• KGS/USD = 0.01144 0%
  • KZT/USD = 0.00196 -0%
  • TJS/USD = 0.10904 0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28490 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00196 -0%
  • TJS/USD = 0.10904 0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28490 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00196 -0%
  • TJS/USD = 0.10904 0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28490 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00196 -0%
  • TJS/USD = 0.10904 0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28490 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00196 -0%
  • TJS/USD = 0.10904 0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28490 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00196 -0%
  • TJS/USD = 0.10904 0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28490 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00196 -0%
  • TJS/USD = 0.10904 0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28490 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00196 -0%
  • TJS/USD = 0.10904 0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28490 0%
08 December 2025

World Bank: Central Asia to Lead Regional Growth in 2025 Despite Global Slowdown

Economic growth in Europe and Central Asia (ECA) is slowing but remains resilient amid global and regional challenges, according to the World Bank’s latest Europe and Central Asia Economic Update: Jobs and Prosperity, released on October 7, 2025.

The report projects GDP growth in the region at 2.4% in real terms this year, down from 3.7% in 2024. The slowdown is primarily attributed to weaker growth in Russia. However, excluding Russia, which accounts for about 40% of the region’s total economic output, growth is expected to hold steady at approximately 3.3% in both 2025 and 2026.

“Developing economies in the region need bold reforms to turn resilience into stronger growth in productivity, output, and jobs,” said Antonella Bassani, World Bank Vice President for Europe and Central Asia. She stressed the importance of strengthening the private sector, improving education systems, and attracting more private investment to generate quality employment and address demographic changes.

Central Asia remains the fastest-growing subregion for the third consecutive year, with growth expected to rise from 5.7% in 2024 to 5.9% in 2025. The World Bank attributes this momentum to increased oil production in Kazakhstan, higher remittance inflows, and rising public and private investment.

Turkey and Poland are also highlighted for their strong performance, with forecast growth rates of 3.5% and 3.2%, respectively, supported by solid consumer demand and capital investment.

Despite these positive signals, the World Bank warns that sluggish growth and weak reform momentum are exacerbating challenges in the labor market. While employment across the ECA region has expanded by 12% over the past 15 years, particularly in the services sector, many of the new jobs are low-skilled and offer limited income potential.

Demographic shifts pose another challenge. The region’s working-age population is projected to shrink by 17 million in the coming decades, especially in Eastern and Central Europe and the Western Balkans. In contrast, Central Asia and Turkey are expected to see population growth, intensifying the need to generate sufficient employment opportunities.

The report recommends that countries invest in infrastructure, education, and private-sector development to improve productivity. “Each country can tailor its approach to best use its assets, human talent, physical infrastructure, institutions, and natural resources,” said Ivailo Izvorski, World Bank Chief Economist for Europe and Central Asia.

In Central Asia, economic growth is expected to be driven by expansion in agrifood and livestock processing, transport and logistics along Eurasian trade corridors, renewable energy investment, and tourism development. The World Bank notes that these sectors, supported by the region’s cultural and natural heritage, could help position Central Asia as one of the world’s most dynamic emerging markets.

Opinion: Uzbekistan’s Winds of Change – A Blueprint for Renewable Energy Transformation in Central Asia

For much of its post-Soviet history, Uzbekistan’s energy system has been defined by natural gas. Its abundant domestic reserves provide a cheap and reliable source of electricity generation, export revenues, and industrial growth. However, this reliance has come at a cost, including vulnerability to fossil fuel volatility, carbon emissions inconsistent with global climate commitments, and an energy profile increasingly at odds with international investment trends.

Today, a new landscape is emerging in Uzbekistan’s energy sector. The vast steppes and desert plateaus of the Karakalpakstan and Navoi regions have emerged as some of the most promising areas for wind turbines and energy sector development. This transformation could redefine not only Uzbekistan’s energy security but also the regional energy map of Central Asia.

