Tag Archives: government

Lunch with a Kyrgyz MP

BISHKEK/Kyrgyzstan, JUNE 14 2014 (The Conway Bulletin) — Dressed in a colourful striped shirt Narynbek Moldobayev is on first name terms with all the staff at this Italian restaurant in central Bishkek.

Moldobayev is the archetypal Kyrgyz MP and rather charming with it. Having moved seamlessly between three political parties in the last five years, his politics can be described as fluid — a common characteristic in Kyrgyzstan.

And it is this fluidity amongst the Kyrgyzstan’s political class, that’s important to examine as it is undermining, many say, Central Asia’s first parliamentary democracy.

An MP who supported former President Kurmanbek Bakiyev, ousted in a revolution in 2010, Moldobayev is now part of an opposition group that split from the nationalist Ata-Jurt party.

“I was never a nationalist,” he said as he tucked into a bowl of salad.

Moldobayev is 60-years-old and sentimental about the Soviet Union. He praises Russia unreservedly but is suspicious of China and its “desire to influence” the Central Asian energy sphere.

Moldobayev, primarily a businessman who made his money in the construction and oil industries, seems unbothered by the values of the party whose list he has paid his way to be on through donations. “Kyrgyz politics is built on personal gripes,” he said wearily, explaining why some parties in the parliament have effectively disintegrated.

Many say Kyrgyzstan’s political system might be more representative if it ditched party lists in favour of geographic constituencies. In the parliamentary vote in 2010 five parties took less than 40% of the vote creating a fractious, and many argue weaker, parliament. Moldobayev disagrees with this viewpoint, citing potential for “dangerous localism”.

There may be another reason, though. Since few people actually know who Moldobayev is and he might not win a seat.

ENDS

(News report from Issue No. 189, published on June 18 2014)

Ex-spy made Kyrgyz gold chief

JUNE 6 2014 (The Conway Bulletin) – The appointment of Tokon Mamytov, a former spy, as head of Kyrgyz state gold mining champion Kygyzaltyn could be good news for investors.

Kyrgyzaltyn acts as the government’s representative in partnerships with Canadian Centerra Gold, operator of the country’s major gold mine, Kumtor, and a number of other Joint Stock mining projects including Altynken (Chui province) and Makmal (Jalal-Abad province).

Starting out in the Soviet-era KGB, Mr Mamytov has spent his adult life in security and defence postings, a background some argue doesn’t qualify him to run a mining company.

But others see Mr Mamytov’s appointment as signal that change is coming.

Kubat Rahimov, a local economist, said Mr Mamytov’s background in the security services, was a good thing as Kyrgyzaltyn’s previous leaders were young western-educated types that “played by Asian rules”. This was a thinly veiled reference to corruption.

Mr Mamytov will not have full control over the sector — licenses are issued via the State Agency of Geology and Mineral Resources — but the position makes him the government’s man on the ground across projects accounting for 97% of the country’s gold production.

Mr Mamytov will need to draw on experience from his last post — managing conflict on the Kyrgyz-Tajik frontier as a deputy PM in charge of security, defence and border issues — in his new post. Along with corruption, community conflict is the biggest problem facing the Kyrgyz mining sector today.

ENDS

(News report from Issue No. 189, published on June 18 2014)

Kyrgyz president intends to serve 1 term

MAY 20 2014 (The Conway Bulletin) – Kyrgyz president Almazbek Atamabayev said that he would respect the constitution which limits him to one 6-year term in office, media reported. Mr Atambayev was voted into power in 2011. His election was the first peaceful transition of power in Kyrgyzstan since the 1991 break-up of the Soviet Union.

ENDS

(News report from Issue No. 186, published on May 28 2014)

Kazakhstan unveils pension plan

May 19 2014 (The Conway Bulletin)- In 2020, Kazakhstan will probably introduce a new pension scheme that will deduct 5% of an employee’s wages and automatically place it in a government plan, the labour ministry told the Tengrinews website.

Employers will match this employee contribution.

It appears that these planned reforms haven’t been announced more widely and loudly because of a very real fear of upsetting people.

The risk for Kazakhstan is fairly obvious. In Armenia a similar plan triggered widespread demonstrations. The problem is that Kazakhstan and other former Soviet States need to reform and update their pension schemes.

Last year, the Kazakh labour sacked its ministers because of backlash over trying to make women retire at the same age as men.

