Digitalization - The Times Of Central Asia

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borders International transport Digitization Digitalization Customs European Union

EU-Funded Electronic Queue Management System Aims to End Border Delays in Kyrgyzstan

Kyrgyzstan’s State Customs Service has launched a pilot Electronic Queue Management System (eQMS) at the Kyzyl-Kiya road border crossing with Uzbekistan. The system is designed to simplify and expedite border-crossing procedures for truck drivers. Using the eQMS website, drivers can reserve time slots and access a designated waiting zone at their scheduled time, according to the Delegation of the European Union to the Kyrgyz Republic. European Union Support Funded by the European Union, the eQMS is part of Kyrgyzstan’s broader effort to enhance economic and regional trade integration. The initiative is implemented with technical support from the International Trade Centre (ITC), a United Nations agency, under the Ready4Trade Central Asia: Fostering Prosperity Through the Trans-Caspian Transport Corridor project. Marilyn Josefson, Ambassador of the European Union to the Kyrgyz Republic, emphasized the significance of the initiative: “The European Union is proud to support Kyrgyzstan's efforts to modernize its border management through the eQMS pilot initiative. Improving soft connectivity and facilitation of trade and border procedures is a crucial step in advancing the operational efficiency of the Trans-Caspian Transport Corridor and supporting the internationalization of Central Asian businesses, ultimately fostering sustainable economic development and stronger regional integration,” said Josefson. Advancing Border Efficiency Almaz Saliev, deputy chairman of the State Customs Service of Kyrgyzstan, highlighted the transformational nature of the project: “This system is not only an operational improvement but also a commitment to a modern, user-centered approach to border management.” The new system addresses longstanding issues faced by Kyrgyz exporters and freight forwarders, particularly delays at border crossings. While the pilot project focuses on the Uzbekistan border, border delays have also been a recurring problem for Kyrgyz trucks crossing into Kazakhstan. These delays have disrupted goods transit to Russia and other destinations, prompting periodic complaints from Kyrgyzstan about excessive queues. The eQMS pilot project marks a significant step toward more efficient, transparent, and reliable border management, paving the way for smoother trade flows and stronger regional connectivity.

AI Science Digitalization Start-ups Silicon Valley Digital Technologies

Kazakh AI Startup Enters U.S. and Japanese Transportation Markets

Astana-based startup Call2action.ai, a resident of the Astana Hub International Technology Park, is making strides in the US market. Currently, over 40 transportation companies in the United States have expressed an interest in the startup’s product. Two companies have already become commercial clients, and three others are engaged in pilot projects. Call2action.ai has developed the world’s first SaaS solution based on Generative Artificial Intelligence for automating hiring in the transportation and logistics sectors. This innovative platform streamlines the hiring process, making it more efficient and cost-effective. Following the successful validation of its project hypotheses, Call2action.ai has launched an investment round and entered negotiations with venture capital funds and business angels, some of whom are already supporting the startup and planning investments. “The American market is vastly different from the Kazakh market, but its potential for revolutionizing hiring processes is enormous,” said Ersultan Dzhusakinov, CEO and co-founder of Call2action.ai. “Participation in the Silicon Valley Residency Program, supported by Astana Hub and the Ministry of Digitalization, has allowed us to accelerate our progress in Silicon Valley. Within a few months, we’ve secured contracts with two companies, three pilot projects, and attracted interest from major Japanese corporations like Persol Group and Mitsui Group. We expect our product to reach a valuation of $1 billion in the coming years.” The startup collaborates with US innovation hubs, including the Silkroad Innovation Hub, and actively participates in international trade shows such as TechCrunch Disrupt and CESV 2024. Additionally, Call2action.ai has been selected to join Mitsui Group’s accelerator program, which begins in 2025. Call2action.ai is among 22 Central Asian startups that participated in accelerator programs in Silicon Valley under the AlchemistX and Silicon Valley Residency Program initiatives. These programs were organized by Astana Hub and Silkroad Innovation Hub, with support from the World Bank and FPIP projects. Kazakhstani startups are becoming competitive on global markets. For example: • ZebraEye project, led by Yana Ten, specializes in diagnosing ophthalmic diseases using artificial intelligence and attracted investor attention at Web Summit Qatar 2024. • ClickLog, which develops freight optimization software, has established companies in Estonia and Poland to target European markets. • Dereknet plans to expand into the Middle East and Europe, including Kuwait, Qatar, Norway, the UK, and the US.