A Decade in the Making: From Pilot to Pioneer

This story begins in 2020, when the United Arab Emirates’ renewable energy developer Masdar signed an agreement to construct the Zarafshan Wind Farm in the Navoi region. Initially, this was not a pilot project, as its proposed capacity was about 500 MW, making it the largest wind project among the Central Asian countries at the time. Its symbolism pulsed with an energy no less powerful than the current itself. For Uzbekistan, which had no operating commercial wind capacity, the project marked a significant shift from concept to execution. The Zarafshan Wind Farm reached financial close in 2020, commenced construction in 2022, and was officially inaugurated in December 2024 by Uzbekistan’s President Shavkat Mirziyoyev. Developer reports describe it as one of the largest operational wind farms in Central Asia. It represented a step forward toward sustainability and a message of resolve for energy resilience. In a region where fossil fuels still dominate, Uzbekistan has positioned itself as a regional leader in large-scale wind energy production..

Scaling Beyond Zarafshan: Kungrad and Nukus

The breakthrough at the Zarafshan Wind Farm signaled the dawn of a larger journey. Subsequently, Saudi Arabia’s ACWA Power, a giant in renewable energy, agreed to set up the Kungrad Wind IPP. This project includes a transformative complex of three 500 MW wind farms with a total capacity of 1.5 GW of power generation. According to project plans, it will also be accompanied by a 300 MW battery energy storage system (BESS) and roughly 1,450 kilometers of new transmission infrastructure. This single project surpasses Uzbekistan’s earlier renewable efforts and, when completed, will represent one of the most significant clean energy undertakings in the region.

Similarly, the Nukus II wind farm-plus-storage project, which secured financing from the Asian Development Bank (ADB) and other partners in mid-2025, seeks to expand renewable energy use, reduce reliance on fossil fuels, cut greenhouse gas emissions, and strengthen energy security. It includes building and operating a 200 MW wind power plant, a 100 MWh battery storage system, a 44 km transmission line, and an upgrade of the 220 kV Beruniy substation. This integration of renewables with flexible storage represents a new phase of Uzbekistan’s energy transition, one where renewables are not simply added to the grid but actively enhance its stability. Furthermore, the project aligns with Uzbekistan’s Country Partnership Strategy 2024–2028, which focuses on a green energy transition and private sector growth. It also supports ADB’s Energy Policy by promoting renewable energy, inclusive access, and efficiency through private participation.

Why BESS Storage Matters

Battery energy storage systems (BESS) are often treated as an optional add-on in early renewable markets. The integration of battery storage is perhaps the most significant innovation in Uzbekistan’s wind rollout. In most emerging markets, wind projects are added to the grid without storage, creating operational challenges when supply and demand do not align. Uzbekistan, however, is embedding storage at scale from the outset in flagship projects like Kungrad and Nukus II. In an energy grid system that is still dominated by gas plants, battery systems allow wind power to be time shifted, absorbed when the wind blows strongest and dispatched during demand peaks, especially in the evenings when households rely on electricity the most. This reduces reliance on fossil fuels, conserves valuable hydrocarbons for export, and cuts emissions. The decision to link wind with BESS demonstrates strategic foresight. In a country where natural gas is both a domestic staple and a crucial source of foreign currency, Uzbekistan’s green shift is not symbolic but operationally resilient.

National Targets and Regional Leadership

Uzbekistan has declared ambitious targets for renewable energy. According to the International Energy Agency’s (IEA) Energy Policy Review 2022, the country aims to install 8 GW of solar and wind capacity by 2026 and 12 GW by 2030, including 7 GW of solar and 5 GW of wind. Officials have also suggested that renewables could account for 25–40% of electricity generation by 2030. Large solar PV projects (100–500 MW) are planned mainly for the central and southern regions, while wind farms of similar scale will be concentrated in the northwestern region, which includes Jizzakh, Samarkand, Bukhara, Kashkadarya, and Surkhandarya.

