Energy and Economy

 

Kazakhstan Reports Record Energy Deficit

According to data released by Energyprom.kz Kazakhstan's deficit of energy consumed to energy produced reached 2.4 billion kilowatt-hours in 2024, a record in recent years. Kazakhstan’s authorities have primarily addressed this gap by importing greater amounts of electricity from Russia. Despite modest growth in energy produced domestically (4.2% growth in 2024), officials estimate this year’s deficit will likely be more severe, at 5.7 billion kilowatt-hours.

Source: The Times of Central Asia

Turkmenistan’s Berdymukhamedov Courts French Investment in Rare Foreign Visit

Turkmenistan’s Chairman of the People's Council and former President Gurbanguly Berdymukhamedov, visited France on May 5 and 6, signaling a shift toward opening the country’s economy. During the trip, Ashgabat signed multiple memoranda of understanding with French firms in sectors including aviation, agriculture, telecommunications, and gas development. While the agreements lacked specific details, they reflect a symbolic step away from isolation. Berdymukhamedov met President Emmanuel Macron and addressed a Turkmen-French economic forum, encouraging French businesses, particularly small and medium enterprises, to invest in sectors beyond energy, such as tourism and urban development. The visit follows Turkmenistan’s recent efforts to reengage with the West, including a March gas-swap deal via Türkiye.

Source: Eurasianet

Kazakhstan Rejects Claims of External Pressure over Oil Output

On May 6, Kazakhstan’s Energy Minister denied reports suggesting the country exceeded its oil quota due to external pressure. In the statement, the ministry reaffirmed its commitment to the OPEC+ agreement and stated that it remains fully compliant with its obligations. The ministry emphasized that Kazakhstan’s oil policy decisions are made independently and continue to support global market stability.

Source: Interfax

Kyrgyzstan to Launch Gold-Backed Stablecoin for Cross-Border Trade

Kyrgyzstan plans to launch a gold-backed, U.S. dollar-pegged stablecoin called USDKG in the third quarter of 2025, aiming to facilitate cross-border payments and international trade, initially focusing on Central Asia with later expansion to Southeast Asia and the Middle East. The project, supported by the Finance Ministry, will start with $500 million in gold reserves, which could grow to $2 billion, and the reserves will undergo independent audits. Advisor Gabriel Guerra announced the initiative at the Token2049 conference in Dubai, noting its potential to boost regional digital finance. The move follows President Sadyr Japarov’s meeting with Binance founder, Changpeng Zhao, who was appointed as a public adviser on digital asset development.

Source: 24.kg

Uzbekistan Reports Over 1 million Visitors in April, a Record High

In April, Uzbekistan recorded over one million foreign tourist arrivals for the first time in a single month. The increase is attributed to government reforms aimed at revitalizing the tourism sector, including expanded visa-free travel for multiple countries, infrastructure improvements, and participation in international tourism forums. In the first two months of 2025, Uzbekistan saw 1.33 million foreign tourist arrivals, a 37% increase compared to the same period in 2024 and a 52.8% increase over 2023. Uzbekistan also became the 26^th country to adopt the International Code for the Protection of Tourists (ICPT), a UN tourism initiative.

Source: Daryo

Uzbekistan and Iran Sign 2025-2027 Agreement

Uzbekistan and Iran have signed a two-year roadmap for cooperation primarily aimed at increasing trade and logistical engagement. The text of the agreement was signed on May 11 during a visit to Iran by an Uzbek delegation headed by Uzbekistan's Prime Minister Abdulla Aripov. Discussions and agreements focused on how to reach the stated aim of Iran-Uzbekistan trade turnover reaching $2 billion, as well as transport coordination, industrial development, and cooperation in science and tourism.

Source: Daryo

Politics and Security

 

Victory Day Draws World Leaders to Moscow

May 9 saw Victory Day, the holiday throughout Russia, the South Caucasus, and Central Asia that commemorates the defeat of Nazi Germany in 1945. This year’s annual celebration in Moscow drew over 20 world leaders, including all five Central Asian heads of state and Armenian Prime Minister Nikol Pashinyan. The most high-profile attendees at Moscow’s ceremony included Chinese President Xi Jinping and Brazilian President Lula da Silva. 

Source: The Moscow Times

Azerbaijan’s President Opted Not to Attend Russia’s Victory Day Celebrations 

Azerbaijani President Ilham Aliyev did not attend the Victory Day celebrations and military parade in Moscow on May 9. While most Commonwealth of Independent States (CIS) leaders were present, Aliyev's absence comes amid strained Azerbaijan-Russia relations following the December incident involving an Azerbaijani civilian aircraft in Russian airspace. Once the news regarding Aliyev’s absence from the celebrations broke out, Ukraine’s Ambassador to Azerbaijan Yuriy Husyev thanked President Aliyev on his X account.

Source: Meduza, X

Russia Announces Collaboration with Taliban Against ISKP

Zamir Kabulov, Russian President Vladimir Putin's special representative for Afghanistan, announced on May 2 that Russia would "provide all possible support to the Afghan authorities through appropriate channels” to combat Islamic State Khorasan Province (ISKP). The announcement came fallowing recent decisions to remove the Taliban from a list of state-recognized terrorist organizations and the removal of the ban on Taliban activities in Russia. Since the Taliban’s takeover of Kabul in 2021, the organization has sought to build relations with neighboring governments and build common cause against ISKP, which continues to carry out high-casualty attacks across the world, including in Russia.

Source: Daryo

MEGOBARI Act Passes U.S. House of Representatives 

The MEGOBARI Act, a piece of U.S. legislation that places additional sanctions and visa bans on elites associated with Georgia’s governing Georgian Dream party, passed the U.S. House of Representatives on May 5. Democratic Congressman Steve Cohen released a statement describing that the bill “mandates a comprehensive sanctions review of all Georgian Dream officials,” and that “[t]hose found to have engaged in corruption or undermining Georgian sovereignty will be sanctioned.” The legislation will now proceed to the U.S. Senate and, if passed, move to the President’s desk for his signing into law. Georgia’s relations with its traditional Western partners have deteriorated rapidly in recent years as Georgian authorities have cracked down on local civil society organizations and the free press, as well as having pledged to ban opposition parties. MEGOBARI stands for Mobilizing and Enhancing Georgia’s Options for Building Accountability, Resistance, and Independence.

Source: OCCRP