Connectivity

US President, Joe Biden, on Tuesday (19 September) met in New York on the margins of the UN General Assembly, the leaders of the five Central Asian Republics. Attending the meeting were the presidents of Kazakhstan, the Kyrgyz Republic, Tajikistan, Turkmenistan, and Uzbekistan. This was the inaugural C5+1 presidential summit.   A readout from the White House said that the leaders discussed a range of issues, including security, trade and investment, regional connectivity, the need to respect the sovereignty and territorial integrity of all nations, and ongoing reforms to improve governance and the rule of law. 

Turkish Foreign Minister, Hakan Fidan was in Kazakhstan this as Türkiye intensifies its contacts with Central Asia, and the Turkic republics of the region with whom it shares strong historical and linguistic ties. In Astana, Fidan met with the country's president Kassym-Jomart Tokayev on Monday (11 September). This was Fidan's first visit to Kazakhstan after his appointment as Turkish Foreign Minister, He was previously head of the country's intelligence service. The visit is part of the preparations for the next summit of the Turkic States which will take place in Astana in November. The Organisation of Turkic States was established shortly after the collapse of the Soviet Union as Türkiye sought to rebuild old historical and ethnic and linguistic ties with the region. But at the time Russian pressure stopped the governments of the region from getting too close to Turkiye. The situation is now very different, and with governments across Central Asia seeking new openings to the rest of the world, the Turkish connection is becoming increasingly important. Fidan conveyed greetings from President Recep Tayyip Erdoğan, highlighting that the Turkish side intends to make every effort to promote cooperation between the two countries and take interaction within regional and international structures to a new level. According to Fidan, the Turkish President plans to comprehensively discuss the prospects for strengthening the strategic partnership between the two states during his upcoming visit in November, which is set to coincide with the summit of the Organization of Turkic States.

India, the European Union, the United States and Saudi Arabia announced a mega deal to establish the India-Middle East-Europe Economic Corridor (IMEC) at an event on the sidelines of the G20 summit on Saturday. The leaders of India, Italy, France, Germany, the United States, the United Arab Emirates, the European Union and Saudi Arabia signed the memorandum of understanding. While announcing the corridor at the G20 summit, Prime Minister Narendra Modi said that IMEC will usher in a new chapter in global connectivity and sustainable development. He also stated that the corridor would act as a "major medium of economic integration between India, West Asia, and Europe”. The project will be developed under the G7 nations’ Partnership for Global Infrastructure Investment (PGII) initiative. PGII aims to bridge the infrastructure gap in developing countries. The new IMEC project is being seen as a response to China’s Belt and Road initiative. While the cost of the project has not been officially announced, reports indicated that the countries might spend around $20 billion on developing the corridor. The new project will consist of two corridors. The east corridor will connect India with Gulf countries and the northern corridor will connect Arabian Gulf with Europe.  The corridors will consist of a ship-to-rail transit network to facilitate cost-effective transport routes for the countries. The memorandum of understanding read,” It will enable goods and services to transit to, from, and between India, the UAE, Saudi Arabia, Jordan, Israel, and Europe.” The countries also plan to lay down a cable network for electricity and digital connectivity along with pipes for clean hydrogen export. EU President Ursula von der Leyen said that IMEC will be the most direct connection between the countries and it is expected to cut travel time by 40 per cent. 

India will underline the need for further diversity, the voice of the Global South as well as a human-centric approach to globalism as the country gears up for the G-20 leader’s meeting on 9 and 10 September in New Delhi under the motto "One Earth, One Family, One Future." India, as a developing country, has placed utmost importance on inclusivity for its G-20 presidency and has within this scope invited several non-G-20 members for the range of meetings held during the country’s term. The 32 countries, in addition to the G-20 members and guest countries, are present in the programs. The G-20 includes the European Union and the major economies of all continents, including the U.S., China, Russia and Germany. The Indian Presidency has drawn out six focus points, namely inclusive and resilient growth, progress on the sustainable development goals (SDGs), green development and life, technological transformation and digital public infrastructure, reforming multilateral institutions as well as women-led development.  India announced that it made a proposal for the African Union to be a permanent member of the G-20. The world’s economic gravity center has shifted dramatically in the past years. According to the Organisation for Economic Co-operation and Development (OECD), the share of emerging markets in global trade increased from 32% to 46% between 200 and 2019, while their share of receiving global foreign direct investment (FDI) rose from 15% to 46% and most of the world’s GDP growth occurs in those emerging markets.  India, the most populous country in the world, for its part, is aiming to become the world’s third-largest economy by 2027. In 2014 it was the 10th largest, while today it ranks fifth.

A Kazakhstan-Afghanistan business forum is set to begin in the Kazakh capital Astana tomorrow on Thursday (3 August), lasting until Saturday (5 August). According to a statement from the Kazakh Foreign Ministry, around 150 Afghan entrepreneurs from different sectors of the economy including second-level banks will be in attendance, while from the Kazakh side the Ministry of Trade and Integration, the company Kazakeksport, second-level banks, and logistics companies will also attend.

"Whilst this week’s EU-Tajikistan meeting can be dismissed as another piece of EU bureaucracy at play, for Tajikistan this mechanism is also a lifeline to the wider world," writes commonspace.eu in this commentary. "Tajikistan has a lot of potential, in terms of natural resources, tourism and connectivity which remains untapped. It has in the last couple of years made various overtures to the EU indicating a willingness to engage more. It is right that this week the EU has sent a message that it is interested too." Following an EU-Tajikistan meeting on Monday (26 June), a statement said that “the participants reviewed their cooperation, including economic and trade relations, issues related to the security of energy supply, and connectivity both within Central Asia and between Central Asia and Europe. The two sides assessed progress in implementing the outcomes of both the EU-Central Asia Sustainable Connectivity Conference, and the EU-Central Asia Economic Forum [...] During their discussions, the two sides also touched on matters of regional and international interest, including the situation in Afghanistan and Russia’s war of aggression against Ukraine. The EU encouraged Tajikistan’s engagement with Central Asia’s neighbouring countries and welcomed its constructive role for broader cooperation within the Central Asia region and beyond.”