In its 2021 updated Nationally Determined Contribution (NDC) under the Paris Agreement, Uzbekistan raised its renewable target to 12 GW by 2030. These goals are not merely aspirational; they are supported by structural reforms, international financing, strategic partnerships, and active construction. Regionally, Uzbekistan is positioning itself as the first Central Asian country to scale wind energy production to the gigawatt level. This strategic vision is not only environmental but also reflects several key national priorities:

  • Energy security: Reducing domestic reliance on gas and ensuring a stable electricity supply.

  • Export diversification: Conserving valuable hydrocarbons while attracting green investment.

  • Public-private partnerships (PPP): Encouraging other Central Asian states to meet energy demand through foreign direct and clean energy investment.

  • Geostrategic alignment: Strengthening the nation’s position within regional and global power dynamics.

Challenges at the Crossroads

However, this energy shift cannot be described as a harmonious process. It is marked by structural, institutional, and technological constraints that challenge both policy coherence and the state’s ability to implement reforms effectively, complicating the overall transition. Critical and formidable challenges continue to impede progress, including:

  • Grid absorption: Uzbekistan must modernize its transmission infrastructure to efficiently integrate renewable energy generated in remote regions such as Karakalpakstan and Navoi. Delays in this effort could jeopardize project performance and undermine investor confidence.

  • Environmental protection: The expansion of large-scale wind facilities must be balanced with ecological management. Particular attention is required to protect migratory bird routes and fragile desert ecosystems, in line with international environmental compliance standards.

  • Supply chain and institutional readiness: As global competition for turbines, rare earth materials, and storage technologies intensifies, Uzbekistan must improve its procurement systems, logistics networks, and regulatory frameworks. Strategic partnerships, local capacity building, and stronger inter-agency coordination are essential to contain costs, prevent delays, and ensure transparent and efficient project execution.

Winds of Sustainability and Resilience

The significance of Uzbekistan’s wind transition extends beyond megawatts. The winds blowing across Karakalpakstan and Navoi are not just natural forces; they represent the currents of change. Every megawatt of wind generation conserves valuable hydrocarbons for export, a key revenue source, while reducing domestic emissions and generating foreign exchange. In addition, the reduction of emissions strengthens Uzbekistan’s position in international climate commitments and its diplomatic standing in global climate forums. The rapid expansion of renewable energy will also contribute to clean energy expertise that can be shared across the region. Over time, Uzbekistan will be capable of exporting electricity, knowledge, and policy leadership across Central Asia. Economically, the green transition is stimulating new supply chains, generating employment in construction and maintenance, and fostering technology transfer through global partnerships. Socially, it shows that Uzbekistan is moving beyond its carbon-intensive past and advancing toward a sustainable, innovation-driven future shaped in the desert steppe.

Therefore, Uzbekistan’s wind journey is about more than turbines and megawatts. It reflects a clear national vision and strategic direction. It began with Masdar’s first agreements in 2020, advanced through the landmark Zarafshan project in 2024, and continues with major developments such as ACWA Power’s 1.5 GW Kungrad and the ADB-supported Nukus II hybrid projects in 2025. Although challenges persist in grid infrastructure, environmental protection, and financial systems, the country’s progress toward a cleaner energy future remains steady and determined. Uzbekistan’s evolving renewable energy model has the potential to achieve its 2030 targets and establish itself as a regional blueprint for sustainable energy transformation while contributing to economic growth, environmental management, and resilience.

The views expressed in this article are those of the author and do not necessarily reflect the official policy or position of the publication, its affiliates, Samarkand State University, or any other organizations mentioned.

Old Kazakhstan in Retreat: The Fate of Nazarbayev’s Allies

Since early 2022, the influence of the so-called “Old Kazakhstan” – the political and business circle that once surrounded former President Nursultan Nazarbayev — has been steadily eroded. Institutions have been reshaped, loyalties tested, and the once-untouchable elite has found itself under unprecedented scrutiny. Yet the names of Nazarbayev and his closest allies still surface regularly in courtrooms, parliament debates, and media headlines. Are these prosecutions and investigations an attempt to build President Kassym-Jomart Tokayev’s vision of a “Fair Kazakhstan,” or do they mark a new phase of elite score-settling under the banner of reform? The Times of Central Asia examined the fortunes of six figures from Nazarbayev’s inner circle to trace the shifting balance of power.

