• KGS/USD = 0.01144 0%
  • KZT/USD = 0.00197 0%
  • TJS/USD = 0.09154 -0.11%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00197 0%
  • TJS/USD = 0.09154 -0.11%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00197 0%
  • TJS/USD = 0.09154 -0.11%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00197 0%
  • TJS/USD = 0.09154 -0.11%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00197 0%
  • TJS/USD = 0.09154 -0.11%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00197 0%
  • TJS/USD = 0.09154 -0.11%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00197 0%
  • TJS/USD = 0.09154 -0.11%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00197 0%
  • TJS/USD = 0.09154 -0.11%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0%
11 February 2025

Viewing results 1 - 6 of 23

Kazakhstan Leads Central Asia in Anti-Money Laundering Efforts

The Basel Anti-Money Laundering Index (AML) has been released. It offers a comprehensive assessment of global efforts to combat money laundering. The index evaluates the risk of money laundering and financial crime across countries and regions, using 17 indicators across five domains to identify key factors that can heighten vulnerability. The indicators are updated annually and reviewed by an independent panel of experts to ensure relevance, methodology integrity, and access to current data. The Index does not measure the actual volume of money laundering activity. Instead, it focuses on the risk factors, scoring countries on a scale from 0 to 10 where 10 represents the highest risk and 0 the lowest. The Times of Central Asia examined this year’s ratings, focusing on the performance of Central Asian nations: Kazakhstan achieved a notable ranking of 111th out of 164 countries, with a score of 4.65. Uzbekistan followed, ranking 81st with a score of 5.27, while Kyrgyzstan placed 45th with 5.95 points. Tajikistan ranked 30th, scoring 6.45, and Turkmenistan recorded the region’s worst result, ranking 23rd with 6.71 points. Globally, the best results were observed in San Marino (2.96), Iceland (3.00), and Finland (3.07).

Deportations of Central Asians from the U.S. Increased in 2024

U.S. Immigration and Customs Enforcement (ICE) has released its Fiscal Year 2024 Annual Report, detailing the agency’s accomplishments over the past year. The report highlights how ICE’s directorates and program offices met their mission objectives. Established in the aftermath of the 9/11 attacks, ICE is tasked with protecting the American public, ensuring public safety, and promoting national security. According to the report, ICE’s Enforcement and Removal Operations (ERO) deported 271,484 non-citizens with final orders of removal to 192 countries. This total includes 88,763 individuals charged with or convicted of criminal offenses, 3,706 known or suspected gang members, 237 known or suspected terrorists, and eight human rights violators. More than 30% of those deported had criminal histories, with an average of 5.63 convictions or charges per individual. ERO also assisted in identifying and arresting individuals wanted in their home countries for serious crimes, including terrorism and torture. The Times of Central Asia examined the report with a focus on Central Asian countries. In 2024, the US deported 572 Uzbek nationals - a dramatic increase compared to 88 in 2013, 21 in 2021, and 55 in 2022. Deportations of Tajik citizens also surged, reaching 77 in 2024 compared to only four annually in 2019, 2020, 2022, and 2023. Kazakhstan saw the deportation of 23 of its citizens this year, up from 14 in 2023. Deportations to Kyrgyzstan also spiked, with 69 individuals removed in 2024. By comparison, only three Kyrgyz citizens were deported in 2020, eight in 2021, one in 2022, and 14 in 2023. Meanwhile, deportations of Turkmen nationals remained low, but still showed an upward trend. In 2024, five Turkmen citizens were deported, compared to four in 2019, one in 2022, and three in 2023.

World Bank Report Highlights Poverty and Inequality Challenges in Kazakhstan

The World Bank has released its Kazakhstan Poverty and Equity Assessment 2024, urging policymakers to adopt pro-poor fiscal policies, improve education quality, and enhance climate resilience to address poverty and inequality in the country. According to the report, Kazakhstan’s poverty reduction has slowed in recent years despite significant progress since the early 2000s. “Between 2006 and 2021, economic advancement significantly improved living standards and reduced poverty rates in Kazakhstan. However, economic growth has slowed since 2014, and the pace of poverty reduction has fallen. The COVID-19 pandemic exacerbated these challenges, highlighting the need for resilient and inclusive economic strategies presented in this report,” said Andrei Mikhnev, World Bank Country Manager for Kazakhstan. Kazakhstan’s economy has grown exponentially since 2006, with an average annual growth rate of 4.7 percent. This growth helped lift 5.9 million people out of poverty, reducing the poverty rate from 49.5 percent to 8.5 percent. However, the report identifies three phases of Kazakhstan’s poverty reduction journey: 2006-2013: Rapid poverty decline driven by strong economic growth. 2014-2016: Reversal during the economic downturn, raising poverty rates. 2016-2021: Resumed poverty reduction but at a slower pace The report highlights that Kazakhstan’s middle-class households with a low probability of falling into poverty grew 2.5 times, reaching 67 percent of the population in 2021 compared to 26 percent in 2006. However, this expansion has stagnated since 2013 due to slower structural transformation and productivity growth. Income inequality has also increased. The Gini index, a measure of inequality (0 = perfect equality, 100 = extreme inequality), rose from 24.3 in 2015 to 26.4 in 2021, driven by faster income growth among high-income households. Although fiscal policies, such as taxation and social spending, have mitigated some inequality, the report recommends making fiscal measures more progressive and pro-poor to maximize their redistributive impact. Poverty rates in rural areas (11.4 percent) remain significantly higher than in urban centers (6.6 percent). The southern Turkistan region now accounts for a disproportionate share of the poor population. Alarmingly, poverty has become more concentrated among children and large families, with children comprising 40 percent of the poor in 2021, up from 27 percent in 2006. The report underscores the critical role of human capital investment in achieving long-term poverty reduction and growth. While access to education in Kazakhstan is nearly universal, significant disparities in quality and outcomes persist. The Human Capital Index indicates that children in Kazakhstan achieve only 53–64 percent of their productivity potential, with regional and socio-economic inequalities exacerbating the issue. Climate-related shocks present additional risks, particularly for rural and vulnerable populations. The report calls for targeted investments in infrastructure and social transfers to build resilience against these challenges. To reduce poverty and inequality, the report suggests: Enhancing fiscal policies through progressive taxation and better-targeted social transfers. Improving education quality and outcomes, particularly for disadvantaged groups. Building resilience to climate shocks by investing in infrastructure and providing targeted support to low-income households. The report concludes that sustained policy reforms will be essential for Kazakhstan to maintain economic progress,...

