• KGS/USD = 0.01144 0%
  • KZT/USD = 0.00194 -0%
  • TJS/USD = 0.10866 -0.18%
  • UZS/USD = 0.00008 -0%
  • TMT/USD = 0.28490 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00194 -0%
  • TJS/USD = 0.10866 -0.18%
  • UZS/USD = 0.00008 -0%
  • TMT/USD = 0.28490 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00194 -0%
  • TJS/USD = 0.10866 -0.18%
  • UZS/USD = 0.00008 -0%
  • TMT/USD = 0.28490 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00194 -0%
  • TJS/USD = 0.10866 -0.18%
  • UZS/USD = 0.00008 -0%
  • TMT/USD = 0.28490 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00194 -0%
  • TJS/USD = 0.10866 -0.18%
  • UZS/USD = 0.00008 -0%
  • TMT/USD = 0.28490 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00194 -0%
  • TJS/USD = 0.10866 -0.18%
  • UZS/USD = 0.00008 -0%
  • TMT/USD = 0.28490 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00194 -0%
  • TJS/USD = 0.10866 -0.18%
  • UZS/USD = 0.00008 -0%
  • TMT/USD = 0.28490 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00194 -0%
  • TJS/USD = 0.10866 -0.18%
  • UZS/USD = 0.00008 -0%
  • TMT/USD = 0.28490 0%
17 December 2025

Kazakhstan Seeks Foreign Investors for Fourth Oil Refinery Project

Kazakhstan is intensifying efforts to launch its fourth major oil refinery and is actively seeking international investors for the project. The Ministry of Energy has confirmed that expanding oil refining capacity remains a top priority in the country’s long-term energy strategy.

According to the ministry, Energy Minister Yerlan Akkenzhenov participated in a recent meeting of the KAZENERGY Association Council, an umbrella organization uniting leading players in Kazakhstan’s oil, gas, and energy sectors. He reiterated that the national Concept for the Development of the Oil Refining Industry for 2025-2040 includes both the modernization of the country’s three existing refineries and the construction of a new facility with a projected processing capacity of up to 10 million tons of oil per year.

To help secure funding, Akkenzhenov proposed that KAZENERGY organize a dedicated roadshow to attract potential investors, particularly from OECD member countries.

Kazakh Prime Minister Olzhas Bektenov recently confirmed in response to a parliamentary inquiry that the proposed refinery, with a capacity of 10 million tons annually, could be completed by 2040. One likely location is the Mangystau region, close to key oil production sites. However, this is just one of four options under consideration. The final decision will depend on factors such as the growth of electric vehicle adoption, shifting fuel consumption patterns, and long-term export forecasts.

The planned refinery would produce aviation fuels including TC-1 and Jet A-1. Demand for jet fuel is expected to surge with the development of an international aviation hub in Mangystau, where consumption could rise from the current 35,000 tons to 120,000-130,000 tons per year.

Currently, Kazakhstan produces between 650,000 and 700,000 tons of jet fuel annually, while domestic demand hovers around 1 million tons. To bridge the gap, the country imports approximately 350,000 tons, roughly 30-35%, from Russia, highlighting the strategic importance of boosting domestic refining capacity.

As previously reported by The Times of Central Asia, the updated industry roadmap envisions increasing national oil refining volumes from 18 million to 39 million tons per year. The expansion will require between $15 billion and $19 billion in investment.

Kazakhstan’s three largest refineries are located in Pavlodar, Atyrau, and Shymkent. In March, the Agency for the Protection and Development of Competition (AZRK) recommended partially privatizing the Pavlodar and Atyrau facilities to enhance operational efficiency and attract private investment.

Analysts say that constructing a new refinery is critical not only for reducing Kazakhstan’s reliance on fuel imports, but also for enhancing its export capabilities amid intensifying competition in the global energy market.

Turkmenistan Marks 30 Years of Neutrality

On December 12, 2025, Turkmenistan marks the 30th anniversary of a UN decision granting Turkmenistan the status of a neutral country.