visas Labour market Digitization Digitalization Legislation Migration Digital Nomads

Kyrgyzstan Offers Digital Nomad Status to Foreign Specialists

Kyrgyzstan’s President Sadyr Japarov has signed legislative amendments introducing the status of Digital Nomad for foreign citizens working in information and communication technologies (ICT), software development, creative industries, and related areas. Digital Nomads are exempt from mandatory registration at their place of domicile in Kyrgyzstan, can obtain a personal identification number (PIN), do not need to obtain permits for work, enjoy the right to engage in entrepreneurial activity as an individual entrepreneur or a legal entity, and are allowed to open bank accounts. According to the Ministry of Economy and Commerce, which spearheaded the amendments, this initiative aims to create favorable conditions for attracting digital nomads to Kyrgyzstan. It is expected to contribute to the development of innovative projects, the growth of high-tech industries, increased tax revenues, job creation, and tourism development. In neighboring Kazakhstan, the Ministry of Foreign Affairs announced that as of November 18, 2024, the country has enacted updated visa regulations to attract business immigrants, skilled professionals, and tourists. Kazakhstan is introducing a Digital Nomad Visa, a single-entry electronic or multiple-entry paper visa for IT specialists, allowing long-term residence. Additionally, the Neo Nomad Visa offers extended stays to “neo-nomads” who have a verified monthly income of at least $3,000. Applicants for the Neo Nomad Visa must provide health insurance and proof of a clean criminal record.

Organization of Turkic States Women entrepreneurs Turkic Investment Fund small and medium businesses Regional integration MSMEs Digitalization

Empowering Trade and Women Entrepreneurs: Kazakhstan’s Digital Leap for the Turkic States

The head of the Presidium of the National Association of Women Entrepreneurs of Kazakhstan (ASMAR), Lazzat Ramazanova, who currently chairs the Council of Women Entrepreneurs of Turkic States, has reported on the development of a single digital ecosystem for business in the five countries which form the Organization of Turkic States (OTS). This platform is expected to expand international trade with countries outside of the Organization. This year, Kazakhstan chairs the Council of Women Entrepreneurs of Turkic States, which operates under the OTS and includes five member countries: Kazakhstan, Kyrgyzstan, Azerbaijan, Turkey, and Uzbekistan. Three more countries - Hungary, Northern Cyprus, and Turkmenistan - are represented in the Organization with the status of observer states. One of the goals of Kazakhstan's chairing of the OTS was to strengthen business ties between Turkic states. To this end, the Turkic Business Hub initiative was implemented, an online platform that will become an important element of integration and cooperation in the region. Speaking at the close of the meeting in Astana, Lazzat Ramazanova told those in attendance: “Today, within the framework of the General Assembly of Women Entrepreneurs of the Turkic World, an ambitious initiative was put forward to create a unified digital platform for business. Kazakhstan was the initiator and implementer of this idea, as our country is now among the top 25 most digitized countries. The platform has already been developed, and in Kazakhstan, we are already working with our ministries on the integration of info-systems. Now, we will work with the governments of Turkic states so that the same integration takes place with their info-systems. In other words, the software has been created, and we are working to bring other countries into it.” The main advantage of a Turkic Business Hub is it ensures business security when choosing a partner in a given country. This is because when a user of the platform registers as a potential participant in trade relations, all information about them as a business entity is collected. Artificial intelligence automatically scans the fiscal (tax and customs) authorities and runs the business' credit history through the hub's integration with the databases of banks. The banks have their own interest in this system, since using it they can find clients and borrowers who have passed strict compliance checks. AI can also monitor the presence or absence of lawsuits from former partners of the entity that is attempting to register. “In the case of detection of negative information, the entity is denied registration, i.e., from there start, there will be no 'scam' companies or unscrupulous counter-parties on the platform," Ramazanova explained. "They will immediately be 'canceled' by the artificial intelligence based on the data from tax, customs, and other state services. But the most important thing is that in case of rejection, AI will send such the rejectee a complete summary of the reasons why they were denied registration, so the business will know what they need to correct to join the system. Once business entities that have no...

