• KGS/USD = 0.01144 0%
  • KZT/USD = 0.00210 0%
  • TJS/USD = 0.10528 0.19%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0.28%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00210 0%
  • TJS/USD = 0.10528 0.19%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0.28%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00210 0%
  • TJS/USD = 0.10528 0.19%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0.28%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00210 0%
  • TJS/USD = 0.10528 0.19%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0.28%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00210 0%
  • TJS/USD = 0.10528 0.19%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0.28%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00210 0%
  • TJS/USD = 0.10528 0.19%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0.28%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00210 0%
  • TJS/USD = 0.10528 0.19%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0.28%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00210 0%
  • TJS/USD = 0.10528 0.19%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0.28%

Drones, Armored Vehicles, and Planes: Kazakhstan Announces Large-Scale Rearmament

The Defense Department of Kazakhstan has provided a report on its work for the first half of this year, documenting that the Kazakh army intends to update its weaponry. The geography of supplies is extensive, from Chinese quadcopters to European heavy transport aircraft.

In 2024, the delivery of the armored wheeled vehicles Arlan (produced by Kazakhstan Paramount Engineering) and COBRA II (Turkish Otocar) is expected. By the end of the year, the department plans to purchase complex tactical unmanned systems (SUNQAR) and mini unmanned systems (EVOMax). Experts believe that the decision to buy drones was dictated by the mass use of such systems in the Russian-Ukrainian conflict. These hostilities have convincingly proved that quadcopters are an effective type of weaponry.

The Defense Ministry reports that the “Armed Forces continue rearming with modern equipment models, including domestically produced ones. More than equipment was received this year, 50 units were overhauled.” Five hundred units of new fighter jets and anti-aircraft missile systems formed of high-precision weapons classes are being purchased for the Air Defense Forces.

According to Orda.kz, the choice was made to favor the Russian Su-30SM aircraft. Earlier, there was information about the possible purchase of French Rafale fighters. “In December last year, the Defense Ministry noted that given the high cost of French Rafale aircraft, the purchase of Russian planes is being considered. The Su-30SM is a multi-role fighter, and, logically, the Defense Ministry does not advertise that it will buy planes, and possibly SAMs, from a ‘sub-sanctioned ally,'” the publication noted.

In addition, the ANKA heavy-class unmanned aerial vehicle system is undergoing experimental military operations. The Turkish strike UAV entered service with four countries in 2023. This year, production of the ANKA will begin in Kazakhstan.

The report indicates that the European Union is expected to deliver the first A400M heavy-lift military transport aircraft and an anti-diversion boat for the Navy. The department stated, “Shops have been launched to repair armored and automotive equipment, troop air defense, anti-tank systems, artillery, and small arms. So far, more than 1.5 thousand military equipment units have been repaired.”

In the annual rating of countries based on their level of military power Global Firepower-2024, Kazakhstan was placed 58th out of 145. Kazakhstan’s armed forces are recognized as being the strongest in Central Asia.

Samarkand to Host International Music Festival “Sharq Taronalari”

The XIII International Music Festival “Sharq Taronalari” will be held in Samarkand from August 26 to 30 under the auspices of UNESCO, the Ministry of Culture in Uzbekistan reported. “‘Sharq Taronalari’ is considered one of the largest festivals in Central Asia. The main objectives of the festival are to promote achievements in national musical art to the wider public, to preserve and develop the cultures and traditions of nations, to support talented youth in the fields of music and singing, and to expand international creative ties while promoting the ideals of peace, friendship, and mutual tolerance,” according to the festival’s press release.

More than 300 delegates from 70 countries are expected to participate in the festival this year. As of August 1, delegates from 62 countries have expressed their desire to participate, and applications for the festival are still being accepted. The festival’s opening ceremony will be held on August 26. On August 27-28, an international scientific and practical conference on “Music Culture of Eastern Peoples: Principles of Creative Convergence in the Processes of Globalization” is scheduled.

On August 27-29, a competition will be held, and an international jury will evaluate the participants’ performances. The closing ceremony will be held on August 30, and the winners will be announced. The “Grand Prix” of $10,000 will not be awarded, however, if a worthy candidate is not found according to the decision of jury.

Tajikistan Proposes Afghan Border Logistics Zone to Enhance Trade

According to Bakhriddin Sirojiddinzoda, Head of the Tajikistan Export Agency, Tajikistan has plans to establish a large logistics zone on the border with Afghanistan.

