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Solidarity Center: Central Asian Migrant Workers Face Low Pay and Unsafe Workplaces

Central Asian migrant workers face new challenges as they look for well-paying jobs, with economic shifts and political instability adding to the uncertainty. More women and young people also choose to migrate, often facing unique risks. Panelists at a recent Solidarity Center webinar highlighted that protecting these workers’ rights is more effective when countries in the region work together on safe migration plans. A Solidarity Center study involving over 1,000 migrant workers from Kazakhstan, Kyrgyzstan, and Uzbekistan found that Kyrgyzstan and Uzbekistan are the primary countries of origin, while Kazakhstan is becoming a growing destination. Most participants (58%) left due to low wages in their home countries, and 31% cited a lack of jobs as their main reason for migrating. Russia, once a top destination for Central Asian workers, has seen a drop in migrant numbers since its economy took a hit following Russia's invasion of Ukraine. A migrant worker from Uzbekistan shared that overtime hours weren’t paid, and medical expenses had to come out of his pocket if he got sick. According to Lola Abdukadyrova, Solidarity Center's regional director in Kyrgyzstan, this story reflects the harsh conditions many migrant workers face—no overtime pay, no sick leave, and frequent discrimination or harassment. Abdukadyrova noted that for nearly 30% of Kyrgyz migrant households, money for food is often a struggle. In Uzbekistan, this rate rises to 45%, as shared by Nodira Karimova, director of the Republican Social Information Center Istiqbolli Avlod. Abdukadyrova added that many migrants earn only enough for basic food, and they face delayed payments, heavier workloads without extra pay, and unsafe working conditions. “Kazakhstan has endorsed the Global Compact for Safe, Orderly and Regular Migration (GCM) and participates in various regional migration dialogues,” said Aleksandr Mukha, director of the Mangistau Regional Branch of the Kazakhstan International Bureau for Human Rights and Rule of Law. In another significant win for migrant worker rights organizations, Kyrgyzstan issued the GCM in August to improve conditions for Kyrgyz citizens who travel abroad to earn their livelihoods. The Times of Central Asia has previously written about how that Russia's ongoing war in Ukraine has increased pressure on Central Asian migrants.

Kyrgyz Authorities Unhappy With The Dollar

The Kyrgyz Finance Ministry plans to set aside 20 billion KGS ($230m) to issue digital bonds and treasury bills. Kyrgyz Cabinet Chief Akylbek Japarov has said at a meeting with journalists that according to him, the central bank's monopoly on issuing money is ending. Japarov discussed the role of the U.S. dollar in the country's economy and emphasized that it has become a tool of political pressure. “We send payments, but they are delayed without explanation. Sometimes, the delays last up to three months. This hurts trade. If there is no money, there is no trade. I think a new toolkit will soon appear,” he stated. He said the BRICS organization is already working on alternative payment systems to support trade. Cryptocurrency, and any currency backed by the gold reserves of the countries that use it, can replace the dollar in international trade. “Now everyone who has a gadget can emit cryptocurrency into various cryptocurrencies. In Kyrgyzstan, we will work on this issue and have a crypto exchange,” Japarov noted. He noted that digital bonds and promissory notes issued by the Kyrgyz Finance Ministry will be backed by gold. Corresponding amendments to the legislation are already being submitted to Parliament for consideration. Earlier, the National Bank of Kyrgyzstan also announced the launch of a pilot project for the national digital currency, “digital som,” and the creation of a legal framework for it. The Ministry of Economy and Commerce of Kyrgyzstan also announced the creation of crypto banks that will work with virtual assets. “Given the rapid development of digital technologies and cryptocurrencies, creating a crypto bank represents an urgent need to integrate crypto assets into the country's traditional financial system. Cryptobank will ensure safe, regulated, and convenient interaction of citizens and businesses with cryptocurrencies”, noted the Ministry of Economy.

First-Ever Tungsten Production Launched in Kazakhstan

On November 1, Kazakhstan’s first tungsten processing plant was opened in the Almaty region. According to the Kazakh Ministry of Industry and Construction, this will strengthen the country's position in the global rare earth metals market. The $300 million project will create up to 1,000 local jobs and, when fully operational, will process 3.3 million tons of ore annually, producing 65% tungsten concentrate. Jiaxin International Resources Investment Ltd. is implementing the project, which was joined by Jiangxi Copper Corporation, China Railway Construction Company, China Civil Engineering Construction Company, and Ever Trillion International Singapore PTE LTD. Further plans include constructing a $150 million deep processing facility to increase tungsten content to 88.5% and produce high-purity tungsten carbide. Tungsten has the highest melting point of all metals and is alloyed with other metals to strengthen them. Tungsten and its alloys are used in many high-temperature applications, such as arc-welding electrodes and heating elements in high-temperature furnaces. Tungsten carbide is tough and important to the metal-working, mining, and petroleum industries. Speaking at the 36th meeting of the Foreign Investors’ Council in Astana on October 31, Kazakhstan President Kassym-Jomart Tokayev emphasized that Kazakhstan has a unique mineral resource base and has attracted more than $1 billion of private investment in geological exploration over the past six years.

U.S. Sanctions Uzbek Companies Supplying Russia with Equipment

The U.S. Department of the Treasury has sanctioned 275 individuals and entities involved in supplying Russia with advanced technology and equipment that it desperately needs to support its war machine. The Uzbek companies Uzstanex and The Elite Investment Group are among the sanctioned entities. Deputy Secretary of the Treasury Wally Adeyemo emphasized that the U.S. and its allies are committed to halting the flow of essential tools and technologies that enable Russia to pursue its unlawful war against Ukraine. “As demonstrated by today’s actions, we are unwavering in our resolve to weaken Russia’s military capabilities and to penalize those attempting to circumvent or evade our sanctions and export controls,” Adeyemo stated. Uzstanex is part of the StanexGroup holding. The company sells and adjusts machine tools in Uzbekistan, Kazakhstan, Kyrgyzstan, Tajikistan, and Turkmenistan. According to the U.S. Treasury Department, the machine tools purchased by Uzstanex were delivered to Russia through the Chinese company Shanghai Winsun Imp and Exp Co Ltd (Shanghai Winsun), which is why sanctions were imposed against it. The Elite Investment Group is a non-specialized wholesaler. It is noted that from mid-March to May 2024, using GUCLU GLOBAL as a carrier agent, the company delivered approximately $190,000 worth of high-priority goods, including electrical transformers, to companies in Russia, including the GS Group.