American-Uzbekistan Chamber of Commerce
BUSINESS NEWSLETTER
 
Week in Review:
January 11, 2013 - January 18, 2013

Header for the Newsletter

Quick Links:
Our Members:
Boeing
CNH
FMN
GE
GM 
Harris
HW
Indsur Stelcor, Inc.
Lockheed Martin small
Nukem
Rio Tinto
Sikorsky
Solar turbines
White & Case
Zeppelin
Join Our Mailing List
Scan Code
In This Issue:
AUCC IN BRIEF
WB urges developing countries to safeguard economic growth, as road ahead remains bumpy
US Vows Sustained Engagement in Central Asia
Uzbekistan to direct US$2.515bn to oil and gas industry
Government approves measures on development of fair trade
Uzbekistan to invest US$8.5bn to development of transport infrastructure

Established in 1993, the American-Uzbekistan Chamber of Commerce (AUCC) is a private, non-profit trade association representing interests of U.S. businesses ranging in size from small private enterprises to large, multinational corporations conducting business in Uzbekistan.

Our Mission: To advocate the views of the business community to ensure that private sector positions are considered during the development of key policies that impact American businesses and the future of U.S.-Uzbekistan relations.

Our Objective: To serve the needs of its members by strengthening commercial relations between the United States and Uzbekistan.

http://www.worldbank.org 

 
(Extract.  Read full report here)
GDP growth in Europe and Central Asia is estimated to have slowed sharply to 3 percent in 2012 from 5.5 percent in 2011 as the region faced significant headwinds, including weak external demand, deleveraging by European banks, summer drought and commodity-price induced inflationary pressures. Growth slowed most in countries with strong economic linkages to the Euro Area, while it was relatively robust in resource-rich economies that have benefited from high commodity prices. GDP growth in the region is projected to rebound to 3.6 percent in 2013 and 4.3 percent by 2015. Medium-term prospects for the region will critically depend on progress in addressing external (large current account deficits) and domestic (large fiscal deficit, unemployment, and inflation) imbalances, lack of competitiveness, and structural constraints.

Europe and Central Asia country forecasts
(annual percent change unless indicated otherwise)

GDP at market prices (2005 $)

           '00-09'10'11'12'13'14'15
Albania4.93.53.00.81.62.03.0
Armenia7.72.24.76.84.34.44.4
Azerbaijan14.45.10.12.04.23.73.6
Belarus6.67.75.32.84.04.04.5
Bulgaria4.00.41.70.81.82.43.0
Georgia5.66.37.14.95.15.45.6
Kazakhstan7.57.37.55.05.55.76.0
Kosovo5.83.95.03.63.34.04.0
Kyrgyz Republic4.1-0.55.71.08.57.53.5
Latvia3.7-0.35.55.33.03.43.6
Lithuania4.21.35.93.32.53.54.3
Moldova, Rep.4.47.16.40.03.14.05.0
Macedonia, FYR2.32.92.80.01.02.53.5
Romania4.2-1.62.50.61.62.23.0
Russian Federation4.44.34.33.53.63.93.8
Serbia3.61.01.6-2.02.03.13.6
Tajikistan7.76.57.47.57.06.06.0
Turkey3.09.28.52.94.04.55.0
Ukraine3.94.15.20.52.23.23.5
Uzbekistan6.18.58.38.27.57.16.8

Source: World Bank.
World Bank forecasts are frequently updated based on new information based on new information and changing (global) circumstances. Consequently, projections presented here may differ from those contained in other Bank documents, even if basic assessments of countries' prospects do not significantly differ at any given moment in time.
Bosnia and Herzegovina and Turkmenistan are not forecast owing to data limitations.
a. Growth rate over intervals are compound average; growth contributions, ratios, and the GEP deflator are averages.
b. GDP measured in constant 2005 U.S. dollars.

http://www.voanews.com/section/asia   

 

The State Department's top official for Central Asia arrives in the region Tuesday to reassure leaders that Washington remains committed to the development and defense of Central Asia.
The three-day trip by Robert O. Blake Jr., Assistant Secretary of State for South and Central Asia, comes immediately after the visit to Washington of Afghan President Hamid Karzai. During that visit, President Barack Obama announced that American soldiers will soon play only a supporting role in defending Afghanistan from Taliban rebels. By the end of next year, most American soldiers are to leave Afghanistan.
"While we may be reducing our military presence after 2014, we will remain very much engaged economically to ensure the continued security and stability of Afghanistan and the region," Blake told VOA in Washington before leaving for Central Asia. "Obviously, we have invested a lot of blood and treasure over the past 10 years. We have a very important investment to protect."
Blake meets with leaders in Turkmenistan on Tuesday, then flies to Kyrgyzstan where the United States maintains the Manas air-transit center at the international airport of Bishkek, the capital.
Blake said he would discuss extending the base lease, which expires next year.
"Manas is a very important logistics operation for the United States, but also the center through which almost all our troops pass to go into Afghanistan," he said.
About 10 minutes by helicopter from Manas, Russia maintains its own air base in Kant, Kyrgyzstan, where, last year, Moscow extended its lease for 15 years.
Last October, Russian President Vladimir Putin flew to Tajikistan, just north of Afghanistan, where Russia gained 30-year extensions on three base leases. Housing a total of 6,000 troops, the trio of bases represent Russia's largest foreign troop deployment.
While Russia restores historic military ties with Central Asia, China's focus is economic. New pipelines now carry Central Asian oil and gas east to China while new roads carry Chinese goods west to Central Asia.
Looking ahead, Blake says there will be roles in Central Asia for China, Russia and the United States.
"Far from being a 'Great Game' in Afghanistan and in Central Asia, there is more of a great gain," he said. "There is space for all of us to benefit, and there is space for all of us to have a role."
After working with the region for almost four years, Blake draws this conclusion: "All the Central Asians want to see the United States play a greater role. They welcome having the United States very involved in promoting trade, in promoting stability."
As the numbers of American troops decline in Afghanistan, Washington wants to reassure regional leaders that the United States will remain engaged in Central Asia. 

