Central Asia - The Times Of Central Asia

Viewing results 1 - 6 of 1246

Migration

World Bank Report Examines Migration Trends in Central Asia

The World Bank has released a report titled The Way Forward: Supporting Successful Migration in the Europe and Central Asia Region, which analyzes migration trends and their impact on countries in the region, including Uzbekistan, Kazakhstan, Kyrgyzstan, and Tajikistan. Migration remains a significant issue in Europe and Central Asia, a region home to 100 million migrants, one-third of the world’s total migrant population. People move across borders in search of better job opportunities, as well as in response to changing demographics, climate change, and conflicts. This trend is expected to continue. According to the report, most migrants from Tajikistan and Kyrgyzstan head to Russia, with over 80% of migration from these countries directed there in 2023. Migration from Uzbekistan is more diverse, with 57% of Uzbek migrants residing in Russia, 15% in Kazakhstan, and 10% in Ukraine. The Economic Role of Labor Migration Labor migration plays a crucial role in the economies of Central Asian nations. In 2024, remittances accounted for: 45% of Tajikistan’s GDP 24% of Kyrgyzstan’s GDP 14% of Uzbekistan’s GDP Many households rely heavily on money sent home by migrants. The report highlights that without remittances, the poverty rate among Kyrgyz households with migrant family members would rise from 10% to 50%, while in Uzbekistan, it would increase from 9.6% to 16.8%. The total volume of remittances sent to Uzbekistan in 2024 reached a record $14.8 billion. Recommendations for Better Migration Management The report underscores the need for improved migration policies, as its full potential remains underutilized. If managed effectively, migration can help address economic and demographic challenges. The World Bank recommends several measures to enhance migration management: Developing tailored strategies for skilled and unskilled workers. Integrating labor migration into national economic planning to support growth. Implementing policies to mitigate "brain drain" and encourage skilled workers to return home. Improving migrant registration and formalizing agreements with destination countries. Providing migrants with accurate job information to ensure safer and more organized migration processes. The report concludes that with the right policies in place, migration has the potential to serve as a powerful tool for economic development in Central Asia.

International Women's Day

How Women in Central Asia Celebrate International Women’s Day

March 8, International Women’s Day, holds a special place in Central Asia. Over the years, the holiday has evolved from its Soviet-era roots into a modern celebration that blends tradition with contemporary interpretations. The Soviet Past: March 8 as a Day for Working Women During the Soviet Union, March 8 was more than a celebration of spring and femininity, it symbolized the struggle for women’s rights and equality. The day honored working women, with official ceremonies highlighting their achievements. State-run enterprises and organizations staged formal events and presented flowers and gifts to female employees, and media outlets published articles about the country’s outstanding women. The Transition Period: The 1990s Following the collapse of the Soviet Union, Central Asian countries began redefining their identities, which was reflected in how they marked March 8. The holiday took on a more personal and familial character, with less ideological emphasis. While state celebrations continued, they became more subdued. Men still gifted flowers and presents to women, but the political significance of the day gradually faded into the background. Modern Celebrations: Balancing Tradition and New Trends Today, March 8 in Central Asia is primarily a day to recognize women’s contributions and express gratitude. The holiday remains widely celebrated across Kazakhstan, Kyrgyzstan, Uzbekistan, Tajikistan, and Turkmenistan, though each country has developed its distinct traditions. Kazakhstan: Major cities host flash mobs, charity events, and cultural programs. In recent years, feminist activism has gained momentum, with some using the holiday to highlight gender inequality. “For me, March 8 is not just about receiving flowers, it’s a reminder that equality is not a privilege but a necessity,” Ainur, 24, from Almaty told TCA. Uzbekistan: The holiday remains warm and family-oriented. Women receive flowers, sweets, and gifts from colleagues and relatives, while government agencies organize concerts and celebrations. “My friends and I always celebrate March 8. It’s wonderful to receive gifts from my brothers, friends, and husband, but I wish there was more year-round appreciation for women,” Madina, 27, from Tashkent told TCA. Kyrgyzstan: Alongside traditional celebrations, women's organizations and activists hold marches and discussions on gender rights, reflecting a shift toward reinterpreting the holiday. “I participate in the women’s rights march every year because this day is not just about flowers; it’s about our opportunities and freedoms,” Gulzat, 23, from Bishkek told TCA. Tajikistan and Turkmenistan: March 8 remains an official holiday, but without any strong political agenda. “For me, this day is a time to gather with family, but I see that younger women are giving it a new meaning,” Zarina, 40, from Dushanbe told TCA. Changing Values and Perspectives Each year, debates over the significance of March 8 grow stronger. Some argue that it should remain a celebration of spring and femininity, while others emphasize its role in promoting gender equality. Regardless of interpretation, International Women’s Day remains an important occasion that unites different generations of women and reinforces the need for respect and support. Over time, the holiday in Central Asia has evolved from a Soviet...

