Carnelutti Russia

Newsletter Central Asia and the Caucasus September 2023

The UAE-Armenia Business Forum was recently inaugurated in Yerevan. Four MoUs were signed at the event; three were inked between the business communities in both countries. The fourth was to establish the UAE-Armenia Business Council. Vahan Kerobyan, the country’s Minister of Economy, said that trade exchange between the two countries reached over one Mln Usd, making the UAE one of its top three trade partners, alongside Russia and China.

The European Bank for Reconstruction and Development (EBRD) and the European Union (EU) are helping improve access to finance for Armenian micro, small and medium-sized sized enterprises (MSMEs) through Acba Bank. The EBRD is a leading institutional investor in Armenia. The Bank has invested nearly 2 Bln euros across 206 projects in the country to support private sector development and the transition to a sustainable, green economy.

TotalEnergies inaugurates gas field while anticipating enrichment of Azerbaijan's transition arsenal with renewables and energy storage. TotalEnergies has been present in Azerbaijan since 1996, where it holds a 5% stake in the Baku-Tbilisi-Ceyhan (BTC) pipeline and will own a 35% stake in the Absheron gas and condensate field after the completion of the sale to ADNOC.

With support from the European Union (EU) and Sweden, the European Bank for Reconstruction and Development (EBRD) is unlocking fresh funds via TBC Bank for Georgian micro, small, and medium-sized enterprises (MSMEs) led by women. The EBRD is a leading institutional investor in Georgia. The Bank has invested more than 5 Bln Usd across 287 projects in the country, supporting private-sector development and transitioning to a sustainable, green economy.
Kazakh Deputy Prime Minister Roman Sklyar and Sang Gwon Jung, President of KIA Corporation Russia and CIS, signed an agreement to establish the KIA Qazaqstan joint venture. The partnership will oversee the construction of a new KIA plant in Kostanai with an investment of about 190 Mln Usd. In 2022, the trade turnover between Kazakhstan and South Korea exceeded 6 Bln Usd, and the volume of foreign direct investment from South Korea to Kazakhstan reached 1.5 Bln Usd, marking a historical high in economic relations between the two countries.

Kazakhstan is poised to expand exports to Italy in 110 commodity items valued over 900 Mln Euro, according to Prime Minister Alikhan Smailov. The statement was made during a meeting with Antonio Tajani, the Italian Vice President of the Council of Ministers and Minister of Foreign Affairs and International Cooperation, who was on an official visit to Kazakhstan, reported the Prime Minister's press service.

President Kassym-Jomart Tokayev met with Mastercard Executive Vice President Nicola Villa on Sept. 19 in New York, endorsing the company's decision to choose Almaty as a regional hub in the Commonwealth of Independent States (CIS), Central and Eastern Europe, Akorda press service reported. Villa also said Mastercard would extend its expert guidance and technological support with the National Bank of Kazakhstan to implement projects, including the Digital Tenge, Instant Payment System, and Open Banking.

Kazakhstan: Plenitude inaugurates its first 50 MW photovoltaic plant in Kazakhstan. In Kazakhstan, Plenitude operates in the renewable energy sector through its subsidiary Arm Wind, with a total operating capacity of about 150 MW.
Nestle is thinking about launching production in Kyrgyzstan. He said that he met with representatives of this company in Bishkek and presented them with a list of more than 200 domestic exporters that could participate in the Nestle production chain.

About 14 Mln Euro grant to support promoting primary education and access to WASH facilities in rural areas. KfW Development Bank has been implementing projects in the education sector through the German Financial Cooperation under the assignment of the German Ministry of Economic Cooperation and Development (BMZ) since 2004.

Hydropower-rich Tajikistan plans to produce 1 Mln metric tons of green hydrogen by 2040 for usage at home and exports to neighboring Central Asian countries, its Minister of Energy and Water Resources Daler Juma told Reuters on Monday.
Tashkent and Ashgabat have signed a new contract to supply up to 2 Bln cubic meters of Turkmen gas to Uzbekistan, the Minister of Energy Jurabek Mirzamakhmudov reported. It should be recalled that in December 2022, Uzbekistan and Turkmenistan, for the first time, reached an agreement on short-term gas supply through bilateral negotiations without the participation of a third party. At that time, it was agreed to import 20 Mln cubic meters of gas per day (a total of 1.5 Bln cubic meters in 3 months).

Russia and Uzbekistan are exploring the possibility of organizing export-import cargo transportation along the multimodal route Uzbekistan–Turkmenistan–Caspian Sea–Russia and back. In a bid to find optimal transport routes, Turkmenistan, Russia, Kyrgyzstan, and Uzbekistan have agreed to launch a new multimodal Southern Transport Corridor.
China launches export to Uzbekistan via new railway route. The establishment of this new rail route is viewed as a pivotal advancement in the realm of cargo transportation within the region. The rail and road junction in Zhangjiaku is earmarked for developing a new multimodal logistics hub, underscoring the strategic significance of this transportation link.

Uzbekistan plans to introduce medical insurance by end of 2026. The heads of the Ministry of Health and the State Medical Insurance Fund are personally responsible for completing the task on time. By clicking here you can read the Presidential decree.