Based on national interests in using existing production and export opportunities, the aim of the export zone is to increase trade turnover, create a modern infrastructure for transporting goods and products, and regulate transportation costs.

Referencing the proposal submitted to the government of Tajikistan for consideration, Sirojiddinzoda stated that the  large logistics centre should be established in the neutral zone or near the Pyanj-Sher Khan Bandar border crossing and explained, “Experience shows that drivers need a visa to pay road taxes and other fees in Afghanistan to cross only 500 meters of road when exporting products to Afghanistan.”

He also stressed that establishing such a centre and developing business was unconnected to the country’s official relations with the Taliban, stating: “No country has officially recognized the Taliban government, but their trade cooperation with the country continues. Some have even opened a ‘Trading House’ and a commercial representative office in Kabul. Tajik goods are transported through Afghanistan to Pakistan, and goods are also transported from there to us, the security of which is still ensured by Afghanistan.”

In the first half of 2024, the volume of sales of Tajikistan’s agricultural products to Afghanistan amounted to $82.7 thousand; an 85% increase compared to the same period in 2023 when it barely reached $22.7 thousand.

According to the Tajikistan Export Agency, nothing was imported from Afghanistan, and goods leaked into the republic from its territory were in transit from Pakistan and other countries.

Kazakhstan Deepens Caspian Ports to Boost Middle Corridor Potential

To further increase the potential of the Trans-Caspian International Transport Route (TITR), the Kazakh Ministry of Transport has begun dredging the port of Kuryk to provide sufficient depth for ships to enter the harbour.

Specialized equipment to deepen the port by approximately 1.5-2 meters, has been supplied by Jan de Nul, a European company contracted to complete dredging works on a turnkey basis.

Dredging Kuryk’s port will allow for the further expansion of its terminal capacity which currently has provision for  6 million tons of cargo (railway terminal—4 million tons, automobile terminal—2 million tons). The port can also simultaneously accommodate 250 trucks.

Similar dredging works will also be carried out in the port of Aktau.

The project is part of the comprehensive measures to develop the Trans-Caspian International Transport Route, also known as the Middle Corridor, which will connect China and Europe via Central Asia and the Caucasus.

According to the Kazakh Ministry of Transport, the volume of cargo transportation through Kazakhstan along the TITR for the  first seven months this year increased by 62%; amounting to 2.5 million tons, compared to 1.6 million tons in the same period in 2023.

Central Asia to Forecast Energy Risks

On August 6, Astana hosted the first meeting of energy ministers of Central Asian states, chaired by Kazakhstan’s Minister of Energy Almasadam Satkaliyev.

Noting the considerable potential for developing energy cooperation between the five Central Asian countries, Minister Satkaliyev stated that today, the challenges faced by the Central Asian countries include global disruptions of the stability of energy supplies and fluctuations in oil and gas prices.

“To ensure the reliability of energy supplies, it is necessary to develop mechanisms for forecasting and managing these challenges and to strengthen cooperation between our countries,” ventured Satkaliyev.

Calling on his colleagues to strengthen cooperation in energy trade, speed up low-carbon development, and move towards achieving carbon neutrality, the minister stressed, “An important factor in the development of regional cooperation is the comprehensive attraction of investments and the implementation of large joint technological projects in the energy sector to stimulate the development of modern energy infrastructure in Central Asian countries.”

Satkaliyev added that Kazakhstan is currently progressing the implementation of a large-scale project in the development and transmission of green energy with Azerbaijan and Uzbekistan, as well as continuing discussions on the planned construction of a central hydroelectric power plant, Kambarata HPP-1, with Kyrgyzstan and Uzbekistan.

Following the meeting, the Central Asian energy ministers signed a communiqué, laying the foundation for further cooperation in all key energy areas between the countries.

Steel Highways: The State of Central Asia’s Railways

Railways in Central Asia have always played an important political and economic role, but amid the current geopolitical turbulence, they have become a crucial means of  transporting  goods from China to Europe and the Middle East, bypassing sanctioned Russia. But what is the state of  Central Asia’s railway industry, and is it up to the new challenges?

