Tag Archives: business

Uzbekistan scraps visas

TASHKENT/JAN. 7 (The Conway Bulletin) — Uzbekistan will throw open its doors to millions of more potential tourists from Feb. 1 after the government decreed that citizens of 45 developed countries can enter without a visa.

By scrapping visa requirements Uzbekistan hopes to give tourism a major boost and also to signal that the country is open for foreign investors. It also comes less than a week after Uzbekistan dropped exit visas for its citizens, a move set into motion by a decree signed by Pres. Shavkat Mirziyoyev in 2017.

Mr Mirziyoyev has been Uzbekistan’s president since September 2016 when he took over from the reclusive and authoritarian Islam Karimov. Karimov had ruled for 25 years since the breakup of the Soviet Union until a heart attack killed him. Under Karimov, Uzbekistan had been closed off and it had been difficult and expensive for both tourists and people on business trips to get visas.

Citizens from a handful of countries, including Russia and other Former Soviet countries had already had visa-free access to Uzbekistan. That has now been extended to include European countries, Canada, Australia, New Zealand, Argentina and Brazil.

Israelis, Indonesians, Japanese, Malaysians, South Koreans, Turks and citizens of Singapore were given visa-free access in 2018.

Last year, Uzbekistan attracted 5.3m tourists, up from 2.6m in 2017. That number is now expected to boom with tourists flocking to see fabled sights such as the Registan in Samarkand and Bukhara, regarded as the best-preserved of the old khanate towns.

Tour operators welcomed the removal of the visa system although there were also words of caution.

Caroline Eden, co-author of the travel and cookbook Samarkand, said excessive development will backfire.

“The risk is that the infrastructure will not cope. Sites at Bukhara and Samarkand are so precious that a steady and measured approach would be wisest.,” She said.
“A rush to build hotels, little trains around monuments and too many tour buses will ruin the very appeal of this marvellous country.”
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>>This story was first published in issue 396 of The Conway Bulletin on Jan. 11 2019

MTS packs up equipment in Turkmenistan

JAN. 1 (The Conway Bulletin) — MTS, the Russian telecoms company, said it had started to pack up equipment in Turkmenistan, suggesting that it doubts it will ever be able to repair relations with the Turkmen government which switched off access to its network in Sept. 2017. MTS has filed a legal case against the Turkmen government for lost profit. Turkmenistan had suspended MTS’ operations previously in 2010 but 18 months later agreed to allow the Russian company to resume trading.
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>>This story was first published in issue 396 of The Conway Bulletin on Jan. 11 2019

Russia increases price of gas to Armenia

YEREVAN/JAN. 1 (The Conway Bulletin) — After a week of failed negotiations, Russian oil and gas monopoly increased the price of gas that it sells to Armenia by 10%, a move many analysts interpreted as an economic slap on the wrist by the Kremlin to Armenia’s pro-Western government.

In response, Nikol Pashinyan, Armenia’s leader, said that he was going to intensify negotiations with Iran over increasing gas imports.

“The issue of Iranian gas deliveries is always on the agenda. We will keep discussing this matter until we find a practical and advantageous solution,” Russian news agencies quoted Mr Pashinyan as saying.

He had been in Moscow on Dec. 27 to try to negotiate down the gas price rise, so the Russian statement that it was intent on increasing prices will come be seen as a personal sleight.

Gazprom said that from Jan. 1 2019, Armenia would pay $165 per 1,000 cubic metres of gas, up from $150.

Since taking over as Armenia’s PM after a peaceful revolution in April and May 2018, Mr Pashinyan has had a strained relationship with Russia and Russian President Vladimir Putin. He has been a frequent visitor to the Kremlin, has pushed for greater integration with Russia and has also sent a handful of de-miners and doctors to support Russia’s reconstruction efforts in Syria.

But his natural inclination is to lean to the West and his supporters are even more pro-Western. Last year, police in Armenia arrested several former senior pro-Russia Armenian government officials, including former President Robert Kocharyan and the head of the Russia-led Collective Security Treaty Organisation, Yuri Khachaturov, and charged them with abuse of power over the shooting dead of anti-government protesters in 2008.

Russia’s foreign minister Sergei Lavrov has said that the charges against the former senior Armenian officials are politically motivated.
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>>This story was first published in issue 396 of The Conway Bulletin on Jan. 11 2019

Platts expects ACG to continue to decline in 2019

DEC. 26 (The Conway Bulletin) — Platts the energy-specialist news service said it expected oil output at Azerbaijan’s Azeri-Chirag-Guneshli (ACG) Caspian Sea field to continue to decline in 2019. ACG is critical to Azerbaijan’s oil production but has been on the decline for the past eight years or so despite BP, its operator, spending millions of dollars patching up its ageing infrastructure. Platts said it expected ACG to produce 510,000 barrels of oil per day in 2019, down from 530,000bpd in 2018.
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>>This story was first published in issue 396 of The Conway Bulletin on Jan. 11 2019

