Reshuffle - The Times Of Central Asia

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Government

Tax Troubles Trigger Shake-Up: Kyrgyzstan Names New Prime Minister

In Kyrgyzstan, Adylbek Kasymaliev, the head of the Cabinet of Ministers, has replaced Akylbek Japarov and became the new Prime Minister of the country. The departure of the previous head came as a surprise to most citizens. However, the president of the Kyrgyz Republic explained that the dismissal was due to unfavorable developments in the sphere of taxes. New Prime Minister Adylbek Kasymaliev was born on December 1, 1960, in the village of Dolon, in the Tyup district of the Issyk-Kul region. Over his long career, he has held the positions of Minister of Finance of Kyrgyzstan, Chairman of the State Tax Service, and Deputy Head of the Presidential Administration. According to the Kyrgyz president, Kasymaliev’s predecessor, Akylbek Japarov, who served for more than three years in the government, made a number of mistakes in the area of taxes. “His departure from office, I think, should not be politicized," stated President Sadyr Japarov. "Unfavorable events in the tax sphere, which provides the funds for the budget, have impacted this decision. There have also been machinations with excise duties. This sphere was under Akylbek Usenbekovich's personal control, and he could have taken earlier measures to stop illegal activity. Because of illegal manifestations in this area, as well as an investigation into the leadership of the tax service, there is a need to eliminate a conflict of interests. Thus, I decided to remove him from his post,” the president told Parliament. Earlier, the State Tax Service of Kyrgyzstan underwent massive inspections, resulting in a number of high-ranking officials losing their posts, including the head of the State Tax Service and some of his deputies. Kyrgyz analyst Nasirdin Shamshiev told Times of Central Asia that the departure was unexpected, as Akylbek Japarov had established himself as a strong and progressive economist. “Akylbek Japarov has done a lot to increase tax collections and bring business out of the shadows. Today's appointments in the government speak of the previous course of the Cabinet of Ministers,” Shamshiev said. In addition, Bakyt Sydykov has been officially appointed as Kyrgyzstan's new Minister of Economy. Previously, Sydykov worked on attracting investments and coordinating donor aid to the country. "Sydykov's appointment was likely a preliminary measure," Shamshiev also told TCA. "He has performed well in his previous posts, but we have yet to assess his work, because the Ministry of Economy is not only about investment, it has to deal with a very wide range of issues. These include taxes, as well as standardization and customs policy. There are also many unresolved problems related to the Eurasian Economic Union. There is still a lot of work to be done on all of this.” Personnel rotations in the government of Kyrgyzstan are associated with a revitalization of the system of government management, Edil Baisalov, deputy chairman of the Cabinet of Ministers, wrote on his Facebook page. According to Baisalov, the president's decision is dictated by the desire to give new momentum to the country's growth. Baisalov also noted that Akylbek Japarov...

Government

Akylbek Japarov Dismissed as Kyrgyzstan’s Cabinet Chief

On December 16, Kyrgyzstan’s head of the Cabinet of Ministers and Presidential Administration, Akylbek Japarov was dismissed from his position. Sources within the presidential administration confirmed the news to The Times of Central Asia. According to reports, President Sadyr Japarov has signed a decree formalizing the resignation. Akylbek Japarov is expected to be appointed as an advisor to the president. In the interim, Adylbek Kasymaliev, the first deputy head of the Cabinet of Ministers, will serve as acting prime minister. The appointment of a permanent successor has yet to be announced. After a long political career including, holding posts under former president's Akayev an Bakiev, Akylbek Japarov’s return to the forefront of Kyrgyz politics under President Japarov began in 2021, when he was appointed as an advisor on financial and economic issues. He later served as Minister of the Economy and Commerce, and as Deputy Chairman of the Cabinet of Ministers. On October 13, 2021, he assumed the dual role of head of the Cabinet of Ministers and head of the Presidential Administration, a position he held until his dismissal. Akylbek Japarov’s tenure as head of government stands out for its longevity. Since Kyrgyzstan gained independence in 1991, the country has seen 33 prime ministers, many of whom served for less than a year, whilst some held office for only a few days. In this context, Akylbek Japarov’s relatively long tenure of more than three years marks a significant achievement in Kyrgyz political history. From 2000 to 2005, Akylbek Japarov served as a deputy in the Jogorku Kenesh (parliament). Over the years, he held various key positions, including first deputy prime minister, deputy, and chair of the Committee on Budget and Finance. Akylbek Japarov gained particular recognition during his tenure as Minister of Economy and Finance for championing the controversial idea of passports for livestock. This initiative aimed to help farms export meat by providing identification for livestock, thereby improving traceability and quality standards.