Defining what “permanent neutrality” means for Turkmenistan is impossible, as it is a flexible term used to justify a range of policies, both domestic and foreign. This vague special status has not provided many benefits, but has helped Turkmenistan’s leadership isolate the country and create one of the most bizarre and repressive forms of government in the world today.

 

Last Item on the Day’s Agenda

On Tuesday, December 12, 1995, the UN General Assembly’s (UNGA) 90th plenary meeting reconvened at 15:20 to consider items 57 to 81 on its agenda. Item 81 was the draft resolution on “permanent neutrality of Turkmenistan.”

The UNGA president at that time, Freitas do Amaral, noted to the Assembly that the draft resolution “was adopted by the First Committee without a vote,” and asked if the Assembly wished “to do likewise.” The Assembly did, and after a few brief remarks about the next Assembly meeting on December 14, the session ended at 18:05.

That is how the UN officially granted Turkmenistan the status of neutrality.

A Great Event

The passing of the resolution on Turkmenistan’s neutrality status might have been a case of going through the motions at the UN, but it was a huge event in Turkmenistan.

Turkmenistan’s first president, Saparmurat Niyazov, had been campaigning internationally for his country to have “positive” neutrality status since 1992. After this was accomplished, Niyazov often proclaimed this special UN recognition as a great achievement for the country and for himself personally.

Ashgabat’s Independence Square, previously known as Neutrality Square and originally as Karl Marx Square; image: TCA, Stephen M. Bland

December 12 was quickly announced as a national holiday. On the first anniversary of the UN decision in 1996, the former Karl Marx Square in Ashgabat was renamed “Neutrality Square.” Shortly after, an olive branch motif was added to Turkmenistan’s national flag, symbolizing the country’s neutral status.

In 1998, on the third anniversary of UN-recognized neutrality, the 75-meter-high Arch of Neutrality was unveiled in Ashgabat. A 12-meter gold statue of Niyazov that rotated to face the direction of the sun crowned the structure.

Niyazov died in December 2006, and in 2010, the Arch of Neutrality was moved from the city center to the outskirts of the Turkmen capital and unveiled again on December 12, 2011. It has been undergoing renovation and will be unveiled yet again on the 30th anniversary of neutrality.

Former-President Niyazov’s likeness atop the Arch of Neutrality; image: TCA, Stephen M. Bland

In 2002, Niyazov pushed through a law changing the names of the months of the year and days of the week. December became “Bitaraplyk,” the Turkmen word for neutrality, and continued to officially be called that until 2008, when Niyazov’s successor finally revoked the changes and restored the traditional names.

That successor, Gurbanguly Berdimuhamedov, embraced the special permanent neutrality status and, in 2016, ordered it to be enshrined in the new version of the constitution.

Just after Neutrality Day that year, President Berdimuhamedov reprimanded the minister of culture, two deputy prime ministers, and the head of the state committee on television, radio broadcasting, and cinematography for “failing to control the quality” of the holiday concert dedicated to Neutrality Day that was shown on state television.

Neutrality plays a large role in shaping the country.

In late 1996, Turkmenistan published its new military doctrine, which stated that, as a neutral country, Turkmenistan would not enter into any military alliances, would refrain from using force in international relations, and would not interfere in other countries’ internal affairs.

Niyazov used neutrality to avoid attending summits of the Commonwealth of Independent States (CIS) if cooperation in military or security issues was on the agenda.

Another facet of Turkmenistan’s neutrality involved screening the country from the problems of the outside world. The easiest way to avoid becoming entangled in other countries’ internal affairs and preserve Turkmenistan’s neutrality was to limit contact with citizens of other states and their views of world affairs.

The Turkmen authorities gradually increased restrictions for foreigners to enter the country and cut off, as much as possible, access to foreign media outlets and other sources of information emanating from outside Turkmenistan.

