• KGS/USD = 0.01185 0%
  • KZT/USD = 0.00208 0%
  • TJS/USD = 0.09434 0.53%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28615 0.14%
  • KGS/USD = 0.01185 0%
  • KZT/USD = 0.00208 0%
  • TJS/USD = 0.09434 0.53%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28615 0.14%
  • KGS/USD = 0.01185 0%
  • KZT/USD = 0.00208 0%
  • TJS/USD = 0.09434 0.53%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28615 0.14%
  • KGS/USD = 0.01185 0%
  • KZT/USD = 0.00208 0%
  • TJS/USD = 0.09434 0.53%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28615 0.14%
  • KGS/USD = 0.01185 0%
  • KZT/USD = 0.00208 0%
  • TJS/USD = 0.09434 0.53%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28615 0.14%
  • KGS/USD = 0.01185 0%
  • KZT/USD = 0.00208 0%
  • TJS/USD = 0.09434 0.53%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28615 0.14%
  • KGS/USD = 0.01185 0%
  • KZT/USD = 0.00208 0%
  • TJS/USD = 0.09434 0.53%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28615 0.14%
  • KGS/USD = 0.01185 0%
  • KZT/USD = 0.00208 0%
  • TJS/USD = 0.09434 0.53%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28615 0.14%
14 September 2024

Viewing results 1 - 6 of 3

Kyrgyzstan’s Wages Lowest Among EAEU Countries

Kyrgyzstan has the lowest average monthly wage among its fellow Eurasian Economic Union (EAEU) members, an economic integration bloc that includes Armenia, Belarus, Kazakhstan, and Russia. According to the Eurasian Economic Commission, the EAEU’s governing body, in January–June 2024, the average monthly nominal wage in Kyrgyzstan was $398, in Belarus $666, in Armenia $704, in Kazakhstan $875, and in Russia $922. Compared to the same period in 2023, wages increased in all EAEU member states with the highest growth recorded in Belarus (113%) and Russia (109.4%). Lower wages in Kyrgyzstan are however, somewhat compensated by the cost of food. In a survey conducted by Kyrgyzstan’s Ministry of Water Resources, Agriculture and Processing Industry, it was found that the price of comparable food products in the country are 13.59% lower than in Kazakhstan and 16.17% lower than in Russia.

Kyrgyz Farmers Unite Into Cooperatives To Maximize Export Potential

This year, 47 new agricultural cooperatives appeared in Kyrgyzstan — a total of 741 associations. Experts say that merging into large farms will allow farmers to increase yields and the export potential of their products. In 2023, Kyrgyzstan exported more than 850,000 tons of agricultural products — vegetables, fruits, milk, and meat. More than 40% of these exports went to the countries of the Eurasian Economic Union (EAEU). However, to increase the export potential and the geography of supplies, it is necessary to move away from so-called "small-scale production." When farmers produce goods in small batches, experts believe the way out of this situation can be the cooperation of farms. "The issue of creating cooperatives is a sore point in Kyrgyzstan's farming sector. For over 10 years, we have been saying there is a problem — small-scale commodity production. According to official data, we have more than 460,000 farmers in the country, but, unfortunately, there is no volume of production," Rustam Baltalbayev, Executive Director of the Association of Agroindustrial Complex (AAC), told The Times of Central Asia. Baltabayev said an agricultural co-op is the most convenient form of doing business in agriculture. It solves the problem of wholesale supplies abroad. According to the AAK, agrarians in Kyrgyzstan's southern regions — producers of white rice and bell peppers — are actively joining agricultural cooperatives. "This mechanism, in my opinion, is the most profitable and convenient regarding agricultural development. It is only necessary to finalize the legal forms so that large holdings could join associations," he noted.

Ten Years of the EAEU: Trade Wars Rumble On Against Backdrop of GDP Growth

The Eurasian Economic Union (EAEU) recently celebrated its first significant anniversary. According to the numbers, the years of integration have positively impacted the member states' economies; however, there are serious trade wars in the bloc, and some entrepreneurs fear the collapse of entire industries. The agreement on creating the EAEU was concluded on May 29, 2014, in Astana by the presidents of Kazakhstan, Russia, and Belarus. Later, Armenia and Kyrgyzstan joined the union, whilst Moldova, Uzbekistan, and Cuba hold observer state status. The member states initially emphasized the strictly economic nature of the union, and continuously refused to politicize it. For Kazakhstan, membership in the EAEU is advantageous, because it simplifies exporting raw materials to foreign markets. In addition, the union has unified customs regulations and duty-free trade. According to official sources, the GDP growth rate of all EAEU countries in 2023 amounted to 3.8%, which is higher than global GDP growth. In Armenia, growth is 8.7%, in Kyrgyzstan 6.2%, in Kazakhstan 5.1%, in Belarus 3.9%, and in Russia 3.6%. Mutual trade between member states has almost doubled since the union's inception, with foreign trade increasing by 60%. Kazakhstan has increased trade turnover with EAEU countries 1.7 times, and foreign exports have doubled. According to the Bureau of National Statistics of Kazakhstan, foreign trade turnover for January-March 2024 increased to $31.2 billion, of which the share of trade with EAEU countries amounted to 19.6%, reaching $6.1 billion. Russia's share in the volume of Kazakhstan's external trade turnover (within the EAEU) exceeds 90%. Nevertheless, creating a common harmonized market intended to copy that of the European Union has not yet been possible. A regulation financial system, logistics system, efficient electricity market, and other projects have yet to be implemented. In addition, the EAEU is often shaken by trade wars, and producers suffer from price dumping. Kazakhstani businessmen and farmers have repeatedly complained that the expansion of cheap Russian goods threatens their livelihoods. This problem is particularly acute in the production of eggs, chicken, and dairy products, whilst Kazakhstan is critically dependent on Russian imports in some sectors, especially food. For example, when Russia imposed quotas on sugar exports or otherwise restricted sales, the cost of these products in Kazakhstan tripled in 2022. As soon as Russia removed these restrictions, the price quickly adjusted. Comparable fluctuations are also observed in other sectors. Due to international sanctions, dairy producers from Russia and Belarus redirected their supplies to Kazakhstan and started dumping prices to take over the Kazakh market. In this regard, some experts proposed that the border be closed to these products to preserve the local dairy industry. At the same time, analysts referred to Russia's frequent bans on the export of certain goods, mainly wheat and sugar. Such measures are not conducive to integration, but rural producers believe that Kazakhstani officials cannot effectively defend their interests in the EAEU market, even though they hold significant positions in the integration body. This year, Kazakhstani entrepreneurs again complained that Russia and Belarus were flooding...