Carnelutti Russia

Newsletter Central Asia and the Caucasus June 2023

Check the new release of's overseas business risk in Armenia.

Leonardo: contract signed for C-27J to the Azerbaijan Air Force. The commercial collaboration between Italy and Azerbaijan has been strengthened with the signing of the contract for the supply of the C-27J Spartan.

The development of relations between Azerbaijan and Kazakhstan occupies an important place in the context of the unification of the infrastructures of the two countries and cooperation in the region. The infrastructure association of Azerbaijan and Kazakhstan has a high potential for improving transport and logistics links in the region of Central Asia and the South Caucasus.
Kazakhstan, Georgia reach agreements on mutual trade growth, investment cooperation and transport infrastructure development. The countries have already achieved excellent results in the trade and economic sector, which will allow them to surpass the 1 Bln Usd mark soon. With trade turnover hitting a record high of 600 Mln Usd last year, the countries still observe an increase in mutual trade in 2023, with fivefold volume growth to 167 Mln Usd in four months. Regarding investment cooperation, Smailov noted that over the past 17 years, Georgian entrepreneurs have invested about 400 Mln Usd in Kazakhstan, with over 100 Mln Usd recorded in 2022. Kazakhstan invested over 530 Mln Usd in Georgia’s economy.
QazaqGaz national company and the Akimat (administration) of the Atyrau Region launched a looping section of the Makat-North Caucasus gas pipeline in the region’s Makat District. The construction of the looping (or second) line, which runs in parallel to the first one, is valued at approximately 86 billion tenge (192.2 Mln Usd). This is one of the projects that QazaqGaz is implementing with the Samruk-Kazyna Sovereign Wealth Fund throughout Kazakhstan.

The Kazakh-German Business Forum resulted in the signing of 23 commercial agreements worth more than 1.7 Bln Usd, reported the Kazakh Invest national company. One of the major deals is a 22 Mln Usd agreement signed between Kazenergopower and Siemens to produce medium-voltage distribution devices for the Kazakh energy sector using Siemens technology.
Kyrgyzstan and Germany sign agreement for 4.5 Mln EUR. The Minister of Economy and Commerce Daniyar Amangeldiev noted that Germany is one of the main development partners, which has implemented projects in the sectors of sustainable economic development and healthcare for 30 years of cooperation.

Kyrgyzstan and Russia to implement project on construction of solar power plants. Deputy Minister of Economic Development of Russia Dmitry Volvach called the cooperation project on the joint construction of a solar power plant with a capacity of up to 300 MW in Issyk-Kul region of Kyrgyzstan a landmark project.
The Qatar Chamber and the Tajikistan Chamber of Commerce and Industry have signed an agreement on the establishment of a Joint Business Council (JBC) between the two chambers.

Iran ready to cooperate with Turkmenistan on roads and utilities. The International North–South Transport Corridor (INSTC) is a 7,200 km long multi-mode network of ship, rail, and road routes for moving freight between India, Iran, Azerbaijan, Russia, Central Asia and Europe. The route primarily involves moving freight via ship, rail and road, linking St Petersburg in Russia to India via Iran and the Gulf of Oman. Also, another agreement was a deal for Turkmenistan's gas export to Iran, according to which, Tehran will import 10 Mln cubic meters of gas per day from Turkmenistan. Iran's Oil Minister Javad Owji said his country has the capacity to swap and transit up to 50 Mln cubic meters of gas/day, and Tehran is planning to increase its share of gas trade in the region.
Uzbekneftegaz signs a protocol of intent to establish a joint venture with SOCAR. During the negotiations, the parties discussed the current state of the implementation of joint projects, as well as promising areas of cooperation. In particular, the possibility of conducting joint exploration and production of oil and gas, constant exchange of experience and advanced training of employees in various areas was considered.

New joint initiatives are being developed with Siemens Energy. In particular, they discussed the practical implementation of joint projects worth 3.4 Bln EUR, including the construction of a combined cycle plant in the Surkhandarya region, as well as photovoltaic and thermal power plants based on Navoiazot JSC.