Security Digitalization Digital Technologies Artificial intelligence Public Security Digitization

AI Facial Recognition System Being Tested in Two Cities in Kazakhstan

Kazakhstan has launched a national video monitoring system powered by artificial intelligence technologies. The project, developed by the Ministry of Internal Affairs, the National Security Committee, and the Ministry of Digital Development, Innovation, and Aerospace Industry, aims to enhance surveillance capabilities across key locations in the country. The system is designed to recognize faces, detect abandoned objects, capture offenses, and identify vehicles by make, model, and color. Critical sites such as railway stations, airports, hotels, streets, intersections, and shopping malls are priority areas for implementation. During the World Nomad Games in Astana, the technology was reportedly instrumental in locating lost children and missing persons. Authorities also noted that the system helped detain 46 wanted individuals in Astana and 30 in Almaty. Proponents argue that these technologies could contribute to improving public safety and reducing crime. Kazakhstan’s initiative follows a broader global trend of integrating AI into “smart city” systems, similar to developments in China, Russia, and some European countries. Officials say the system will be expanded with additional cameras nationwide to increase monitoring coverage. To date, more than 1.3 million video cameras have been installed in Kazakhstan, with 310,000 of them connected to operational control centers and police duty stations. Advocates of the system highlight its potential to deter crime and bolster public security, although concerns about privacy and misuse of surveillance technology have been raised internationally. Worldwide, AI video surveillance systems are being adopted to improve law enforcement and public safety. In China, they are used for facial recognition to track criminals and prevent offenses. Russia has integrated AI into its video systems to detect potential threats, while in the UK, intelligent cameras are used for crowd management and event security. While supporters emphasize the benefits of such systems in enabling faster responses to incidents and reducing crime, the deployment of AI in surveillance has sparked ongoing debates over privacy, civil liberties, and the potential for misuse.

Government Digitalization Digital Technologies Artificial intelligence taxes

Kyrgyzstan’s High Technology Park Confirms Indefinite Preferential Tax Regime

Kyrgyzstan’s President Sadyr Japarov has signed amendments to the Law "On the High Technology Park of the Kyrgyz Republic," extending the Park’s preferential tax regime indefinitely. Established in 2011, the High Technology Park was designed to foster IT businesses by drastically reducing or eliminating tax burdens for companies exporting digital goods and services. Previously, the High Technology Park offered tax exemptions for export-oriented IT companies for a 15-year period, set to expire in 2026. Under the new amendments, this regime is now permanent. Currently, resident companies of the Park benefit from exemptions on sales tax, profit tax, and value-added tax (VAT). Employees of these companies enjoy a reduced income tax rate of 5%, while the social insurance tax is 12% of their average monthly wage. The amendments also grant the Park's supervisory board the authority to independently elect its chairperson, a change expected to enhance the Board's efficiency. This move significantly boosts the Park's appeal to both domestic and international IT businesses. Kyrgyzstan’s IT sector is among the country’s fastest-growing industries. In 2021, Kyrgyzstan established the Ministry of Digital Development, tasked with advancing e-government initiatives and expanding the range of government services available online.