Tag Archives: Eurasian Economic Union

Kazakhstan to solve trade row with Ukraine

JULY 8 2016 (The Conway Bulletin) — Asset Asavbayev, director of transport at Kazakhstan’s ministry of industrial development, said Kazakhstan will step in to resolve a row between Russia and Ukraine that has stalled Ukrainian cargo in transit to Central Asia via Russian territory. On July 1, Russian border police enforced a transit ban for Ukrainian goods, citing a Eurasian Economic Union regulation.

ENDS

(News report from Issue No. 289, published on July 15 2016)

Border police stops Kyrgyzstan and Kazakhstan bound trucks

JULY 1 2016 (The Conway Bulletin) — The Russian border police stopped 43 goods trucks travelling from Ukraine to Central Asia at the border with Belarus. The trucks were bound for Kazakhstan and Kyrgyzstan, but were stopped because of new Eurasian Economic Union (EEU) regulation that appears designed as a retaliation forWestern imposed sanctions on Russia. The EEU is a Russia-led economic bloc that includes Kazakhstan, Kyrgyzstan, Armenia and Belarus.

ENDS

(News report from Issue No. 288, published on July 8 2016)

EEU plans single electricity market, say energy ministers after meeting in Tajikistan

JUNE 14 2016 (The Conway Bulletin) – The Eurasian Economic Union, a trade bloc led by Russia but also involving Belarus, Kazakhstan, Kyrgyzstan and Armenia plans to set up a unified electricity market by 2019, EEU members’ energy ministers said after a meeting in Dushanbe. Tajikistan aspires to be part of the EEU, which critics have said is a Kremlin project to extend its control.

ENDS

(News report from Issue No. 285, published on June 17 2016)

EEU holds meeting in Kazakh capital

MAY 30 2016 (The Conway Bulletin) — At a meeting in Astana, leaders of the Russia-backed Eurasian Economic Union delayed the establishment of a single energy market to 2025. Previously, the EEU’s plan was to roll out a barrier-free single market for oil and gas by 2024. The parties did not comment on the reasons for the delay.

ENDS

(News report from Issue No. 283, published on June 3 2016)

EEU reschedules meeting due to Armenia-Azerbaijan fight in N-K

APRIL 6 2016 (The Conway Bulletin) – The Eurasian Economic Union moved a meeting of its PMs scheduled for April 8 in Yerevan to Moscow because of fighting between Armenia-backed fighters and Azerbaijani forces over the disputed region of Nagorno-Karabakh. Before the meeting was moved, Kazakh PM Karim Massimov had cancelled his trip to Armenia’s capital. The Moscow meeting will now be held on April 13.

ENDS

(News report from Issue No. 275, published on April 8 2016)

Oil export ban is illogical, says ex-Kyrgyz official

APRIL 1 2016 (The Conway Bulletin) – For the past six years, there has been an informal ban on petroleum exports from Kazakhstan to Kyrgyzstan, former president of Kyrgyzstan’s Oil Traders Association, Zhumakadyr Akeneyev, said at a conference in Bishkek. According to him this practice is illogical within the framework of the Eurasian Economic Union and it has caused a rise in illegal trading. Kyrgyzstan imports almost all its petroleum products from Russia.

ENDS

(News report from Issue No. 275, published on April 8 2016)

Editorial: Kazakh-Russian avaition row

APRIL 1 2016 (The Conway Bulletin) – Kazakh fans of the BBC’s motoring programme TopGear fans were not the only disappointed onlookers of the aviation spat between Russia and Kazakhstan that grounded Kazakhstan-bound Aeroflot flights and Russia-bound Air Astana flights for a few days.

For supporters of the Kremlin-led Eurasian Economic Union, the spat was embarrassing. How do two, apparently close, allies who inhabit the same economic and military groups, come to squabble over flight paths?

The diplomatic exchange between the two aviation regulators seems to have originated from a request put forward by Air Astana to fly over Russian territory to reach Ulaanbaatar, its newly-established destination in Mongolia.

This row now appears to have been resolved but the damage to the image of the various Russian-led regional groups, chiefly the Eurasian Economic Union, will be harder to repair.

Still, at least the Top Gear team will now be able to travel to Kazakhstan, via Moscow, for filming.