State media is the only officially approved source of media inside Turkmenistan. These outlets, including the newspaper Neutralny (Neutral) Turkmenistan, which rarely reports on major world events, focusing instead on the president’s purported wise leadership in managing domestic affairs and the alleged prosperity of Turkmenistan.

Both these claims have always been questionable to the world outside of Turkmenistan.

In the case of Turkmenistan’s relations with its southern neighbor, Afghanistan, neutrality has proven a useful policy. When the Taliban first came to power in Afghanistan in the late 1990s, Turkmenistan’s government was in contact with the Taliban and their opponents. Afghan peace talks were held in Turkmenistan in 1999.

Turkmenistan did not officially recognize the Taliban, but did allow the Taliban to open a representative office in Ashgabat. While the other Central Asian states were preparing for the worst when the Taliban reached the Central Asian border in the late 1990s, Turkmenistan cited its principle of non-interference in the domestic affairs of another country and took no special measures, despite sharing a 744-kilometer border with Afghanistan.

This policy made it easy for Turkmenistan to maintain a dialogue with whoever was ruling Afghanistan.

There is one other noticeable benefit to Turkmen authorities’ reverence for neutrality. Every year, as Neutrality Day approaches, there is an amnesty given to several hundred prisoners, and many of those released should probably never have been put in prison to begin with. This year, 231 “convicted citizens… who acknowledge their guilt and show sincere remorse” will be freed.

An International Occasion

This year’s anniversary celebration should feature some prominent guests, though an official list has not yet been released.

Books on display in the Turkmenistan Pavilion at the Osaka Expo 2025; image: TCA, Stephen M. Bland

Gurbanguly Berdimuhamedov is now Chairman of the Halk Maslahaty, or People’s Council, having essentially handed over the presidency to his son, Serdar, in March 2022. Both will host an event dedicated to the 30th anniversary of the UN’s official recognition of Turkmenistan’s permanent neutrality, and Serdar has managed to publish his latest book, Turkmenistan’s Neutrality: A Bright Path to Peace and Trust, just ahead of the commemoration. Iranian President Masoud Pezeshkian is confirmed to attend. Russian President Vladimir Putin is scheduled to be in Ashgabat. The other four Central Asian presidents are expected to be there also. Other leaders might be on hand.

It is a grand celebration to mark something that happened in the course of a few minutes 30 years ago, but it has taken on a significance for Turkmenistan that no one could have predicted on December 12, 1995.

The Silk Visa Deadlock: The Long Road to a Borderless Central Asia

The year 2025 will likely be remembered as a milestone in Central Asian diplomacy. Regional leaders signed landmark agreements on water and energy cooperation and launched major investment projects. At high-level meetings, Central Asian presidents emphasized a new phase of deeper cooperation and greater unity, highlighting strategic partnership and shared development goals.

But at ground level, at border crossings such as Korday between Kazakhstan and Kyrgyzstan, or the congested diversion routes replacing the closed Zhibek Zholy checkpoint, the picture is far less seamless. Long queues, heightened scrutiny, and bureaucratic delays remain the norm.

While political rhetoric celebrates unity, the reality on the ground tells a different story. The region’s physical borders remain tightly controlled. A key symbol of unrealized integration is the stalled “Silk Visa” project, a proposed Central Asian version of the Schengen visa that would allow tourists to travel freely across the region. The project has made little headway, with experts suggesting that, beyond technical issues, deeper concerns, including economic disparities and security sensitivities, have played a role.

Silk Visa: A Stalled Vision

Launched in 2018 by Uzbekistan and Kazakhstan, the Silk Visa was envisioned as a game-changer for regional tourism and mobility. Under the scheme, tourists with a visa to one participating country could move freely across Central Asia, from Almaty to Samarkand and Bishkek.