Nurbоl Nazarbayev

Recent headlines have revived scrutiny of Nazarbayev’s nephew Nurbоl Nazarbayev, the son of his late brother Bolat. Authorities have launched bankruptcy proceedings against him, citing debts of approximately 58 billion tenge ($107 million). His assets and bank accounts have been frozen, and he is subject to travel restrictions.

Under the current law, Nurbоl will be barred from taking out loans for five years, registering as an individual entrepreneur, or conducting major financial transactions without notifying the relevant authorities. His assets may be liquidated to repay creditors, with the exception of his primary residence.

Once listed as Kazakhstan’s 57th richest businessman by Forbes Kazakhstan, he held ownership stakes in Prime Capital Invest and Prime Capital Holding, was a co-owner of PLS Construction Company and PLS-TM, and the majority shareholder of the Almaty Heavy Machinery Plant.

This legal action follows a parliamentary inquiry into a previously sealed court case initiated by the General Prosecutor’s Office. The court ordered the confiscation of assets worth 57 billion tenge ($105.5 million) and imposed a fine of 925 million tenge ($1.7 million), along with penalties totaling 230.4 million tenge ($425,000). Members of parliament, Rinat Zaitov and Ermurat Bapi, have both demanded transparency in the case.

Zaitov called for a comprehensive audit of Nurbоl’s assets, including those linked to the Altyn Orda market and land plots in Almaty and its surrounding areas. Shortly afterward, Bapi echoed the call, referencing a complaint from a Karaganda businessman who claimed his company was seized in a raid involving Nazarbayev’s circle. Bapi criticized law enforcement for closing the case, calling it “a betrayal of the President’s vision of a Fair Kazakhstan.”

Zhomart Ertayev

Zhomart Ertayev, a flamboyant banker once sentenced to 11 years for embezzling 144 billion tenge ($266 million) from Bank RBK, was unexpectedly released earlier this year under an amnesty, according to the Committee of the Penal System. However, a month later, parliament deputy Abzal Kuspan announced that the court’s decision had been overturned, and a formal appeal to the Prosecutor General’s Office led to Ertayev’s re-arrest.

Ertayev previously held refugee status and a Russian residence permit, both of which were revoked after Kazakhstan issued an international warrant for his arrest.

Kairat Boranbayev

Kairat Boranbayev, a prominent businessman and former in-law of the Nazarbayev family, was arrested in 2022 and convicted the following year of large-scale embezzlement and money laundering. Initially sentenced to eight years in prison, he later had his sentence reduced to six years after voluntarily transferring several assets to the state.

In October 2023, Boranbayev was released from prison, with the remainder of his sentence replaced by a restricted-freedom order. Last week, he withdrew a petition for early release during an online hearing, a move likely motivated by caution amid renewed scrutiny of figures tied to the Nazarbayev era.

Marat Beketayev

Former Justice Minister Marat Beketayev, long considered a loyal technocrat within the Nazarbayev administration, has come under scrutiny for alleged misuse of office during his 2016–2022 tenure. In mid-2024, the Anti-Corruption Agency confirmed that he was being investigated over the multi-billion tenge arbitration settlement with Moldovan investors Anatolie and Gabriel Stati — a case that cost Kazakhstan hundreds of millions in foreign courts.

Beketayev’s resignation in early 2022, officially for “personal reasons,” coincided with the January unrest and the first wave of dismissals among Nazarbayev-era officials. Analysts note that his case represents a shift in focus from oligarchs to bureaucrats once shielded by institutional loyalty. In July 2025, the authorities announced that Beketayev had been convicted on fraud and embezzlement charges and sentenced to nine years.

