• KGS/USD = 0.01144 0%
  • KZT/USD = 0.00190 0%
  • TJS/USD = 0.09201 0.33%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28490 -0.42%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00190 0%
  • TJS/USD = 0.09201 0.33%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28490 -0.42%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00190 0%
  • TJS/USD = 0.09201 0.33%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28490 -0.42%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00190 0%
  • TJS/USD = 0.09201 0.33%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28490 -0.42%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00190 0%
  • TJS/USD = 0.09201 0.33%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28490 -0.42%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00190 0%
  • TJS/USD = 0.09201 0.33%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28490 -0.42%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00190 0%
  • TJS/USD = 0.09201 0.33%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28490 -0.42%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00190 0%
  • TJS/USD = 0.09201 0.33%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28490 -0.42%
21 January 2025

Viewing results 1 - 6 of 6

Long-Awaited Construction of China-Kyrgyzstan-Uzbekistan Railway Officially Launched

On December 27, Kyrgyzstan's President Sadyr Japarov, the Chairman of the National Development and Reform Commission of the People's Republic of China, Zheng Shanjie, and Uzbekistan’s Deputy Prime Minister Jamshid Khodjayev participated in a ceremony to mark the start of construction on the China-Kyrgyzstan-Uzbekistan railway. The event occurred in the village of Tosh-Kutchu in Kyrgyzstan’s Jalal-Abad region, where they laid the first stone for this significant regional transportation project. Speaking at the ceremony, President Japarov highlighted the importance of the China-Kyrgyzstan-Uzbekistan railway as more than just a transportation route, describing it as a critical strategic bridge linking the East and West. "This route will ensure the delivery of goods from China to Kyrgyzstan, as well as to the countries of Central Asia and the Middle East, including Turkey, and on to the European Union. The project will strengthen interregional ties, help diversify transport routes and increase the competitiveness of the region as an international transport and transit hub, which is in line with the goals of the Central Asian countries," Japarov said. Zheng Shanjie delivered a message from Chinese President Xi Jinping, highlighting that the new land corridor connecting Asia and Europe will significantly increase the flow of people and trade among the three countries. According to the message, the project is expected to drive regional prosperity by fostering industrial and resource development, boosting trade, and attracting investment. Uzbekistan's President Shavkat Mirziyoyev, in an address read by Deputy Prime Minister Khodjayev, called the launch of railway construction a historic milestone that the three nations had been working toward for nearly 30 years. The Uzbek leader noted that the new transportation artery, which will establish the shortest land route connecting Central Asia and China, will strengthen the strategic partnership between the three nations. The 523-kilometer railway will traverse Kashgar (China), Torugart, Makmal, Jalal-Abad (Kyrgyzstan), and Andijan (Uzbekistan). Once completed, the railway is expected to handle up to 15 million tons of cargo annually. Currently, neither Kyrgyzstan nor Uzbekistan has a direct railway connection to China. Central Asia’s rail link to China is limited to a route through Kazakhstan, leaving Kyrgyzstan and Uzbekistan without a direct connection.

Old Projects Now Part of Kyrgyzstan’s Near Future

Two projects that successive governments in Kyrgyzstan over the course of more than three decades have promoted as key to the country’s long-term success appear to finally be making progress. The idea for the China-Kyrgyzstan-Uzbekistan (CKU) railway dates back to the early days of Kyrgyzstan’s independence, and plans for construction of the massive Kambar-Ata-1 hydropower plant (HPP) go back even further, to the Soviet-era. After all these years, these aspirations that have almost faded into dreams are set to be realized.   All Aboard On December 27, Kyrgyz President Sadyr Japarov took part in a ceremony near the southern city of Jalal-Abad to launch construction of Kyrgyzstan’s section of the CKU railway. The idea of a trans-Asian railway that would run from China into Kyrgyzstan and on to points further west goes back to the first meeting on Central Asian presidents in December 1991 in Ashgabat, Turkmenistan. It was a lofty ambition from five leaders whose countries had been independent for barely three months, but then-Kyrgyz President Askar Akayev followed up on the proposal, discussing the railway project with Chinese leaders when he visited Beijing in May 1992. That was more than one year before the first road border crossing opened between the two countries. By the end of the 1990s, the scope of the project had narrowed to a railway connecting China, Kyrgyzstan, and Uzbekistan, though it was often vaguely mentioned the line could be part of a longer railway connecting China to Europe through Central Asia. The topic of the CKU railway was always part of the agenda for every Kyrgyz president whenever they met with Chinese leaders. In June 2001, then-Kyrgyz transport and communications minister Kubanychbek Jumaliyev announced his country would sign an inter-governmental agreement with China and Uzbekistan on construction of the railway. At that time, Jumaliyev said some 250 kilometers of the line would pass through Kyrgyzstan and the cost of construction of the whole line would be about $2.3 billion. According to the latest plans for the route, CKU railway will be 486 kilometers, from Kashgar in China’s western Xinjiang Uyghur Autonomous Region to Torugart on the Kyrgyz-China border, then through the Kyrgyz cities of Makmal and Jalal-Abad to Andijon in Uzbekistan. The distance is not great, but the mountainous landscape of Kyrgyzstan through which the route will pass presents some formidable challenges. The 312 kilometers that will run through Kyrgyzstan requires construction of 81 bridges and 41 tunnels that will account for some 120 kilometers of the 312-kilometer Kyrgyz section of the railway. According to some sources, including Akylbek Japarov, who until December 16 was chairman of Kyrgyzstan’s Cabinet of Ministers, the estimated cost of building the entire railway is now put at some $8 billion. Cash-strapped Kyrgyzstan is expected to pay some $4.7 billion of that, and has already agreed to accept a Chinese loan of some $2.35 billion. The advantages for Kyrgyzstan will not come quickly, but they should come eventually. Simply being better connected to markets in Europe and China...