e-Commerce

Foreign E-Commerce Platforms in Central Asia Face New Tax Burdens

Local business owners argue that foreign marketplaces enjoy unfair competitive advantages. To address this, Central Asian authorities plan to impose new tax requirements. For consumers, this move could mean higher inflation. Unequal Conditions In February, members of Kazakhstan’s Mazhilis highlighted that foreign marketplaces pay four times less in taxes than their local counterparts. Deputies from the Ak Zhol party, which advocates for business interests, have proposed requiring foreign e-commerce platforms to register with Kazakhstan’s tax authorities and pay value-added tax (VAT) on revenue from local buyers. This proposal targets major marketplaces such as Temu, Amazon, and AliExpress. In 2023, foreign marketplaces contributed just 4.8% of their turnover to Kazakhstan’s treasury, leading to an estimated budget shortfall of tens of millions of dollars. By contrast, Kazakhstani marketplaces face a significantly higher fiscal burden, paying an average of 16.3% in taxes. Local entrepreneurs using domestic platforms may pay up to 62% in various fees and levies, lawmakers claim. They argue that this imbalance undermines the competitiveness of local businesses, leading to factory closures and job losses. A study by the Alliance of Technological Companies Qaztech found that 20% of Kazakhstani consumers currently shop exclusively on foreign platforms. Without government intervention, this share could exceed 50% by 2029, resulting in substantial budgetary losses. “Pay Up or Leave” In January, Prime Minister Olzhas Bektenov proposed increasing VAT while reducing social tax and pension contributions for employers. The plan includes raising the basic VAT rate to 16%, though certain businesses may receive exemptions. In March, National Economy Minister Serik Zhumangarin confirmed that the VAT increase would also apply to online marketplaces. “We set rules and laws, and marketplaces must either comply or exit our market. As far as I know, Temu and Pinduoduo have already conditionally registered here and are VAT payers,” Zhumangarin stated. He emphasized that the government is not imposing a special tax on specific platforms but rather enforcing equal treatment across all e-commerce players. Zhumangarin acknowledged that the VAT hike might cause a short-term inflationary spike, estimating an additional 3% increase. Overall inflation, he noted, could return to double digits, reaching 12–14%. Uzbekistan Follows Suit Uzbekistan is also moving to curb foreign e-commerce dominance. Beginning March 20, the country will restrict access to Temu unless the platform registers for tax purposes. Authorities argue that some foreign marketplaces evade national tax regulations, creating unfair competition for local businesses. Uzbek analyst Timurmalik Elmuradov suggests that Temu has two options: establish a subsidiary in Uzbekistan or register as a VAT payer. The Chinese platform’s estimated monthly sales in Uzbekistan amount to $8-9 million. Online marketplaces are a relatively new phenomenon in Uzbekistan, with Temu operating in the country for only about six months. Should foreign e-commerce platforms withdraw, the cost of imported goods could rise by 10-12%. Meanwhile, Kazakhstan has around 50 domestic online marketplaces, though they struggle to compete with larger foreign rivals. While Chinese, Russian, and Western platforms offer a vast selection and lower prices, local businesses emphasize faster and more reliable delivery.

