Tag Archives: business

Manufacturing confidence in Kazakhstan is recovering

MARCH 1 2021  (The Bulletin) — Kazakhstan’s Tengri Partners/IHS Market PMI index, a measure of manufacturing confidence, increased to 48.5 in February from a nine month low of 45.6 in January. Explaining the data, Anuar Ushbayev, managing partner at Tengri Partners, said that sentiment reflected a slowing of the economic downturn linked to the coronavirus pandemic.

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— This story was published in issue 474 of the Central Asia & South Caucasus Bulletin, on March 5 2021

— Copyright the Central Asia & South Caucasus Bulletin 2021

Turkish media company takes over running of Azerbaijani lottery

FEB. 27 2021 (The Bulletin) — Turkey’s Demiroren Holding, best known for its Turkish media business that includes the Hurriyet newspaper and CNN Turk, has taken over the running of Azerbaijan’s national lottery for at least the next decade, media reported. Turkish businesses have been moving into Azerbaijan heavily over the past three or four months, since Turkey helped Azerbaijan defeat Armenia for control of Nagorno-Karabakh.

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— This story was published in issue 474 of the Central Asia & South Caucasus Bulletin, on March 5 2021

— Copyright the Central Asia & South Caucasus Bulletin 2021

Taliban travel to Ashgabat for talks on TAPI gas pipeline

FEB. 7 2021 (The Bulletin) — Looking for security guarantees for the TAPI gas pipeline that it wants to build across Afghanistan, Turkmen officials held talks in Ashgabat with the Taliban. TAPI is an ambitious project, pushed by gas-rich Turkmenistan and part-funded by the Asian Development Bank, to build a pipeline across Afghanistan to Pakistan and India. One of the main problems with the project has been security concerns in Afghanistan.

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— This story was first published in issue 471 of the Central Asia & South Caucasus Bulletin

— Copyright the Central Asia & South Caucasus Bulletin 2021

Uzbekistan wants to attract $2.5b investments for its telecoms sector

FEB. 5 2021 (The Bulletin) — Uzbekistan wants to attract investments of $2.5b to upgrade its telecoms sector, media reported by quoting PM Abdula Aripov. The plan is part of Uzbekistan’s general investment strategy and will attract interest. Uzbekistan is Central Asia’s most populous country, with a population of 33m.

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— This story was first published in issue 471 of the Central Asia & South Caucasus Bulletin

— Copyright the Central Asia & South Caucasus Bulletin 2021

Eurasian Economic Union wants to streamline migrant worker processes

ALMATY/FEB. 5 2021 (The Bulletin) —  The Eurasian Economic Union (EAEU) wants to speed up the digitalisation of labour migrants’ documents to help member states recover from the impact of the coronavirus pandemic. 

At a meeting of heads of governments of EAEU member states in Almaty, Russian PM Mikhail Mishustin said that reviving labour markets, cutting down on paperwork through digital records and providing vaccines so that people can travel for work was vitally important for the bloc.

“This is a single service that you can use to find vacancies, draw up the necessary documents, including medical insurance and it will also help with the choice of housing,” he said of a digitalisation plan. 

Critics of the EAEU — which has been in operation since 2015 and, alongside Russia includes Kazakhstan, Belarus, Armenia and Kyrgyzstan as members — have said that the bloc pushes the Kremlin’s agenda and that it is cumbersome, creates red tape and is slow to get things done.

They also said that the plan put forward by Mr Mishustin may be a case in point. He envisages it coming into action in 2022. 

But pressure is building on the EAEU to reform and to become more nimble.  At the Almaty meeting, Kyrgyz’s PM Ulubek Maripov described the need to tear down barriers that slow labour movement in the EAEU as “acute”.

Russia attracts millions of labour migrants from Central Asia each year, generating huge remittance flows. This dried up in 2020 because of the pandemic. Businesses in Russia now complain about a lack of cheap labour and in Central Asia, governments report a sharp drop in remittances.

