Eurasia News Digest (16-30 June, 2024)

Russia & Central Asia

EU adopts 14th package of sanctions against Russia for its continued illegal war against Ukraine, strengthening enforcement and anti-circumvention measures

For the first time, the EU has adopted a measure targeting specific vessels contributing to Russia's warfare against Ukraine, which are subject to a port access ban and ban on provision of services. The package contains important new energy-related measures targeting liquified natural gas (LNG), and measures targeting vessels which support Russia's war. As regards LNG, the package prohibits all future investments in, and exports to, LNG projects under construction in Russia. It will also prohibit, after a transition period of 9 months, the use of EU ports for the transshipment of Russian LNG. Moreover, the package prohibits the import of Russian LNG into specific terminals which are not connected to the EU gas pipeline network. Click here to read… [2]

Islamic Development Bank Pledges up to $2 Billion for Infrastructure Projects in Kazakhstan

On June 27, Deputy Prime Minister-Minister of National Economy of Kazakhstan Nurlan Baybazarov signed a Framework Program Agreement between the Government of Kazakhstan and the Islamic Development Bank (IsDB). As reported by the Kazakh Ministry of National Economy, the agreement consolidated previously reached agreements on attracting long-term investments to implement infrastructure projects concerning Kazakhstan’s water management and transport sectors this year. The Islamic Development Bank will allocate up to $2 billion towards the above. Click here to read… [3]

Parliament lifted ban on uranium mining in Kyrgyzstan

The Parliament of Kyrgyzstan has finally approved a bill lifting the ban on uranium and thorium mining in Kyrgyzstan. The bill was adopted at a session of the Jogorku Kenesh on June 13 in both the second and third readings. The bill nullifies the law "On Prohibiting Activities Related to Geological Exploration with the Aim of Prospecting, Exploring, and Developing Uranium and Thorium Deposits in Kyrgyzstan," which was passed in 2019 amid protests against uranium mining at the Kyzyl-Ompol site near Lake Issyk-Kul. The head of the Cabinet of Ministers of Kyrgyzstan, Akylbek Zhaparov, personally answered parliamentary questions about the bill, highlighting the government's plans for mining uranium and thorium ores, which Kyrgyzstan is rich in. Click here to read… [4]

Central Asia Needs $12 Billion to Secure Drinking Water

According to the new research paper “Drinking Water Supply and Sanitation in Central Asia” released by the Eurasian Development Bank (EDB), almost 10 million people, or 14% of the population, have poor access to safe drinking water in Central Asia. Water withdrawals for drinking and domestic use increased twofold to reach 8.6 km3 between 1994 and 2020. Investment in its supply infrastructure, however, failed to match growth in consumption. It is estimated that as much as 80% of the region’s water and sanitation equipment is no longer fit for purpose. In addition, physical and commercial water losses in distribution networks can be as high as 55%. The EDB research paper highlights a clear lack of financial support for plans adopted by Central Asia to develop the sector, and forecasts a deficit of over $12 billion, or around $2 billion per year, between 2025-30. Click here to read… [5]

Kazakhstan’s Foreign Ministry Accuses David Cameron of “Misinformation”

The Russian prankster duo Vovan and Lexus (real names Vladimir Kuznetsov and Alexei Stolyarov) have published an audio recording of them in conversation with the British foreign minister, David Cameron. In the call to Cameron they introduced themselves as the former president of Ukraine Petro Poroshenko. The hoax call made reference to the Kazakh foreign minister, Murat Nurtleu. Kuznetsov and Stolyarov claimed to Cameron that Nurtleu had spoken to ‘Poroshenko’ about the sacrifices that the Ukrainian people are making for Kazakhstan by fighting to contain Russia. There is a theory that were Russia to win its war against Ukraine, its next target would be the territories of northern Kazakhstan, which border the Russian Federation. Cameron appears not to have realized that he was being hoaxed. Click here to read… [6]

New Industrial Zone Launched with Chinese Investment in Uzbekistan

On June 27, President of Uzbekistan Shavkat Mirziyoyev launched the construction of the first project in the Technopark special industrial zone in the Zaamin district of Jizzakh. Chinese investors have allocated a total $1.2 billion towards the realization of 30 projects in the new Technopark. Located on 400 hectares of land, the Technopark will comprise facilities to produce goods with high added value and import-substituting products to meet demands from foreign markets, with particular focus on electrical and mechanical engineering, building materials, furniture, food, and services industries. The initiative will create over 5,000 jobs and produce $70 million worth of goods for export. The Technopark will also provide an International Center for the Exchange of Experience and Engineering, to provide training in specialized skills required by industrial enterprises. Click here to read… [7]