Small Businesses Employ Over Half a Million People in Kyrgyzstan

Small and medium-sized enterprises (SMEs) play a vital role in Kyrgyzstan's economy, employing 585,000 people and contributing significantly to various sectors, according to the National Statistical Committee (NSC). As of 2024, Kyrgyzstan has 18,139 registered small businesses paying taxes. SMEs are particularly active in agriculture and manufacturing, with private entrepreneurs producing 65% of the country’s agricultural output and 26% of its industrial goods. Additionally, much of the hotel and restaurant industry is owned and operated by medium-sized private businesses. Most of these enterprises are concentrated in the Bishkek and Chui regions, where 80% of the country’s small and medium-sized businesses operate. The Kyrgyz government has taken steps to encourage entrepreneurs to operate transparently and contribute to the formal economy. In the summer of 2024, the voluntary patent system was abolished and replaced with a requirement for businesses to use cash registers. To incentivize compliance, businesses with an annual turnover of up to KGS 15 million ($170,000) are exempt from taxes if they purchase cash registers, submit reports to the State Tax Service, and pay insurance and pension contributions. For businesses with a turnover between KGS 15 million and KGS 30 million ($340,000), a reduced tax rate of 0.5% on turnover is applied. Small and medium-sized businesses are not only a backbone of Kyrgyzstan’s economy but also a key source of job creation. Government initiatives to formalize SME activity and simplify taxation are expected to further bolster the sector’s growth and contribution to the national economy.

Kazakhstan Leads Central Asia in AI Readiness

According to IMF data analyzed by Ranking.kz, Kazakhstan ranks as the leading Central Asian country in global artificial intelligence (AI) readiness, while Uzbekistan and Tajikistan are at the bottom of the regional standings. The AI readiness index, which covers 174 countries, evaluates factors such as digital infrastructure, human capital, technological innovation, and legal regulation. It draws on data from the World Bank, the International Labor Organization, and other sources. Kazakhstan ranks within the top 50 countries for AI readiness, holding 48th place with an index score of 0.55, just behind Russia, which ranks 47th. McKinsey & Company has noted Kazakhstan’s use of AI to enhance public services, particularly through geographic information systems and spatial data. For instance, Kazakhstan has employed a statistical model that integrates geographic, demographic, and economic data to assess infrastructure needs across 6,293 villages, identifying 3,500 villages with the highest potential to cover 90% of the rural population. This approach enables the government to deliver essential services and infrastructure more effectively to rural areas. Following Kazakhstan in 48th place, with a noticeable gap, is Kyrgyzstan (99th with 0.43). Tajikistan ranks 123rd with an index of 0.37, and neighboring Uzbekistan is in 131st place with an index of 0.35, placing it last among Central Asian and EAEU countries. Turkmenistan was not included in the IMF index.

Aging Kyrgyzstan: Economic Challenges and Empowering Seniors

According to the National Statistical Committee of the Kyrgyz Republic, the country's population is aging quickly. Based on UN data, the agency predicts that the proportion of elderly people (65 and over) in Kyrgyzstan will significantly increase by 2030. According to the analysis, currently, 5.7% of the total population is elderly, and this figure may reach 8% by 2030. Speaking about the processes associated with an aging population, experts have highlighted social funds related to the payment of pensions, benefits, and other contributions to people who have finished their careers. Additionally, an aging population will produce fewer materials and public goods, and state tax revenues will decrease, which could lead to a decline in the country's standard of living. However, economist Kubanychbek Idinov sees this as a manageable problem. The 61-year-old believes that the increase in the average age is indicative of an improvement in Kyrgyzstan's standard of living. “The country's GDP is growing, and state budget spending on social projects is increasing. But we need to give pensioners more opportunities to work. This will be a great help to the revenue side of the budget. People who retire can work elsewhere. This allows them not to rely on their pensions alone, to have additional income,” Idinov told The Times of Central Asia. Most retirees in Kyrgyzstan continue to work. Idinov said they start small businesses or enterprises and pass on their experience to young people. According to official data, the country currently has about 150,000 working pensioners. “It is necessary at the state level to support trade unions' work in attracting retirees to work. It is possible to work at the level of local authorities. Then the issue of small pension growth will not be acute for people and the state,” Idinov said. On a related matter, Kyrgyz sociologists say that despite a slowdown, the country's population grew by almost half a million people (+7.8%) over the year. Kyrgyzstan remains the second-largest Central Asian country in terms of population growth after Tajikistan. “The increase in population, despite a slight decrease in the growth rate, is provided by the excess of births over deaths with a negative balance of external migration,” the report of the National Statistical Committee states. The large number of labor migrants returning home is also helping to combat the decrease in the number of able-bodied people. In 2007, experts from the UN Demography Department suggested evaluating countries as those with an old population if more than 7% of its citizens are over 65 years old.