Security

Uzbekistan Shakes Up Top Security Positions

Uzbek President Shavkat Mirziyoyev has reshuffled several top posts in the government’s security establishment, a presidential aide said on Sunday. Shukhrat Khalmukhamedov has been promoted to defense minister from his previous post as the ministry’s first deputy minister and chief of the general staff of the military, presidential press secretary Sherzod Asadov said on social media. Khalmukhamedov had held his previous job since 2021. Khalmukhamedov replaced Bahodir Kurbanov, who was defense minister for five years and moved to chairman of the State Security Service, the national intelligence agency, according to the press secretary. Kurbanov, in turn, took over from Abdusalam Azizov, who was transferred to the Security Council secretariat under the president. Azizov previously held several high-level jobs, including defense minister, internal affairs minister and head of the Uzbekistan Football Association. The government did not announce any reasons for the reshuffle. It came one month after a shooting attack on a vehicle in the Tashkent region that prompted reports by Uzbek media organizations and social media posts that a former high-profile figure in the government was traveling in the vehicle and was the target. There were no injuries in the attack. The prosecutor general’s office has said several suspects were arrested, but has provided few other details about the case. Authorities warned that people who spread false information can be prosecuted because it can lead to panic and destabilize society. In other security developments in the region, Kazakh President Kassym-Jomart Tokayev has told his government to upgrade protections at key military and civilian facilities because of escalating hostilities between Ukraine and Russia, which launched a full-scale invasion of Ukraine in early 2022.

Corruption

Rahmon Approves New Leadership of Anti-Corruption Agency

Tajikistan's Anti-Corruption Agency has undergone a change of personnel. By decree of President Emomali Rahmon, Sukhrob Safarzoda has been dismissed from the post of First Deputy Director of the agency, and replaced by Barot Rasuli. Muzaffar Ahmadzoda was also removed from the post of Deputy Director, with Firuz Kamolzoda appointed in his place. Meanwhile, Hilolbi Kurbonzoda became Deputy Director of the State Service Agency, and Firuz Sharifzoda became First Deputy Head of the Main Department for Protection of State Secrets. President Rahmon held meetings with the new heads, drawing their attention to the shortcomings and problems that exist in the work of not only just these state bodies, but also others.

Reshuffle

Tokayev Outlines Vision for New Government of Kazakhstan

Following a tumultuous week, just a day after appointing a new prime minister, Kazakhstan’s President Kassym-Jomart Tokayev chaired an extended government meeting on February 7th. The meeting was attended by ministers, including the new Prime Minister, Olzhas Bektenov, the chairman of the National Bank, governors of Kazakhstan’s regions, and the mayors of the country’s three largest cities of Astana, Almaty, and Shymkent. Tokayev reported that last year the economy grew by 5.1%, but stressed that there is still work to be done. “We need a new impetus for the government's activities. It has a clear target — to increase the economy to $450bn by 2029. To achieve this goal, the country's GDP must grow by at least 6% annually. At the same time, it is important that macroeconomic indicators ensure rapid growth in the real incomes of our citizens,” the President said. Tokayev spoke of the need to make budget and tax policies function better. The problem, the President said, is the way budget funds are allocated, which is not currently aimed at stimulating economic activity. He added that budget funds are spent on day-to-day tasks, while larger strategic goals fade into the background. “The government will have to define clear spending priorities with an emphasis on obtaining maximum economic returns,” he said. The President stated that a new Tax Code is currently being drafted, which will aim to provide a balance between creating a good investment environment and maintaining the required level of budget revenues. Tokayev also pointed out that the share of investment in fixed capital is declining, stating that “it is necessary to significantly increase the influx of external and internal investment. This is a key task for the newly-established Investment Headquarters.” According to his speech, another source of funds should be the return of illegally withdrawn assets, which could be used to implement important projects. At the same time, Tokayev warned against going too far: “Arbitrariness on the part of law enforcement agencies is unacceptable. There will be a harsh reaction on my part to every such signal. This work is of great importance from the point of view of ensuring social justice, so no one is allowed to discredit it,” he said. Another priority task is the development of the agro-industrial sector, and the rational use of water resources. “The problems that hinder the development of the agro-industrial sector are well known, the most acute of which is chronic underfunding. Lack of investment leads to wear and tear of agricultural machinery, low yields, and low labor productivity. Therefore, it is necessary to maximize, if possible double, the financing of agriculture, attracting not only budget money, but also funds from other sources, including second-tier banks.” The government resigned en masse on Monday; changes had been expected by inside observers, as prior to the resignation, Tokayev had increasingly expressed his dissatisfaction with progress in addressing socioeconomic issues, and with stagnation in general. Over the past two years, Tokayev has implemented sweeping reforms aimed at democratizing the country...

Reshuffle

Understanding the Changes in the Kazakhstan Government

On February 5th, President Tokayev dismissed the country's government by signing a decree on its’ resignation. The move was expected following weeks of discontent expressed by the president. On an aggregate level, the country has had a successful 2023. Significant reforms were passed and Kazakhstan made substantial diplomatic gains. Economic growth was near 5%, and $13.3 billion in foreign investment was secured in the first six months of 2023. This was achieved despite supply chain disruptions brought on by the Russia-Ukraine war. However, Smailov’s and his cabinet have failed to reel in inflation and attract additional investments to the country. The Ministry of Finance of Kazakhstan, did not succeed in preparing a new Tax Code of Kazakhstan. The Minister of Emergency Situations is also under fire for its dysfunctional earthquake early warning systems which became known during a recent quake that scared Almaty residents. While certain ministers are anticipated to retain their positions, others are expected to be replaced. The Presidential Administration, along with Tokayev, have consistently shown their willingness to make bold decisions when required.