Lydian’s creditors lend support in row with Armenian government

DEC. 24 (The Conway Bulletin) — Lydian International, the Colorado-based miner, said its three main creditors had agreed to suspend debt repayments until it had revolved a dispute in Armenia that has blocked access to the Amulsar gold mine that it is developing. Orion, Resource Capital Fund and Osisko Bermuda have also made available an extra $18.56m to finance the company during this period. In December, Lydian appealed against a block on construction work at Amulsar, imposed because of the discovery of endangered birds.
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>>This story was first published in issue 396 of The Conway Bulletin on Jan. 11 2019

Creditors win appeal against IBA debt restructuring

DEC. 20 (The Conway Bulletin) – A court in London ruled that International Bank of Azerbaijan (IBA) couldn’t block its creditors from trying to recover fees and assets lost during its 2017 debt restructuring. The appeal against the IBA injunction was brought by Russia’s Sberbank, which had lent IBA $20m, and asset manager Franklin Templeton, which held IBA debt. Both companies had opposed the $3.3b restructuring deal by the state-owned bank.

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>>This story was first published in issue 395 of The Conway Bulletin on Dec. 23 2018

Uzbekistan and Kazakhstan aim to create “Silk Visa”

DEC. 20 (The Conway Bulletin) – Uzbekistan and Kazakhstan aim to create a so-called “Silk Visa” next year that will allow foreigners to visit both countries, Acting First Deputy Chairman of the Uzbek State Committee for Tourism, Ulugbek Qosimhojaev, told reporters in Tashkent. Mr Qosimhojaev said that the aim was to boost tourism. Tajikistan, Kyrgyzstan, Azerbaijan and Turkey were also reportedly interested in the project.

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>>This story was first published in issue 395 of The Conway Bulletin on Dec. 23 2018

Georgia’s TBC Bank starts building new HQ

TBILISI/DEC. 20 (The Conway Bulletin) – TBC Bank, one of two Georgian high street banks listed on the London Stock Exchange, started building a new $70m headquarters in a controversial site in countryside near Tbilisi.

If the building work goes to plan, the glass and steel complex set in the Lisi Lake recreational area will open in 2026 and will be the largest corporate office in the region, an expression of confidence and intent by TBC.

In a statement, TBC emphasis that its new headquarters will provide a light and flexible workspace for 2,000 workers.

“We are creating a completely new standard, which involves the use of the best technologies and at the same time combining elements of traditional Georgian architecture in a completely modern building,” said Badri Japaridze, deputy chairman of TBC.

The headquarters is also being designed to incorporate laboratories for employees to experiment on new ideas and concepts.

But the project is not without its controversies. Set in the Lisi Lakes area, transparency campaigners have accused TBC’s founders of buying the land on the cheap, in a 2007 deal that left the Georgian state, and ordinary people, short-changed.

In a report published three years ago, the Organized Crime and Corruption Reporting Project (OCCRP), an activist group based in Berlin, said that TBC chairman Mamuka Khazaradze had bought the 354 hectare site from the government for $55m, instead of the original $182m asking price.

The new deal also dropped various conditions to improve the ecology of the area and also to improve access to the Lisi Lake area.

“Instead of being required to spend US$ 30 million on improvements, the only obligation in the new contracts is to build housing,” the OCCRP said in its report.
Mr Khazaradze, ranked as the second wealthiest person living in Georgia, has denied any wrongdoing.

Since buying the land, Lisi Lake Development and other companies linked to Mr Khazaradze have built housing, business centres on the site and also a university – the American Academy.

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>>This story was first published in issue 395 of The Conway Bulletin on Dec. 23 2018

Putin says Russia may join TAPI gas project

MOSCOW/DEC. 21 (The Conway Bulletin) – Russian President Vladimir Putin hinted at his annual press conference that he be may be willing to support the TAPI project that aims to pump gas from Turkmenistan across Afghanistan to India and Pakistan.

Russian support for TAPI would give the project, devised and pushed strongly by Turkmenistan, a major boost. It comes at a time when Russia is mending damaged relations with Turkmenistan. Gazprom has said it will resume imports of gas from Turkmenistan for the first time since 2016.

At the televised annual press conference, Mr Putin said: “As far as we can, we will contribute to this process (building a stable Afghanistan), including by developing economic cooperation with Afghanistan, by taking part in various international projects, such as, for example, the TAPI.”

China is currently Turkmenistan’s dominant gas client.

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>>This story was first published in issue 395 of The Conway Bulletin on Dec. 23 2018

IMF praises Georgia

DEC. 20 (The Conway Bulletin) – The IMF handed another $41.6m loan over to Georgia, the fourth tranche of a three-year deal worth a total of $291.5m, after praising its economic performance and prudence. The IMF said that Georgia’s economic trajectory was positive although there were external risks and reserves needed to be built up. Georgia has become something of a favourite in the region for Western donors, recovering strongly from a 2014-16 economic downturn.

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>>This story was first published in issue 395 of The Conway Bulletin on Dec. 23 2018