The history of rail transport in Central Asia dates back to the end of the 19th century. In 1874, a special commission of the Russian Empire recognized the need to construct a line from Orenburg to Tashkent. Later, however, strategic considerations forced a change of plan and to ensure a stable connection between the Turkestan and Caucasus regions, the first steel highway in Central Asia would be built to connect Tashkent with the eastern coast of the Caspian Sea.

This was an active period of the so-called Great Game, when Russia and Great Britain competed in Central Asia. Since then, the geopolitical importance of railways in the region, which lacks access to oceans, has not decreased whatsoever. Indeed, amid armed conflicts in the Middle East and between Russia and Ukraine, railways have become even more important given their role in ensuring the movement of goods along the Trans-Caspian International Transport Route (TITR) and the International North-South Transport Corridor (INSTC). Against this backdrop, Kazakhstan’s President Kassym-Jomart Tokayev has tasked the national railway company Kazakhstan Temir Zholy (KTZ) with leading the transformation of the country into a transport and logistics hub.

 

Kazakhstan: A story of steady development

The length of Kazakhstan’s mainline rail network is over 16,000 km, with over 800 stations and crossing points. The freight car fleet exceeds 120,000 units, while locomotives number more than 1,700. Kazakhstan’s railways account for 70% of freight traffic, and 60% of passenger traffic in the country. Just under 1% of the country’s population is employed in the rail industry.

According to the KTZ’s annual report in 2023, container transit rose 14% year-over-year to 1.282 million TEU (twenty-foot equivalent units), which drove a 30.6% year-on-year rise in operating income to KZT1.934 trillion, while net profit came in at KZT136.8 billion ($286.8 million). The volume of freight transported between Kazakhstan and China was also up 22% to 28 million tons.

In addition, KTZ reported the completion of large-scale track repairs in 2023, with 1,443 km of railway track repaired, double the figure achieved in 2022. The start of large infrastructure projects was also noted. In particular, construction was launched of the Darbaza–Maktaaral and Bakhty–Ayagoz lines (with a third border crossing with China set to be opened in 2027), while construction of the bypass line around Almaty also commenced. Over 300 km of the second track was laid on the Dostyk-Moyynty railway section. Finally, a Kazakh transport and logistics terminal was opened in the Chinese dry port of Xi’an.

 

Uzbekistan: First high-speed rail in Central Asia

O’zbekiston Temir Yo’llari (UTY), Uzbekistan’s national rail carrier, was founded on November 7, 1994, taking over the lines of the Soviet-era Middle Asian Railway on Uzbekistan’s territory. As of the start of 2024, the length of the mainline rail network operated by UTY was 7,400 kilometers, with 2,500 kilometers being electrified. UTY employs 91,000 people.

Rail accounts for about 25% of the country’s total freight turnover. In Uzbekistan, transportation accounts for 6.4% of GDP, 7.4% of total investment, and 29.5% of the total service market. Experts assume that by 2030, the capacity of Uzbekistan’s transit potential will increase by 4.4 times to 6.04 billion tons.

Even though Kazakhstan is the clear leader in Central Asia in terms of rail transport, it was Uzbekistan that became the second country in the CIS after Russia to launch high-speed passenger trains, (called Afrosiyob after an ancient archaeological site near Samarkand) on a special line rebuilt for this purpose from Tashkent to Samarkand, the third largest city in the country. The line was later extended to Bukhara.

 

Tajikistan: Recovering from Uzbek blockade

The main rail operator in Tajikistan is the state-owned Rochi Ohani Tochikiston (Tajik Railways), but there is also the Mehrobod–Suluktu narrow-gauge railway, which is owned by the Jabbor Rasulov District transport authority, and is the only electrified railway in Tajikistan and Kyrgyzstan (note: Suluktu is in Kyrgyzstan). Tajikistan’s public track totals 680 km.

The rail network consists of two separate parts. In 2011, the southern section was left isolated after Uzbekistan took steps to shut down the Ghalaba–Amuzang railway, forcing Tajikistan into building several lines to break the Uzbek blockade. The first line stretched north, from Tajikistan through Kyrgyzstan and Kazakhstan to Russia, while the second ran from China through Kyrgyzstan and Tajikistan to Afghanistan, Turkmenistan, and Iran. In addition, the construction of the Vahdat–Yavan railway, started in March 2009, was accelerated. It was later commissioned in August 2016, opening the way to the Afghan border, and the first passenger train traveled south on this line in February 2017.