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— This story was first published in issue 471 of the Central Asia & South Caucasus Bulletin

— Copyright the Central Asia & South Caucasus Bulletin 2021

Azerbaijan says it will build a floating solar power station

FEB. 5 2021 (The Bulletin) — Azerbaijan said that it will build a floating power station with a capacity of 100kW on Boyuksor Lake near Baku, part of its drive to ramp up power production. It named Spain’s Gamma Solutions as the main contractor for the project. Azerbaijan, like other countries in the FSU, has been trying to boost power generation capacity to match a surge in demand. 

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— This story was first published in issue 471 of the Central Asia & South Caucasus Bulletin

— Copyright the Central Asia & South Caucasus Bulletin 2021

Police in Bishkek arrest former Beeline country chief

FEB. 4 2021 (The Bulletin) — Police in Kyrgyzstan arrested Yevgeny Krazhan, the former head of Sky Mobile telecoms, which trades under the Beeline brand, for alleged corruption. The Beeline brand belongs to New York-listed Veon. Corruption is rife in Kyrgyzstan and media reported that the arrest of Mr Krazhan, a Ukrainian, is linked to an investigation into corruption by officials in the state communications agency.

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— This story was first published in issue 471 of the Central Asia & South Caucasus Bulletin

— Copyright the Central Asia & South Caucasus Bulletin 2021

Swedish court upholds acquittal of former TeliaSonera execs for corruption

FEB. 4 2021 (The Bulletin) — A court in Stockholm upheld the acquittal of three former executives of telecoms company TeliaSonera, now called Telia, who had been charged with paying bribes to Gulnara Karimova, the daughter of former Uzbek leader Islam Karimov. The three men, including former TeliaSonera CEO Lars Nyberg, went on trial in 2018 and were acquitted in 2019 because it could not be proved that Ms Karimova held any official position in the Uzbek telecoms sector.  Ms Karimova has been under house arrest or in prison in Tashkent since 2014. In 2017, Telia paid more than $1b in fines for the bribes, the largest ever corporate corruption fine.

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— This story was first published in issue 471 of the Central Asia & South Caucasus Bulletin

— Copyright the Central Asia & South Caucasus Bulletin 2021

Kazakh billionaire Ibragimov dies

ALMATY/FEB. 3 2021 (The Bulletin) —  Billionaire Alizhan Ibragimov, one of the wealthiest men in Kazakhstan, died aged 67.

Ibragimov, an ethnic Uyghur, was part of a group of businessmen known as the Euraisan Trio which controlled Kazakh miner ENRC. This trio, which also includes Aleksandr Mashkevich and Patokh Shodiev, became a familiar feature in the British press for seven years from 2006 during ENRC’s tumultuous listing on the London Stock Exchange. 

ENRC went from breaking new ground as the first miner in the former Soviet Union outside Russia to list on a Western stock exchange, to acrimony after Ibragimov and his partners bought it off the LSE in 2013, reportedly for nearly $5b, in the face of mounting corruption allegations.

After it delisted from the LSE, ENRC rebranded as Eurasian Natural Resources Corporation. It owned several other companies too. 

The Eurasian Trio were said to be working in close cooperation, perhaps even on behalf of, the Kazakh elite. Ibragimov was ranked by the Forbes business magazine as one of the five richest men in Kazakhstan with a wealth of $2.3b.

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— This story was first published in issue 471 of the Central Asia & South Caucasus Bulletin

— Copyright the Central Asia & South Caucasus Bulletin 2021

Kazakhstan’s Scat Air agrees deal to fly to Ras Al Khaimah

FEB. 3 2021 (The Bulletin) — Scat Air, a private Kazakh airline based in Shymkent, will start flying to Ras Al Khaimah under an agreement signed with the UAE state’s tourism development authority. Under the deal, Scat Air will, from March, fly directly to Ras Al Khaimah from Nur-Sultan, Almaty, Aktobe, Aktau, Atyrau, Uralsk, Karaganda and Shymkent. The terms of the deal have not been revealed. Ras Al Khaimah has said that it is on a major tourism push.

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— This story was first published in issue 471 of the Central Asia & South Caucasus Bulletin

— Copyright the Central Asia & South Caucasus Bulletin 2021