Seven years on, the project has yet to materialize. Official explanations point to the difficulty of integrating databases on “undesirable persons.” But as Uzbekistan’s Deputy Prime Minister acknowledged earlier this year, the delay stems from the need to harmonize security services and create a unified system. Experts also cite diverging visa policies and resistance from national security agencies unwilling to share sensitive data. As long as each country insists on determining independently whom to admit or blacklist, the Silk Visa will remain more aspiration than policy.

Economic Imbalance: The Silent Barrier

The most significant, albeit rarely acknowledged, hurdle to regional openness is economic inequality. Kazakhstan’s GDP per capita, at over $14,000, is significantly higher than that of Uzbekistan or Kyrgyzstan, which hover around $2,500-3,000. This disparity feeds fears in Astana that full border liberalization would trigger a wave of low-skilled labor migration, putting strain on Kazakhstan’s urban infrastructure and labor market.

While Kazakhstan is eager to export goods, services, and capital across Central Asia, it remains reluctant to import unemployment or social tension. Migration pressure is already high: according to Uzbekistan’s Migration Agency, the number of Uzbek workers in Kazakhstan reached 322,700 in early 2025. Removing border controls entirely could exacerbate this trend, overwhelming already stretched public services.

Security Concerns and Regional Tensions

The geopolitical landscape further complicates the dream of borderless travel. A truly open regional system would require a strong, unified external border, something unattainable given Afghanistan’s proximity.

The persistent threats of drug trafficking and extremist infiltration compel Uzbekistan and Tajikistan to maintain tight border controls. Kazakhstan, while geographically removed, remains cautious about loosening controls along its southern frontier. Moreover, despite recent agreements on delimiting the Kyrgyz–Tajik border, tensions in the area remain unresolved, underscoring the fragility of regional trust, making the creation of a unified security space across all five countries a distant prospect.

The war in Ukraine has further complicated the region’s geopolitical calculus. Russia remains Central Asia’s primary destination for its migrant labor, but the conflict has strained Moscow’s economic capacity and pushed regional governments to diversify partnerships. This uncertainty reinforces risk-averse security policies, making leaders even less willing to consider fully open borders.

Reality Check: Trade Over Tourism

Perhaps the most tangible measure of regional integration is logistics. Yet even this is underwhelming. The Korday (Ak Zhol) crossing remains a choke point for trade between Kazakhstan and Kyrgyzstan. Despite digital queueing systems, businesses continue to report delays, and truck drivers face multi-day traffic jams. These recurring trade bottlenecks indicate that borders are still used as tools of economic leverage, undermining promises of seamless transit.

Considering all factors, the emergence of a full-fledged ‘Central Asian Schengen’ in the foreseeable future appears unlikely. The combination of security risks and economic imbalance makes open borders politically unpalatable. Instead, the region may follow a model akin to “Two-speed Europe,” with elite-driven economic integration, such as simplified cargo transit and digital customs systems, advancing faster than broader public mobility. For most citizens, however, the dream of borderless Central Asia will remain just that: a dream.

Face Pay, Palm Scans, and AI Cameras: Inside Kazakhstan’s Digital Transformation

Daily life in Almaty, Kazakhstan’s largest city, increasingly resembles scenes from a futuristic film. Subway fares can be paid with a glance, schoolchildren enter campuses by scanning their palms, and traffic flows are monitored by an expansive video surveillance system. With just a smartphone, citizens can apply for a marriage license, open a business, or access official documents within seconds.

Kazakhstan has embraced rapid digitalization, positioning itself as a regional leader in GovTech and fintech. Authorities promote this trajectory as a means to create a secure and efficient environment, and the public has largely welcomed it. The country now boasts one of the world’s highest penetration rates for cashless payments and digital services.

Yet the swift adoption of emerging technologies has brought new challenges. The digital infrastructure is evolving faster than the country’s legal frameworks can adapt, raising concerns among experts about how to balance technological convenience, public safety, and the right to privacy.

Biometric Security or Overreach?