Kairat Satybaldy

Kairat Satybaldy, the powerful nephew of the former president, became one of the most prominent figures targeted in the post-Nazarbayev crackdown. Arrested in March 2022 while attempting to leave the country, he was sentenced to six years in prison for embezzlement and abuse of power tied to Kazakhtelecom and the Transport Service Center. Prosecutors said substantial sums and assets were returned to the state as part of the proceedings.

Satybaldy’s case became emblematic of President Tokayev’s pledge to dismantle elite monopolies. The General Prosecutor’s Office has since opened further inquiries into his affiliated entities, including charitable and religious foundations. Despite his conviction, speculation persists that Satybaldy retains influence through proxies in business and religious circles.

Timur Kulibayev

Timur Kulibayev, the husband of Nazarbayev’s middle daughter, Dinara Kulibayeva, remains one of Kazakhstan’s wealthiest men despite stepping back from public life. Once a dominant figure in the Samruk-Kazyna sovereign wealth fund and former chairman of Atameken, the national business chamber, Kulibayev resigned from most official positions following the January 2022 protests.

Since then, he has kept a low profile while restructuring parts of his holdings in the energy and banking sectors, including interests in Halyk Bank. International investigations have examined his offshore wealth and property portfolio, including findings from the ICIJ’s Caspian Cabals project. While no domestic criminal case has been announced against Kulibayev, his reduced public visibility suggests a pragmatic adaptation to the post-unrest political order.

Navigating Kazakhstan’s Transition

Taken together, the cases of Nazarbayev’s allies reveal a pattern that is both transformative and ambiguous. Some have faced prison sentences and asset seizures, others negotiated reduced penalties through cooperation, while a few remain insulated but cautious, adapting quietly to the new political climate. The government presents these actions as part of a necessary break with monopolies and opaque practices of the past, while critics warn of selective justice and a lack of systemic transparency. What is clear is that Kazakhstan’s leadership is redrawing the country’s political and business map, piece by piece, and that the outcome will define the credibility of “New Kazakhstan” for years to come.

Long-Distance Swimmers from Central Asia Cross Mediterranean Strait Together

Fueled by thoughts of family, country, and just reaching dry land, two men from Central Asia swam across the Strait of Bonifacio from the French island of Corsica to the Italian island of Sardinia, an open water route of about 15 kilometers whose varying winds and currents sometimes add to the challenge for ultramarathon swimmers.

Askar Ospanov, a 66-year-old Kazakhstani, and Shavkat Musinov, a 42-year-old Uzbekistani, drew mental strength from each other even though they didn’t speak much while swimming in wetsuits for nearly eight hours on Sept. 26. The leader of their group was Rinat Mustafin, a 46-year-old swimmer from Russia who had crossed the strait in 2019 and prepared his friends for their Mediterranean feat. They were assisted by a support boat.

“The sea that day was challenging — with strong currents and waves — but we stayed coordinated and focused,” Musinov, a Tashkent businessman, said this week. “What united us was the shared feeling that we were doing something meaningful, not only for ourselves but also for our region.”

Musinov and Ospanov were the first people from their countries to swim across the Strait of Bonifacio, a challenge that isn’t overseen by a governing body but has won international recognition over the years. The World Open Water Swimming Association has listed it as one of the world´s top 100 island swims. While the Strait of Bonifacio is among the shorter ultramarathon distances for swimmers (the English Channel, for example, is a cold water challenge of about 33 kilometers), conditions can add to the difficulty level.

“The two relatively close opposite coasts and the seabed with an average depth of 50 meters, which in any case does not exceed 100 meters, mean that the winds and currents that are channeled increase their intensity,” the association says. “The crossing is often characterized by non-linear trajectories and more or less demanding waves.”

Musinov said he met Ospanov’s son, Galym, in the Sahara Desert during the Marathon des Sables ultramarathon in 2023, and they bonded while traversing 250 kilometers together across the Sahara Desert in Morocco. The Uzbek athlete later met the elder Ospanov – Musinov calls him “Asqa aga” with respect and affection – and described the Kazakhstani swimmer as an emblem of determination and discipline.