ENDS

(Editorial from Issue No. 274, published on April 1 2016)

Atambayev sacks head of Kyrgyz- Russian Development Fund

MARCH 14 2016, BISHKEK (The Conway Bulletin) — Kyrgyzstan’s President Almazbek Atambayev fired Nursulu Akhmetova, one of the most prominent women in Kyrgyz finance, as head of the Kyrgyz-Russian Development Fund barely a year after she took the job.

The $500m Kyrgyz-Russian Development Fund was set up last February to smooth Kyrgyzstan’s entry into the Eurasian Economic Union.

It was supposed to hand out grants and cheap loans to businesses to help them make the transition. Instead, in the seven months since Kyrgyzstan became a Eurasian Economic Union member, the Kyrgyz- Russian Fund has become a source for frustration for Kyrgyz businesses.

News reports quoted Mr Atambayev saying at her sacking: “I’ve spoken about this a few times with the Prime Minister. The Fund has not developed well, and the Government did not make it to work well.”

Kyrgyz businesses have accused the fund of changing the rules and making cash available only to large companies rather than small businesses.

Under Ms Akhmetova, the Fund had insisted that to qualify for loans or grants, businesses had to take out a minimum loan of $3m, contributing 20% itself.

For Mr Atambayev, the sacking is a personal disappointment. Before getting the job, on a three year contract, Ms Akhmetova had been head of the analytical department of the Presidential Administration. She was also its deputy director. Mr Atambayev would have worked with Ms Akhemetova personally.

Her replacement was named as Kubanychbek Kulmatov, a former mayor of Bishkek.

Analyst Emil Juraev said that the Fund still had a role to play if it can regain credibility under new leadership.

“The Russian-Kyrgyz Development Fund, if used well, can certainly have a significant positive effect on economic development of Kyrgyzstan,” he said. “However, so far there have been many reasons for concern about the ability of Kyrgyzstan to effectively and freely manage the funds.”

ENDS

(News report from Issue No. 272, published on March 18 2016)

Kyrgyzstan asks Eurasian Bank for crisis cash

BISHKEK, MARCH 9 2016 (The Conway Bulletin) — Kyrgyzstan’s finance minister Adylbek Kasymaliyev asked the Eurasian Fund for Stabilisation and Development to double its aid to $427m to help the country weather both an economic downturn and the impact of joining the Kremlin-led Eurasian Economic Union.

Remittance inflows to Kyrgyzstan have fallen by 40%, the som currency has lost 25% of its value and major infrastructure projects have been cancelled over the past six months.

Mr Kasymaliyev said Kyrgyzstan had already spent more than the $255m of loans and grants that the Fund, managed by the Eurasian Development Bank had given it.

“We have already surpassed our limit of $255m by allocating $260m. For this reason, we have asked the Council to raise the limit to $427,” Mr Kasymaliyev told local media.

The funds will be used for a range of projects, including agriculture.

Importantly, though, analysts said that although Kyrgyzstan needed to protect itself against the regional economic crisis, it was under extra pressure from its entry last August into the Eurasian Economic Union. The government said the trade block, which includes Russia, Kazakhstan, Belarus and Armenia, would improve conditions for Kyrgyz business.

Instead, though, businesses have complained it has exposed them to unfair competition.

Ayilchy Sarybayev, an analyst based in Bishkek, said the cash would be used to subsidise Kyrgyz farmers.

“The fund is being raised because small and medium enterprises cannot compete with Kazakh and Russian ones now,” he said. “Kyrgyz entrepreneurs have started buying (more expensive) agricultural equipment from Kazakhstan and Russia (rather than from China).”

ENDS

(News report from Issue No. 271, published on March 11 2016)

Kazakh President praises EEU

FEB. 25 2016 (The Conway Bulletin) – At a meeting with the new chairman of the Eurasian Economic Commission (EEC), former Armenian PM, Tigran Sargsyan, Kazakh President Nursultan Nazarbayev reaffirmed his support for the often derided Eurasian Economic Union (EEU). The EEC is the civil service that runs the main operations of the EEU. Critics of the EEU have said that it is a Kremlin project dreamt up to increase its political power over other members. As well as Kazakhstan and Russia, members include Armenia, Belarus and Kyrgyzstan.

ENDS

(News report from Issue No. 269, published on Feb. 26 2016)