http://uzdaily.com   

 

Uzbekneftegaz (Uzbek Oil and Gas Industry) national holding company will direct US$2.515 billion to development and modernization of the industry in 2013, which will grow by 5.4% year-on-year.

At the same time, the size of direct foreign investments will make up US$1.724 billion. Fund for Reconstruction and Development of Uzbekistan will allocate US$333.5 million to Uzbekneftegaz. Loans of foreign and local commercial banks will make up US$64.1 million.

In particular, Asia Trans Gas, an Uzbek-Chinese joint venture, will continue to construct third line of Uzbek part of "Central Asia-China" gas pipeline. The project cost is US$2.2 billion. In 2013, some US$260 million will be used within the project.

Russia's Lukoil will start to implement several projects in Uzbekistan, investing US$678.5 million to realize two product-sharing agreement worth US$4.3 billion.

In 2013, Uz-Kor Gas Chemical will invest US$600 million to construction of Ustyurt Gas Chemical Complex in Uzbekistan.

Malaysia's Petronas will invest almost US$170 million into its projects in Uzbekistan. Some US$138.75 million will be directed to project on organization of production of synthetic liquid fuel based on cleaned methane of Shortan Gas Chemical Complex.

http://uzdaily.com    

 

Government of Uzbekistan adopted a resolution "On additional measures on development of fair trade of locally made non-food consumer goods".

The document was adopted for satisfaction consumer markets and saturation them with high quality and competitive consumer goods, produced in Uzbekistan, organization of regional exhibition-fairs.

The Government approved a proposal of Ministry of Economy, Ministry of Foreign Economic Relations, Investment and Trade, Chamber of Commerce and Industry of Uzbekistan on organization of exhibition-fairs of modern non-food consumer goods in the country, first of all in rural areas.

According to the resolution, exhibition-fairs will be held around a year in all cities and regional centers of Uzbekistan. Mobile fairs will be organized for rural population.

Within the fair, it is planned to hold marketing research of internal consumer goods markets and determine perspective directions of production of new products.

It is also planned to determine list of highly demanded consumer goods and based on it, the recommendations on their production and improvement of their design and quality will be adopted.

http://uzdaily.com    

 

Uzbekistan will invest US$8.5 billion to development of transport infrastructure by 2015, local newspaper Uzbekistan Today reported.

The paper said that Uzbekistan plans to implement projects worth US$8.5 billion both due to foreign investments and own resources.

Uzbekistan is planning to increase the volume of cargo transit through its territory and to implement projects to develop transport infrastructure.

According to assessment of experts, the growth of cargo transit in Uzbekistan can reach up to 1 million tonnes a year in 2015-2020. In nine months of 2012, some 985,200 tonnes of cargo were transported in Uzbekistan by all transport types, which rose by 5.1% year-on-year. At the same time, the freight turnover was 62.2 billion tonnes-km and has exceeded the level of January-September 2011 by 7.9%.

Currently, Uzbekistan continues to implement a complex of measures on development of production, transport and engineering-communication infrastructure. Uzbekistan plans to implement projects worth US$8.5 billion both due to foreign investments and own resources.

It is planned to construct new railroads (150 km), modernize and rehabilitate existing highways (1030 km), electrification of railroads (715 km), update rolling-stock.

Experts noted that this will help to form new transport corridors in Uzbekistan, which will help the country to access international transport corridors, increase cargo transit and assist to access regional and international transport, as well as expand export potential of Uzbekistan.

The country pays special attention to development of transport-transit potential, logistic centers, multimodal transport-logistic junction at the base of Navoi international airport, managed by Korean Air. In 2008, Uzbekistan Havo Yollari signed agreement on creation of international logistic hub at Navoi international airport.

The sides constructed new parking sites for cargo planes Boeing-747 and new freight terminal, which allows to render all types of cargo transportation services, including storage. Currently, Uzbek and Korean sides are working on increasing cargo load of the hub.


CONTACT INFORMATION:aucc logo
The American-Uzbekistan
Chamber of Commerce
 
1300 I Street, N.W.,
Suite 720W
 
Washington, DC 20005
 
phone: 202.509.3744
 
info@aucconline.com

www.aucconline.com