Musinov and Mustafin, the Russian swimmer, kept the same pace as Ospanov so they could stay together. Ospanov said on Instagram that “team captain” Mustafin set the route. They ended up swimming nearly 17 kilometers because of the pull of the currents.

“Shavkat swam second, occasionally looking back to check on me, while I tried to draft behind him,” said Ospanov, a former government worker. “Twice — at the 6 km and 11 km marks — Rinat gave me CrampFix just in time, helping me when I got a leg cramp (vinegar, as it turns out, can interrupt the body’s cramp reflex). You live and learn!”

CrampFix, which contains vinegar, is a supplement that relieves muscle cramps. Jellyfish are also a hazard in the Strait.

Ospanov and Musinov show off their suntans after the strait crossing (Photo provided by Musinov).

“During the swim, we didn’t really talk – everyone was focused on technique and breathing – but there was a silent understanding and sense of unity,” Musinov said, recalling how he pushed his body to the limit.

He said, “All thoughts narrowed down to one simple goal: to reach the finish. Every stroke, every breath – only forward. Of course, I thought about my family, my children, my friends.

“We fueled every 30 minutes – quick carbs and isotonic drinks to keep up energy and focus. But after 12 kilometers, my body started to ask for something different, so I switched to eating a banana and washing it down with Coca-Cola – a simple combination that worked perfectly at that moment.

“Thoughts about life, business, partners — and how unpredictable life can be — kept running through my mind,” Musinov said. “But above all, one clear idea stayed with me: I was making history for my country — becoming the first Uzbek to swim across the Strait of Bonifacio.”

Musinov’s “certificate of merit” from the Bocche Bonifacio Swimming organization says he completed the crossing in a neoprene wetsuit in seven hours and 50 minutes, leaving the Punta Sperone beach in Corsica at 8 a.m. and arriving at the Monte Regalo beach in Sardinia. The certificate says weather conditions were “good for making the crossing, clear sky, calm sea, wind from the west 6/7 knots, light current from the east.”

The organization says no swimming permits are issued for any crossing in August because of the passage of cruise ships, cargo ships, and small fishing and pleasure boats.

S. Paul Kapur Confirmed as U.S. Assistant Secretary for South and Central Asian Affairs

The U.S. Senate has confirmed political scientist S. Paul Kapur as Assistant Secretary of State for South and Central Asian Affairs to lead the State Department bureau that oversees relations with Afghanistan, Pakistan, India, Sri Lanka, Bangladesh, Nepal, Maldives, Bhutan, and the five Central Asian republics. The position carries responsibility for guiding U.S. diplomacy across the region, coordinating security and development strategy, and advising on policy toward regional powers such as China and Russia.

Kapur, 56, is an Indian American scholar known for his work on nuclear deterrence and South Asian security. He was born in New Delhi to an Indian father and an American mother, but grew up in the United States. After studying the region in graduate school, he pursued an academic career, earning a doctorate in political science from the University of Chicago and a bachelor’s degree from Amherst College. Kapur taught at Claremont McKenna College and Stanford University before joining the U.S. Naval Postgraduate School, where he is a professor of national security affairs and runs U.S.–India strategic dialogues for the Department of Defense.

Paul Kapur, a seasoned academic and security specialist, now takes a post that places him at the center of Washington’s engagement with Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan, and Uzbekistan. His confirmation fills a key regional portfolio in the Trump administration, which may shape how the United States approaches Central Asia within its broader regional strategy.

Kapur’s portfolio covers both South and Central Asia, but his confirmation has been closely watched in the five republics that straddle the heart of Eurasia. Central Asian governments and business leaders are eager to see whether the new Assistant Secretary will continue Washington’s traditional emphasis on security partnerships or shift toward deeper economic and investment ties.