Central Asia’s AI Pursuit: A Tale of Ambition and Progress

The term “rare earth metals” has become a buzzword in the modern geo-economic lexicon, popularized by U.S. President Donald Trump in contexts where American investments are expected. However, before that, “artificial intelligence” (AI) had already emerged as a global symbol of technological advancement and economic competitiveness. At least four of the five Central Asian republics have joined the race to implement AI technologies, though, until recently, two of them lacked the necessary prerequisites for such a leap. Kazakhstan Sets the Pace A key factor for the successful adoption of AI is the level of digitalization, an area in which Kazakhstan has made significant progress. The country’s digital transformation began with the banking sector and later expanded to public services, with nearly 100% of government services now available online. The COVID-19 pandemic accelerated this shift, making digital access to state institutions and banks a necessity. Since 2022, when AI became synonymous with technological leadership, exemplified by developments in China and the U.S., Kazakh President Kassym-Jomart Tokayev has actively promoted AI initiatives. In the summer of 2023, the government adopted the Concept for the Development of Artificial Intelligence for 2024-2029. During discussions on this initiative, officials reviewed measures already in place, such as Smart Data Ukimet, a centralized system integrating data from 93 government databases. Plans include deploying a supercomputer, expanding data processing centers, launching a national AI platform, and enhancing fiber-optic networks. Additionally, the Ministry of Science and Higher Education is working on a large language model (LLM) focused on the Kazakh language and cultural heritage. Prime Minister Olzhas Bektenov has set a clear goal: “By 2029, the number of AI-based products should increase fivefold. The share of educational programs related to AI must also expand. We need qualified specialists in this field, and it is crucial to consider the needs of domestic companies, which will have a multiplier effect on the economy.” Bektenov also emphasized the role of the National Center for AI in fostering youth involvement, developing human capital, and promoting AI culture. Furthermore, he instructed the Ministry of Justice to enhance legal frameworks for AI regulation. In December 2024, President Tokayev presented Kazakhstan’s first Kazakh language AI model, KazLLM, expressing satisfaction with its development: “We have taught artificial intelligence to think, analyze, and communicate in Kazakh. This achievement opens new prospects for our language in the digital sphere. We must build a Multimodal Language Model, capable of processing various data types simultaneously.” On March 3, 2025, Kazakhstan’s Mazhilis (lower house of parliament) reviewed a draft law, On Artificial Intelligence. If passed, it will be the world’s second AI law after the European AI Act. Uzbekistan's Ambitious Strategy Uzbekistan, another Central Asian country vying for AI leadership, has similarly prioritized digitalization. However, it lags slightly behind Kazakhstan in implementation speed. On October 14, 2024, Uzbekistan adopted its Strategy for the Development of Artificial Intelligence Technologies Until 2030, which outlines several ambitious targets: Increasing AI-driven software and services to $1.5 billion Expanding AI-powered government services on the Single Portal of...

Society

Central Asia Ranks Among Least Free in Freedom House’s 2025 Report

Freedom House has released its 2025 Freedom in the World report, which evaluates political rights and civil liberties in 195 countries and 13 territories worldwide. Covering events from January 1 to December 31, 2024, the report is based on the principles of the Universal Declaration of Human Rights, emphasizing that freedom is best safeguarded in democratic societies. Countries are assessed on a 100-point scale, with higher scores reflecting greater political and civil freedoms. Finland topped the ranking with 100 points, followed by New Zealand and Sweden with 99 points each. At the bottom were Tibet (0 points), Syria, and South Sudan (1 point each). Central Asia: All Countries Remain 'Not Free' Despite variations in scores, all five Central Asian states remain near the bottom of the global ranking, reflecting ongoing restrictions on political participation, press freedom, and civil liberties. All of the countries of Central Asia remain classified as “Not Free”: Kazakhstan - 23 points (5 in political rights, 18 in civil liberties) Kyrgyzstan - 26 points (4 in political rights, 22 in civil liberties) Tajikistan - 5 points (0 in political rights, 5 in civil liberties) Turkmenistan - 1 point (0 in political rights, 1 in civil liberties) Uzbekistan - 12 points (2 in political rights, 10 in civil liberties)

Nuclear Energy

Washington Signals Interest in Uzbekistan’s Nuclear Energy Sector

The United States has expressed interest in cooperating with Uzbekistan on civil nuclear energy investments, U.S. State Department spokesperson Tammy Bruce stated following a February 21 phone call between Uzbek Foreign Minister Bakhtiyor Saidov and U.S. Secretary of State Marco Rubio. “Secretary Rubio spoke with Foreign Minister Saidov to reaffirm U.S. support for Uzbekistan’s independence, sovereignty, and territorial integrity. They discussed ongoing cooperation through the C5+1 platform to promote stability and economic growth in Central Asia. Secretary Rubio also thanked Uzbekistan for its efforts in controlling illegal migration and counterterrorism cooperation. The U.S. looks forward to exploring investment opportunities in critical minerals and civil nuclear energy technologies,” the statement read. U.S. Expands Nuclear Energy Engagement in Central Asia The United States has previously shown interest in participating in nuclear energy projects in Central Asia, including the construction of a nuclear power plant (NPP) in Kazakhstan. During an October 2024 visit to Almaty, Khush Choksi, Senior Vice President of the U.S. Chamber of Commerce, emphasized America’s readiness to take part in Kazakhstan’s nuclear energy sector. “The U.S. has the best technologies for nuclear power plants, and we hope there will be an open tender allowing American companies to participate,” Choksi told reporters. Strategic Energy Cooperation Washington’s interest in nuclear energy partnerships with Uzbekistan and Kazakhstan reflects its broader strategy to expand energy cooperation in Central Asia. The region’s growing demand for energy security, technological development, and investment in clean energy solutions aligns with U.S. efforts to strengthen economic ties and counterbalance the influence of other global energy players.