China's Xi to visit Kazakhstan, Tajikistan next week amid SCO summit

The Kazakh presidential press office announced on Sunday that Chinese President Xi Jinping will visit Kazakhstan on July 2-4 as part of a state visit, and will attend the Council of Heads of State of the Shanghai Cooperation Organization. The statement revealed, "On July 2-4, 2024, at the invitation of President Kassym-Jomart Tokayev, Chinese President Xi Jinping will pay a state visit to the Republic of Kazakhstan, and will also take part in the 24th meeting of the Council of Heads of State of the Shanghai Cooperation Organisation." Chinese Foreign Ministry Spokesperson Hua Chunying stated that Xi is also due to visit Tajikistan next week per an invitation of Tajik President Emomali Rahmon. Click here to read… [8]

Iran and the South Caucasus

Iran, Russia Inaugurate Rasht-Caspian Railway, Strengthening International Transport Corridor

Senior officials from Iran and Russia inaugurated the Rasht-Caspian railway in Iran’s northern Gilan province. The project, launched on June 20, saw the participation of Iran’s Acting President, Mohammad Mokhber, Minister of Roads and Urban Development Mehrdad Bazrpash, and Russian President’s aide Igor Levitin, as reported by the Mehr news agency. Stretching 37 kilometers, the Rasht-Caspian railway forms a crucial segment of the International North-South Transport Corridor (INSTC), linking the Persian Gulf to the Caspian Sea via rail. It establishes a connection between Rasht city and the Anzali Free Trade and Industry Zone on the Caspian Sea shore. Click here to read… [9]

France Hails Deal to Provide Armenia with Howitzers As 'New Important Milestone'

French Defense Minister Sebastien Lecornu said his country has signed a deal to provide CAESAR self-propelled howitzers to Armenia, a move that's likely to further raise anger in Azerbaijan and Russia toward France. The contract comes as Yerevan edges closer to the West through military and other ties and further from traditional ally Russia, following Armenia's defeat last year by Caucasus archfoe Azerbaijan to retake Nagorno-Karabakh and other areas internationally recognized as Azerbaijani but controlled for decades by ethnic Armenians. Lecornu announced the CAESAR deal on June 18 after a meeting in Paris with Armenian Defense Minister Suren Papikian, hailing it as a "new important milestone." Click here to read… [10]

China sets record with uranium purchases from Russia

In May 2024, China set a new record for importing uranium and other radioactive materials from Russia, purchasing products worth $233 million. This volume of purchases was the largest since 2015, according to the Chinese statistical service. In the first five months of 2024, the total purchase volume amounted to $311 million. A significant increase in supply volumes was observed from April to May 2024, when they grew 3.4 times, reaching $70 million. Most of the imports in May were enriched uranium worth $231.5 million, while the remaining radioactive compounds accounted for only $1.4 million. Russian enriched uranium is not supplied to China as frequently as other radioactive materials. In 2023, the total volume of radioactive elements supplied to China amounted to $440 million, of which $418 million was enriched uranium. For comparison, in April 2024, China imported enriched uranium worth $68 million, and in November 2023, worth $155 million. Click here to read… [11]

Armenia unilaterally recognizes Palestinian statehood

Armenia unilaterally recognized Palestinian statehood, becoming the ninth country since April to do so as a direct response to the Gaza War. “Always being a support of a two-state solution in Israeli-Palestinian conflict Armenia made [the] decision to recognize the independent state of Palestine," the country’s Deputy Foreign Minister Vahan Kostanyan wrote in a post on X after his country made its announcement. Israel’s Foreign Ministry summoned the Armenia ambassador to protest the decision. The Palestinian Authority welcomed the announcement. PA President Mahmoud Abbas’s office stated, “This recognition contributes positively to preserving the two-state solution; which faces systematic challenges, and promotes security, peace and stability for all parties involved.” Click here to read… [12]

European Council calls on Georgian gov’t to reverse current course which jeopardizes the country’s EU path

The European Council expresses its serious concern regarding recent developments in Georgia. In particular, the law adopted on transparency of foreign influence represents backsliding on the steps set out in the Commission’s recommendation for candidate status, – reads the conclusions issued after the summit of the European Council. “The European Council calls on Georgia’s authorities to clarify their intentions by reversing the current course of action which jeopardises Georgia’s EU path, de facto leading to a halt of the accession process. Click here to read… [13]