Kapur brings a distinguished scholarly pedigree and deep expertise in international security. He has written extensively on nuclear deterrence, South Asian security, and great-power competition. While much of his work focuses on India, Pakistan, and U.S. grand strategy, he has also examined how India manages its relationships with larger powers such as the United States and China – an enduring middle-power dynamic. That perspective is particularly relevant to Kazakhstan, an emerging middle power, and to Central Asia acting collectively, which is seeking to balance Russian and Chinese influence.

During his confirmation hearing, Kapur emphasized that U.S. engagement in Central Asia will focus on advancing the sovereignty and territorial integrity of the regional states. He noted that, if confirmed, he would leverage the C5+1 framework and bilateral partnerships to pursue cooperation in areas such as energy, critical minerals, counterterrorism, combating transnational crime, and developing physical and digital infrastructure. His remarks reflected a commitment to strengthening regional independence and stability while deepening practical cooperation with the United States.

For Central Asian governments, Kapur’s arrival comes at a time of shifting geopolitics. Russia’s war in Ukraine has unsettled long-standing assumptions, while China’s Belt and Road Initiative continues to expand Beijing’s economic influence. The United States has not always prioritized matching these dynamics. However, Kapur’s testimony underscored opportunities for cooperation in energy, critical minerals, and infrastructure – areas that suggest Washington could place renewed emphasis on practical economic engagement. Such efforts may also open the door for greater U.S. private-sector participation, aligning with Central Asian governments’ interest in diversifying their partnerships.

Energy security will likely remain a top priority. Kapur has written on the importance of diversifying energy routes, a theme that resonates in Central Asia, where leaders are pushing to expand pipelines and export channels through the Caspian and toward Europe. His confirmation may open the door to greater U.S. engagement in trans-Caspian projects and renewable energy cooperation.

Business leaders will be watching closely for signs of a more proactive U.S. economic presence. While American firms already operate in Kazakhstan’s oil and gas sector, broader trade and investment ties lag behind those of Europe, China, and Russia. Kapur has acknowledged in testimony that regulatory transparency and rule-of-law issues remain major obstacles. His bureau may prioritize programs that encourage legal reforms and foster investor confidence.

For regional governments, Kapur’s confirmation offers both reassurance and challenges. His arrival restores Senate-confirmed leadership to the State Department bureau responsible for South and Central Asia after a prolonged vacancy, ensuring clearer lines of authority and continuity in U.S. engagement. Central Asian observers are watching to see whether his stated priorities will translate into tangible initiatives.

Ultimately, Kapur’s tenure will test whether Washington can convert its political and security relationships in Central Asia into a more durable, business-oriented partnership grounded in trade, investment, and economic modernization. For Central Asia’s leaders and business community, his confirmation marks the possibility of expanded engagement with the United States – one that could open meaningful opportunities but will depend on building commercial ties that form the backbone of a stable, long-term relationship.

Kyrgyzstan Launches Development of English Law-Based Dispute Resolution Center

The Kyrgyz Ministry of Justice and the British Embassy in Kyrgyzstan have signed a memorandum to establish an International Center for Dispute Resolution based on English law within the newly designated Special Financial Investment Territory “Tamchy.”

The initiative follows legislation signed by President Sadyr Japarov establishing the Tamchy zone, a special legal and regulatory jurisdiction located in the Issyk-Kul region. The zone is designed to attract both domestic and foreign investment by offering tax incentives and a favorable business environment, particularly in sectors such as manufacturing, tourism, wellness, and transport infrastructure.

A central component of the initiative is the creation of an international arbitration and dispute resolution center operating under English common law, a legal system based on judicial precedent and widely used in major financial hubs like London, Dubai, and Singapore.

Under the memorandum, the British Embassy will support the Kyrgyz government by helping to engage a team of legal consultants to assist in implementing English law within the centre’s framework. The aim is to build a transparent, neutral, and internationally credible mechanism for resolving investment and commercial disputes in Kyrgyzstan.

Government officials described the center as a strategic step toward building a modern, rule-based platform for impartial dispute resolution. By integrating English common law principles, Kyrgyzstan aims to enhance investor confidence, ensure legal predictability, and strengthen its position as a competitive and secure destination for international capital.