Kazakhstan’s biometric systems are being integrated into a growing ecosystem of everyday services. A prominent example is the Alaqan system in schools, which replaces traditional entry cards with palm-scanning technology. Currently in a pilot phase at nearly 300 schools, the government plans to expand the system nationwide within the next two to three years, should it prove to be successful.

Supporters argue this enhances child safety by preventing unauthorized access. Critics, however, warn that it also involves building a vast biometric database of minors, requiring unprecedented security protocols.

Simultaneously, the Ministry of Digital Development is rolling out a national video surveillance network powered by artificial intelligence. The system, which integrates citywide cameras into a unified platform, will enable real-time facial and license plate recognition and detect incidents such as fights, large gatherings, or abandoned items. Minister of Artificial Intelligence and Digital Development Zhaslan Madiyev described the system as a tool to monitor public safety 24/7.

Equipment Dependence and Strategic Risk

Much of Kazakhstan’s surveillance infrastructure relies on equipment from major Chinese companies such as Hikvision and Dahua. Their products are favored for their cost-effectiveness, but concerns have been raised internationally over cybersecurity vulnerabilities and potential data access “backdoors.” Several U.S. and EU countries have imposed restrictions on these firms for national security reasons.

In Kazakhstan, which pursues a multi-vector foreign policy, the issue is viewed more as technical than political. Experts recommend diversifying suppliers and enforcing strict data encryption protocols, regardless of the origin of the equipment.

Kazakhstan’s exposure to cybersecurity risks became clear in February 2024, when a leak involving the Chinese firm iSoon compromised databases belonging to local telecom operators and targeted government institutions, including the Unified Pension Fund. The incident prompted an urgent reassessment of data security practices. Centralized data hubs, experts noted, can only function securely if accompanied by significant investment in cybersecurity infrastructure.

Legislation Lagging Behind

While Kazakhstan has a law on personal data, experts argue it is outdated, particularly given the rapid integration of artificial intelligence into public systems. Recent legislative amendments now allow biometric identification to be used for public safety and crime prevention. However, civil society groups are calling for clearer protocols outlining who can access biometric data, under what conditions, and with what level of oversight.

A promising development is the drafting of a new Digital Code intended to unify existing regulations and bring Kazakhstan closer to international standards on data protection.

The Road Ahead

Kazakhstan is now widely recognized as Central Asia’s digital hub, showcasing how technology can streamline government services and enhance everyday life. But digital leadership also comes with heightened responsibility. Public trust hinges on the state’s ability to safeguard the personal data it collects and establish transparent legal mechanisms for its use.

The challenge for Kazakhstan is clear: to demonstrate that digital security and personal privacy can and must coexist.

Rare Antonov An-124 Cargo Plane Makes Brief Stop in Tashkent

A rare sight drew the attention of aviation enthusiasts in Tashkent this week as an Antonov An-124-100M Ruslan, one of the world’s largest serially produced cargo aircraft, landed at Islam Karimov International Airport. According to Tashkent Sky News, the aircraft arrived from Urumqi and was registered as UR-82027. Notably, it bore the inscription “Be brave like Kharkiv”, a tribute to the resilience of the Ukrainian city under Russia’s invasion.

The An-124 remains a global leader in transporting oversized and heavy cargo. Capable of carrying between 120 and 150 tons, it features a cargo hold with a volume of approximately 1,050 cubic meters. The aircraft is equipped with both nose and tail cargo doors, each with built-in ramps, allowing simultaneous loading and unloading from either end, an advantage for complex logistics operations involving large or irregularly shaped equipment.

Its robust design includes heavy-duty, multi-wheel landing gear, enabling it to land on less-developed airstrips. This operational flexibility makes the An-124 especially valuable in situations where access to major international airports is limited.

Members of the Uzbekistan Spotters Team gathered at the airport to capture images of the aircraft during its brief stay. For local aviation enthusiasts, the visit offered a rare opportunity to photograph an iconic aircraft and share the experience with the global spotting community.