Kyrgyzstan to Build Major Customs and Logistics Center

Construction has commenced on a state-of-the-art customs and logistics center, Global Hub, in the Alamudun district of Kyrgyzstan’s northern Chui region, near the capital, Bishkek. The center will cover more than 136,000 square meters, including 120,000 square meters of modern warehouses. These facilities will feature temperature-controlled environments, refrigeration systems for perishable goods, and dedicated storage for medicines. Additionally, the complex will include dry and bonded warehouses to support various logistical needs. The $21 million project is being implemented by Alkanov Group LLC, a local company. On December 26 the new Chairman of Kyrgyzstan’s Cabinet of Ministers, Adylbek Kasymaliyev, highlighted the strategic importance of the project. He noted that Kyrgyzstan’s warehousing sector is still in its infancy and lacks facilities that meet international standards. “This strategic project addresses current challenges and holds great importance for the state. If the construction of the China-Kyrgyzstan-Uzbekistan railway is completed by 2030 and the Bedel checkpoint on the Kyrgyz-Chinese border begins operating at full capacity, Kyrgyzstan’s warehousing market will expand significantly,” Kasymaliyev said. He emphasized the necessity of preparing for growing import and export demands, adding, “Millions of tons of cargo are processed and transported globally every day. The construction of large warehouses, logistics centers, and hubs will drive economic development in Kyrgyzstan.”

Important Deal Signed for China-Kyrgyzstan-Uzbekistan Railway Project

On December 20, Bishkek hosted the signing of an investment agreement between Kyrgyzstan’s Cabinet of Ministers and China-Kyrgyzstan-Uzbekistan Railway Company LLC. The agreement encompasses the design, construction, financing, operation, and maintenance of the China-Kyrgyzstan-Uzbekistan railway. The announcement came shortly after Kyrgyz President Sadyr Japarov revealed that construction on the strategic railway, which will connect the three nations, is set to begin on December 27. The agreement was signed by Kyrgyzstan’s Minister of Transport and Communications, Absattar Syrgabaev, and Zhong Shenggui, Chairman of the Board of Directors of China-Kyrgyzstan-Uzbekistan Railway Company LLC. A Historic Milestone The signing ceremony was attended by Kyrgyz Deputy Chairman of the Cabinet of Ministers and Minister of Water Resources, Agriculture, and Processing Industry Bakyt Torobayev; Li Baojie, Charge d’Affaires of the Chinese Embassy in Kyrgyzstan; and Saidikram Iyazkhodjaev, Uzbekistan’s Ambassador to Kyrgyzstan. In his remarks, Torobayev called the agreement a historic achievement for the three nations, marking the conclusion of a lengthy negotiation process and the start of practical implementation. “This large-scale infrastructure project is of both regional and international significance,” he emphasized. Strategic Importance of the Railway The China-Kyrgyzstan-Uzbekistan railway is a pivotal development for the transport strategies of the participating countries. Currently, neither Kyrgyzstan nor Uzbekistan has a direct railway link with China, while Central Asia’s rail connection to China is limited to a route through Kazakhstan. Furthermore, Kyrgyzstan and Uzbekistan lack a direct railway link between them. The project’s significance was cemented on June 6, 2024, when China, Kyrgyzstan, and Uzbekistan signed an intergovernmental agreement in Beijing. The 523-kilometer railway will traverse Kashgar (China), Torugart, Makmal, Jalal-Abad (Kyrgyzstan), and Andijan (Uzbekistan). Transit and logistics infrastructure will be developed along the route to support its operations. Once completed, the railway is expected to transport up to 15 million tons of cargo annually, significantly enhancing trade and connectivity in the region.