Persuading Kazakhs to accept the latest plan is also likely to be a serious challenge for the Kazakh government.

ENDS

(News report from Issue No. 185, published on May 21 2014)

Armenian President appoints new government

MAY 3 2014 (The Conway Bulletin) – Armenian president Serzh Sargsyan officially appointed a new government which analysts said would be better placed to propel the country into the Russia-led Customs Union. The previous government resigned over its unpopular pension plans, a scheme the new government has watered down.

ENDS

(News report from Issue No. 183, published on May 7 2014)

Ex-president criticises Georgian government

APRIL 22 2014 (The Conway Bulletin) — In a speech via a video-link at the opening of a library in Tbilisi, former Georgian president Mikheil Saakashvili said he was still unable to visit Georgia because he was on a blacklist. Prosecutors in Georgia want to question Mr Saakashvili about alleged crimes carried out by ministers in his government. He says the allegations are politically motivated.

ENDS
Copyright ©The Conway Bulletin — all rights reserved

(News report from Issue No. 182, published on April 30 2014)

Kyrgyz PM urges police improvement

APRIL 24 2014 (The Conway Bulletin) — Perhaps highlighting his reformer credentials, Kyrgyzstan’s new PM, Joomart Ortobayev, criticised the the police for being flawed and corrupt, media reported. Mr Ortobayev said the police were not doing enough to stop the illegal trade in coal. Foreign investors have often complained about police corruption.

ENDS
Copyright ©The Conway Bulletin — all rights reserved

(News report from Issue No. 182, published on April 30 2014)

Kyrgyzstan raises utility tariffs

APRIL 28 2014 (The Conway Bulletin) — July 1 will see costs for electricity, heating and hot water rise for residents of Kyrgyzstan, the ministry of energy said.

The last time the Kyrgyz authorities introduced a major utilities hike was at the start of 2010. A few months later, a violent revolution had overthrown Kurmanbek Bakiyev. Mr Bakiyev’s administration was famous for rolling blackouts and heating shortages as harsh winters and corruption took their toll on the national energy grid.

This time, the government headed by new PM Joomart Ortobayev is proceeding more carefully, staggering prices for energy relative to consumption. Heavy users of electricity will be charged triple the current prices by 2017 but the more economically vulnerable users who use lower levels of electricity will be charged only 22.5% more. Heating and hot water costs are similarly tailored.

Kyrgyz energy utilities remain among the cheapest in the world, but in the context of a struggling economy, some are feeling squeezed and the increases are a risk for Mr Ortobayev who has been Kyrgyzstan’s PM for only a few weeks.

Elena Jdanova, a Bishkek pet store owner, thought that small businesses and the middle class are picking up the tab for poor energy policies.

“Every year the government accuses [citizens] of overconsumption, when we know energy is still being stolen by officials. I have over 130 animals that need constant light and heat. These increases will ruin me,” she said.

Kyrgyzstan’s opposition is likely to use the utilities price increase to whip up support but, long-term, the government had little alternative to reducing the subsidies.

(News report from Issue No. 182, published on April 30 2014)

Armenian president names new PM

APRIL 13 2014 (The Conway Bulletin) — Armenian president Serzh Sargsyan named the speaker of the parliament, Hovik Abrahamyan, as the new PM.

Mr Abrahamyan’s brief is a tough one.

His predecessor quit abruptly at the start of the month the day after the Constitutional Court ruled that the government’s landmark pension reforms were illegal.

The reforms have been deeply unpopular, as are pension reforms throughout the world which try to make people work for longer and accept a smaller payout.

That mess, essential for sorting out Armenia’s damaged social security system, has to be sorted out.

There’s also the small matter of a vote of no confidence to deal with later this month. Armenia’s economy is stalling and its foreign policy at times feels adrift from its people — it has lurch towards Russia’s Customs Union at the expense of greater EU integration.

Mr Abrahamyan, a 56-year-old economist who has been speaker of parliament since 2008, is going to have to prove a tough operator in his new job.

(News report from Issue No. 180, published on April 16 2014)

Uzbek president’s daughter loses Tashkent buildings

APRIL 14 2014 (The Conway Bulletin) — The Uzbek government has taken control of buildings in the centre of Tashkent previously owned by Gulnara Karimova, the eldest daughter of Uzbek president Islam Karimov, media reported. The buildings are just the latest assets to be taken from Ms Karimova who is reportedly under house arrest.

(News report from Issue No. 180, published on April 16 2014)