Later, at the beginning of 2018, after Shavkat Mirziyoyev took over as president of Uzbekistan and launched a policy of cooperation with the country’s Central Asian neighbors, the border section of the Ghalaba–Amuzang railway, which had been dismantled back in 2012, was rebuilt, with the first train from Tajikistan to Moscow departing in March of that year.

 

Kyrgyzstan: New hopes centered around China and Uzbekistan

There are obvious problems with rail transport in Kyrgyzstan. When the country gained independence, the rail network of this mountainous nation consisted of several sections inherited from the USSR which were not connected to each other. The situation remains unchanged, and the rail network still consists of scattered dead-end lines. Separate lines connect the north of the country with Kazakhstan and the south with Uzbekistan. Other lines run through Kyrgyzstan’s southwestern regions, connecting the country’s large industrial and populated areas with the Ferghana Valley.

The state carrier, Kyrgyz Temir Zholy (Kyrgyz Railways), renamed in 2005, is the legal successor to the Kyrgyz Railway Administration, which, in turn, until 1992, was the Frunze Branch of the Alma-Ata Railway Bureau. In 1994, Bishkek made a frantic attempt to realize a trans-Kyrgyz railway from Balykchy to Jalal-Abad, which would have finally connected the south and north of the country. Construction began in 1998, but was soon halted, and two years later the project was scrapped.

During the early 1990s, the Kyrgyz Railway Administration was awash with ideas, and in 1996 mooted another ambitious project; a China–Kyrgyzstan–Uzbekistan railway.

This turned out to be ahead of its time, but in 2022 the proposal was resurrected and presented as a response to the disruption of global supply chains caused by international sanctions against Russia. The first agreement to build the railway was signed in September 2022 during the Shanghai Cooperation Organization summit in Samarkand. The media reported that the new railway would begin at the Torugart Pass in Kyrgyzstan, where there is already a line from China, and run north through the villages of Arpa and Makmal to Jalal-Abad, connecting with Uzbekistan’s rail network.

In January 2023, a joint project office was opened in Bishkek to coordinate the construction of the railway, staffed with transport ministry officials from Uzbekistan and Kyrgyzstan, and experts from China. Then, at the China-Central Asia summit in Xi’an in May of last year, China, Uzbekistan and Kyrgyzstan signed a trilateral document outlining the next steps in the railway’s construction.

Kazakh experts, however, remain skeptical about whether the project will ever come to fruition.  Kazakhstan currently has a virtual monopoly on shipping goods from China through Central Asia and onward to Iran. In 2014, thanks to the completion of a railway through Turkmenistan, Kazakhstan “reached” the Persian Gulf. This is part of the INSTC, which is increasingly under discussion.

Regarding the chances of the railway project between Beijing, Bishkek, and Tashkent being realized, Kazakh political analyst Eduard Poletaev believes that whilst offering an important alternative for Uzbekistan and Tashkent, it will not have a major impact in terms of Central Asia’s transit potential. “I have doubts that it will be built at all”, ventured Poletaev. “They project that it will be built in six years – and if they say six, it will be 26. This is definitely not a competitor for Kazakhstan.”

 

Turkmenistan

Turkmenistan has a rail network spanning 4,980 kilometers, making it the 37th largest in the world. The state-owned company, Türkmendemirýollary, operates this extensive system under the Ministry of Railways of Turkmenistan. Ambitiously, the country plans to expand its railways by an additional 5,256 kilometers by 2025, aiming for a total of over 10,236 kilometers of track.

Turkmenistan has plans for a route running through Afghanistan to Pakistan via Turgundi—Herat—Kandahar—Spin Buldak, and recently ran a test container train on the China-Kazakhstan-Turkmenistan-Iran route. This project, which provides a fast transportation corridor between East and West, is the result of negotiations between representatives of the railway departments of China, Kazakhstan, Turkmenistan, and Iran.

 

Conclusion

Looking ahead, a breakthrough in the development of Central Asia’s rail transport will require a significant injection of finance. Even then, however, each country has its own focus: for Uzbekistan, it is high-speed trains to support tourism, while Kazakhstan is betting on freight transit. Meanwhile, passenger traffic is subsidized to keep fares low, leading to low-quality passenger trains and some routes still being served by trains manufactured in Soviet times. In short, investment is needed, and at this point, only China is showing the readiness to provide it.