Category Archives: Uncategorised

Uzbek President says wants to sell stakes in state companies

MAY 8 2015 (The Conway Bulletin) – In what could be a potential game-changer for Uzbekistan, President Islam Karimov has ordered the government to sell stakes in 68 large companies to strategic foreign investors.

Media quoted a presidential decree which said that stakes in companies such
as Navoiazot, a cement maker, and Turonbank would be up for sale.

“It is time to carry out a full-scale critical analysis of the availability and effectiveness of the presence of state shares in the economy, in other words, ‘the state’s presence in the economy’, and on this basis, to define our actions for a significant increase in the private sector’s presence in the economy,” media quoted Mr Karimov as saying.

It’s unclear from the decree and the media coverage who this apparent relaxation of state controls over Uzbek industry and commerce is actually aimed at.

Western business has generally had a strained relationship with Uzbekistan. There have been a number of instances where Western companies — generally metals companies — have accused Uzbekistan of grabbing their assets.

Instead, Uzbekistan may be thinking of Chinese companies, which have been making in-roads over the past few years, or even businesses from South Korea and India.

Uzbekistan’s economy, like other countries in the region has been struggling to cope with a downturn in global energy prices and a sharp fall in the performance of the Russian economy. Remittances from Russia have dropped considerably.

ENDS

(News report from Issue No. 231, published on May 13 2015)

BP confirms that Azerbaijani oil output rises

MAY 13 2015 (The Conway Bulletin) – Oil produced by BP’s Azeri- Chirag-Guneshli (ACG) fields in the first quarter of the year inched up to average of 661,000 barrels per day from 645,800 barrels per day during the same period last year, BP-Azerbaijan said.

This increase, although small, is important. BP has been under increasing pressure from Azerbaijan to reverse a decline in output at ACG, the principal driver of Azerbaijani oil production.

For the past couple of years BP has spent millions and replaced various management teams trying to stem the decline in output at ACG.

It now appears to be working, and overall Azerbaijani oil production is rising as a consequence.

Earlier this month BP also said that it was going to suspend operations at one of the ACG platforms for repairs. This should dent ACG output in the short term.

ENDS

(News report from Issue No. 231, published on May 13 2015)

Azerbaijani gas company states ambitions

MAY 8 2015 (The Conway Bulletin) – The chairman of Azerbaijan’s state energy company Rovnag Abdullayev said the country could produce up to 40b cubic metres of gas a year, state- linked media reported. This would propel Azerbaijan into the top tier of global producers.

ENDS

(News report from Issue No. 231, published on May 13 2015)

Georgia allows voting on a prosecutor

MAY 7 2015 (The Conway Bulletin) – Georgia will allow parliament to vote on the appointment of the prosecutor-general, media reported, a move designed to bolster democracy. Under the current system the PM appoints the country’s top prosecutor. New laws will introduce a special council to advise on an appointment which will then need to be approved by government and parliament.

ENDS

(News report from Issue No. 231, published on May 13 2015)

Armenia negotiates gas discount with Russia

MAY 13 2015 (The Conway Bulletin) – Armenia has negotiated a reduced price for gas from Russia’s Gazprom but the government will not pass this saving on to consumers, energy minister, Yervand Zakharyan, said. Instead, Mr Zakharyan said, consumers will pay the same price.

ENDS

(News report from Issue No. 231, published on May 13 2015)

UAE and Kazakhstan agree to financial deals

MAY 11/12 2015 (The Conway Bulletin) – Kazakhstan and the United Arab Emirates (UAE) laid the groundwork for more collaboration in the financial sector with a couple of deals.

At a meeting in the UAE, the Dubai International Financial Centre and the Kazakh Central Bank agreed to exchange expertise and coordinate strategies, while Nasdaq Dubai and the Kazakhstan Stock Exchange (KASE) inked an agreement to link their financial instruments.

Luca Anceschi, professor of Central Asian Studies at Glasgow University said: “These new financial links between Almaty and Dubai open another avenue besides construction and trade in non-state sectors.”

ENDS

(News report from Issue No. 231, published on May 13 2015)

Kyrgyzstan misuses aids funds

MAY 8 2015 (The Conway Bulletin) – The Switzerland-based Global Fund to Fight Aids, Tuberculo- sis and Malaria has said Kyrgyzstan needs to repay $120,000 for misuse of funds, media reported. The Global Fund described the $120,000 as “unsubstantiated and inappropriate to the crite- ria for financing”.

ENDS

(News report from Issue No. 231, published on May 13 2015)

US-Georgia began military exercises

MAY 11 2015 (The Conway Bulletin) – US and Georgian forces began two weeks of military exercises, war games which are likely to irritate neighbouring Russia. The exercises are an annual arrangement designed to increase understanding and cooperation between the two armies. Georgia wants to join NATO.

ENDS

(News report from Issue No. 231, published on May 13 2015)

Uzbekistan launches metering project

MAY 11 2015 (The Conway Bulletin) – KT, the second largest South Korean mobile network, said that it had won a $110m contract to build an advanced electricity metering system. The project is in partnership with the Asian Development Bank. The plan is to install 1m metres in Uzbekistan’s three biggest cities by 2017.

ENDS

(News report from Issue No. 231, published on May 13 2015)

Imports drop in Kazakhstan

MAY 13 2015 (The Conway Bulletin) – Kazakhstan imported goods worth 6.3% less in March 2015 compared to March 2014, media reported quoting the Central Bank, further evidence, if it was needed, of the economic stagnation that has hit the region. Exports were down 19.5%.

ENDS

(News report from Issue No. 231, published on May 13 2015)