Road Initiative. It also envisions joint use of natural resources, development of infrastructure projects, and coordinated monitoring of water quality and environmental conditions.

15 Aug 2025

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

Kazakhstan Tops Central Asia for GDP per Capita, Surpassing Russia and China

August 15, 2025
By Dmitry Pokidaev

Kazakhstan has emerged as the regional leader in gross domestic product (GDP) per capita, overtaking both Russia and China, according to the International Monetary Fund (IMF). IMF data shows that in 2025 Kazakhstan’s GDP per capita reached $14,770, compared to $14,260 in Russia and $13,690 in China.

Within Central Asia, Turkmenistan followed with $13,340, while Uzbekistan posted $3,510, Kyrgyzstan $2,750, and Tajikistan $1,430. Kazakhstan also leads among Commonwealth of Independent States (CIS) members, ahead of Georgia ($9,570), Armenia ($8,860), Moldova ($8,260), Belarus ($7,880), Azerbaijan ($7,600), and Ukraine ($6,260). Only the Baltic states recorded higher figures: Estonia ($32,760), Lithuania ($30,840), and Latvia ($24,370). Ireland remained Europe’s leader with $108,920 per capita.

The IMF calculates GDP per capita at current prices, offering a snapshot of purchasing power and overall economic wellbeing. Its analysts attribute Kazakhstan’s strong performance to vast mineral resources, with energy and mineral exports continuing to drive growth. Recent years have also seen expansion in raw material processing and production of high value-added goods.

The report cites ongoing business reforms, foreign investment inflows, and infrastructure upgrades as key factors enhancing competitiveness. Significant spending is going into transport, logistics, technology, education, healthcare, and social services, bolstering domestic demand and labor productivity.

Kazakhstan’s strategic position on trade routes linking Europe and Asia, participation in the Belt and Road Initiative, and active engagement with Russia, China, the EU, and other partners are also seen as growth drivers.

The IMF notes that macroeconomic stability is supported by low inflation, a steady tenge exchange rate, and a balanced budget. “The policies of the National Bank and the government are helping to maintain economic stability even amid global challenges,” the report states.

The Times of Central Asia previously reported that, according to IMF forecasts, Central Asian economies are expected to grow faster than the global average in 2025.

15 Aug 2025

Business & Economy, Kyrgyzstan, Kyrgyzstan Business & Economy

Kyrgyzstan and Russia Sign $270 Million in Agreements at Issyk-Kul Forum

August 21, 2025
By Anton Chipegin

At the seventh Kyrgyz-Russian Economic Forum on the shores of Issyk-Kul, Kyrgyzstan and Russia signed nearly 30 agreements worth about US $270 million. The forum brought together around 1,000 representatives from government agencies, investment funds, businesses, and public organizations across member states of the Eurasian Economic Union (EAEU).

In his address, President Sadyr Japarov said Kyrgyzstan has maintained average annual economic growth of 9 per cent since 2022, the highest rate among countries in the Commonwealth of Independent States and the EAEU. He described the forum as a vital platform for strengthening cooperation, exchanging experience, and fostering direct business ties. He also stressed the importance of technological independence, protection of digital data, and the development of national IT infrastructure.

The agreements span energy, industry, transport, aviation, agriculture, the digital economy, education, and logistics. They include a US $55 million contract for Airports of Kyrgyzstan to acquire aircraft from a Russian manufacturer, a US $2.8 million memorandum for the purchase of an electric cruise ship, supply agreements for tractors, trucks, metal products, and machine tools, and plans for a milk processing complex. Additional deals cover financing arrangements for Kyrgyz companies to issue securities on the Russian market, an investment agreement with the Eurasian Development Bank to support projects through the Russian-Kyrgyz Development Fund, and a commitment by the Kyrgyz Green Energy Fund to purchase electricity from Russian suppliers. Roscosmos and the Kyrgyz Ministry of Digital Development also signed a memorandum on the peaceful exploration of space.

First Deputy Prime Minister Daniyar Amangeldiev noted that during Kyrgyzstan’s decade as an EAEU member, the country has seen improvements in socioeconomic indicators, a decline in unemployment, and continued growth in priority sectors.

15 Aug 2025

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

Uzbekistan Targets Premium Global Brands with U.S. Cotton Imports

August 15, 2025
By Sadokat Jalolova

Uzbekistan, one of the world’s largest cotton producers, may begin importing cotton from the United States, a move that has prompted public debate. Inomjon Abdurakhmonov, Head of the Foreign Trade Department at the Ministry of Investment, Industry and Trade, explained that the decision is aimed at helping Uzbekistan secure a foothold in premium global markets and boost the reputation of its textile exports.