Wallet in Telegram Launches in Uzbekistan, Expanding Crypto Access to Millions

Wallet in Telegram, a global digital asset service integrated directly into the Telegram messaging app, officially launched in Uzbekistan on December 9, opening up crypto access to more than 27 million local users. The move marks a major expansion of Telegram’s financial ecosystem and reinforces Uzbekistan’s role as a regional leader in regulated digital finance.

The service allows users to buy, store, and transfer cryptocurrencies without needing to install additional applications. Registration takes only seconds, and transactions can be completed using local payment systems such as Humo, Visa, and Mastercard. Wallet currently supports Bitcoin, Toncoin, USDT, and over 200 other digital assets.

According to the company, the goal is to make crypto transactions as seamless as sending a message, an especially relevant approach in Uzbekistan, where Telegram usage exceeds 88% of the internet-connected population. By embedding financial tools into an everyday platform, Wallet aims to normalize digital asset use and broaden access to global financial technologies.

The technical infrastructure for Wallet’s Uzbekistan launch is provided by Asterium, the country’s largest crypto ecosystem and a key fintech player. Asterium is responsible for ensuring secure transactions, identity verification, and data protection. “Our mission at Asterium is to make working with crypto assets simple and accessible for everyone. Wallet in Telegram reflects our product philosophy: it is convenient, transparent, and secure, meaning it is genuinely useful for people,” said Komilhodja Sultonov, CEO of Asterium.

The service was licensed by Uzbekistan’s National Agency for Perspective Projects (NAPP), the regulatory body overseeing the digital asset sector. Uzbekistan has developed one of Central Asia’s most comprehensive legal frameworks for crypto, with a strong focus on user protection and structured innovation.

In response to questions from The Times of Central Asia, NAPP clarified how Wallet aligns with current regulations. Askarjon Zakirov, Head of the Crypto-Assets Turnover Sphere Development Department, emphasized that Uzbekistan legally distinguishes crypto assets from fiat currency. “Firstly, we say that a crypto asset is not a means of payment or a monetary equivalent,” he said.

@TCA/Sadokat Jalolova

Zakirov explained that crypto is treated as a form of property under Uzbek law. As such, transferring cryptocurrency is regarded as a transfer of property rights rather than a financial transaction with monetary obligations.

Pavel Khristolubov, COO of Fintech and Web3 at Wallet in Telegram, also underscored the platform’s commitment to regulatory compliance. “It’s very important for us to operate within the framework of our license. This means we don’t compete with local payment systems,” he said. Khristolubov added that Wallet users can choose between custodial services and non-custodial, on-chain options, offering varying degrees of freedom and security.

Andrew Rogozov, CEO of The Open Platform (TOP), the technology company behind Wallet, described Uzbekistan as one of the world’s most dynamic digital markets. “By combining Telegram’s scale with regulatory clarity and high mobile adoption, we see Uzbekistan as a model for how emerging markets can leapfrog into convenient, technology-driven finance,” he said.

Globally, Wallet in Telegram has over 150 million registered users. Its launch in Uzbekistan follows its U.S. debut in July 2025, with expansion planned in at least 15 more countries over the next two years.

One of the most promising opportunities for Uzbekistan may be the integration of Wallet into Telegram’s broader digital economy. Irina Chuchkina, Chief Growth Officer at Wallet in Telegram, noted that the platform enables monetization tools for creators, media channels, and online communities. “Some blockchain supports the Telegram economy in general. It’s not localized to a particular country or market,” she said, describing crypto wallets as “a fundamental pillar of our super app strategy.”

Chuchkina also highlighted future features such as Ton Connect, a blockchain-based tool for digital service authorization. While not all services will be available in Uzbekistan from the outset, she said these examples illustrate the platform’s long-term potential.

Uzbekistan has positioned itself as a transparent, well-regulated digital asset hub. The arrival of Wallet in Telegram reinforces this status and introduces a major global player into the country’s fast-growing fintech landscape.