China-Kyrgyzstan-Uzbekistan Railway Company Opened in Bishkek

On September 28, LLC China-Kyrgyzstan-Uzbekistan Railway Company opened in Bishkek for the purpose of constructing and operating a line connecting the three countries. The opening ceremony was attended by the Chairman of the Cabinet of Ministers of the Kyrgyz Republic, Akylbek Japarov, the Chinese Ambassador to Kyrgyzstan, Du Dewen, high-ranking officials from the Department of Foreign Capital and Overseas Investment of China’s National Development and Reform Commission, and Uzbekistan’s Minister of Transport, Ilkhom Makhkamov. Emphasizing the railway's importance for the region, Japarov stated: "We call this project ‘the construction of the century.’ It will take economic cooperation between China and Central Asian countries to a qualitatively new level." Currently, neither Kyrgyzstan nor Uzbekistan has a rail link with China, with Central Asia only having a connection to China through Kazakhstan. Kyrgyzstan and Uzbekistan also have no railway connecting the two countries. China, Kyrgyzstan, and Uzbekistan signed an intergovernmental agreement on the railway construction project on June 6 in Beijing. As previously reported by The Times of Central Asia, the 523 km railway will run through Kashgar (China), Torugart, Makmal, Jalal-Abad (Kyrgyzstan), and Andijan (Uzbekistan). A transit and logistics infrastructure will be developed along the route. Once completed, the line will see 15 million tons of cargo annually. In June, Akylbek Japarov confirmed a statement made by Kyrgyz President Sadyr Japarov in April 2024, stating that the railway construction would cost $8 billion as opposed to the preliminarily estimate of $4.7billion. 

Bridging Continents: The China-Kyrgyzstan-Uzbekistan Railway – A Tale of Opportunities, Challenges, and Controversies

On June 6, 2024, an agreement was signed in Beijing to begin the construction of a railway between China and Uzbekistan which will pass through Kyrgyzstan, a strategic infrastructure project designed to create a new land transport corridor between Central and East Asia. For 27 years, this project remained a pipe-dream. Now, the presidents of the three countries have confidently declared that this railway, with a length of 523 kilometers, is extremely necessary and will be highly profitable for the entire region. However, such sentiments were not always the case, and doubts have long lived in the heads of multiple Kyrgyz presidents. Both Askar Akayev, who ruled the country from 1990 until the revolution in 2005, his successor Kurmanbek Bakiyev, also overthrown as a result of revolution in 2010, and Almazbek Atambayev, were not sure of the benefits of this project. Until 2017, that is, shortly before Atambayev’s resignation and the transfer of power to his, as it seemed to him at that time, reliable friend Sooronbay Jeenbekov, Atambayev was more or less consistent in defending the interests of his country, but later his focus shifted towards China. Why was there such a turn from Atambayev towards Beijing? This later became clear. On January 26, 2018, an accident occurred in the old part of the Bishkek Combined Heat and Power Plant (CHP), which was supposed to have been modernized by that time. This incident served to reveal large-scale corruption and financial violations at the CHP. The contract for implementation of the modernization was signed on July 16, 2013 between the owner of the CHP, Electric Stations OJSC, and the Chinese company, TBEA, in the amount of $386 million dollars. The financing was provided as a loan by a state fund of China, the Export and Import Bank of China (Eximbank), and Kyrgyzstan had to return approximately $500 million including interest. However, after the accident and the transfer of the case to court, it transpired that the real cost of the subhead modernization was a maximum of $250-260 million. Hence, the cost was hugely inflated; as an example, a pair of pliers was invoiced for $640, and fire extinguishers for $1,600. A similar situation occurred with the Datka-Kemin power line, the construction of which began in 2012, when Atambayev was president. The project was implemented by the same Chinese company, TBEA, which carried out work on modernization of the CHP, and the amount cited for the project was the same, $386 million. Again, the loan was issued by Eximbank. As a result of corruption scandals which were revealed in 2019, Atambayev was deprived of presidential immunity and paid with his freedom. Kyrgyzstan’s accumulated debt since its independence in 1991 is estimated at $6.2 billion - 45% of GDP - around $1.7 billion of which is owed to Eximbank. After Sadyr Japarov came to power in November 2020, issues surrounding the Kumtor Gold Mine came to the fore. Discovered by geologists in 1978, the largest open pit gold mine in Central Asia,...