A rapidly growing textile sector

Over the past seven years, Uzbekistan’s textile industry has expanded dramatically. Since 2017, cotton yarn output has more than doubled from 412,000 to 970,000 tons, knitted fabric production has risen from 68,000 to 312,000 tons, and ready-made garment output has jumped from 960 million to 3.1 billion pieces. Exports have grown from about $1.1 billion in 2016 to $2.8 billion in 2024.

This growth stems from a deliberate policy shift away from exporting raw cotton in favor of domestic processing. Today, 100% of the national harvest is used locally, feeding factories that now export finished goods to more than 50 countries.

Why import cotton?

Abdurakhmonov emphasized that imports would supplement, not replace, domestic supply. “Uzbek cotton is fully consumed domestically, but our factories still operate at about 75% capacity,” he said. “Premium-grade imports allow us to expand production and meet the strict quality standards of top global brands.”

Similar strategies are used by other textile leaders such as Turkey, India, Vietnam, and China, all of which import high-grade cotton to meet market requirements.

The U.S. advantage

The plan focuses on importing Strict Middling, a high-grade U.S. fiber recognized for its consistency, strength, and sustainability credentials under the U.S. Cotton Trust Protocol. “For major brands like Levi’s, Ralph Lauren, Puma, and Gap, ‘Made with U.S. Cotton’ is not optional, it’s a prerequisite,” Abdurakhmonov explained.

Such quality cannot easily be replicated in Uzbekistan’s climate, and producing comparable fiber locally would take at least five years.

Financing the imports

Purchases will be supported by the U.S. Department of Agriculture’s GSM-102 program, which offers credit guarantees and deferred repayment terms of 12-18 months. This allows Uzbek manufacturers to sell finished goods before paying for the raw cotton, covering up to 98% of the deal value.

Long-term benefits

While U.S. cotton costs 15-20% more than domestic fiber, it will be used selectively for contracts where premium quality is mandatory, with higher margins offsetting the expense.

Beyond immediate production gains, Uzbekistan aims to enhance its global textile reputation and strengthen its position in supply chains. Preferential access under the EU’s GSP+ system has already nearly doubled exports to Europe, from $74 million to $140 million and similar results are expected from U.S. partnerships.

“Importing U.S. cotton is not about shortages, it’s about credibility,” Abdurakhmonov said. “This strategy will secure our place in premium markets and create long-term opportunities for our economy.”

15 Aug 2025

Central Asia, Kyrgyzstan, Business & Economy, Kyrgyzstan Business & Economy

EDB to Fund Feasibility Study for Railway in Kyrgyzstan’s Issyk-Kul Region

September 1, 2025
By Sergey Kwan

The Eurasian Development Bank (EDB) will provide a grant to Kyrgyzstan’s national railway company, Kyrgyz Temir Jolu, to prepare a preliminary feasibility study for a new railway line connecting the cities of Balykchy and Cholpon-Ata in the Issyk-Kul region.

Balykchy and Cholpon-Ata are located 79 km apart. At present, the railway linking Kyrgyzstan’s capital, Bishkek, with Lake Issyk-Kul ends in Balykchy. The planned section would extend the line to Cholpon-Ata, the main resort city on the lake’s northern shore.

A technical assistance agreement for financing the study was signed on August 14 by Azamat Sakiev, General Director of Kyrgyz Temir Jolu, and Iaroslav Mandron, Vice Chairman of the EDB Management Board.

According to the EDB, the Balykchy-Cholpon-Ata project aims to boost both tourism and freight connectivity in the Issyk-Kul region, linking its resorts to the railway networks of Kazakhstan and Uzbekistan. It is also expected to support mineral resource development and expand freight operations by creating more reliable logistics routes.

The preliminary feasibility study will compare technical and economic options, determine the optimal construction approach, develop a high-level financial and economic model, and provide recommendations for implementation and financing.

“The new Balykchy-Cholpon-Ata railway section is crucial not only for strengthening Kyrgyzstan’s domestic transport system but also for advancing international logistics,” said Mandron. “The project will integrate with Tamchy Airport, about 40 km from Cholpon-Ata, helping increase both tourist and cargo traffic. The feasibility study is a strategic step that will allow the parties to move from intentions to concrete implementation mechanisms for a project estimated at around $500 million.”