Lukoil intends to invest in Uzbekistan up to US$5.5 billion by 2015

Board of directors of Russian oil giant company Lukoil held its meeting in Tashkent on 24 April to consider realization of its projects in Uzbekistan. Company president Vagit Alekperov said projects Lukoil was implementing jointly with Uzbekistan were of a particular importance. Lukoil has been actively working on the Uzbek market in the recent years. The company has a representative office in Tashkent and set up a daughter enterprise Lukoil Overseas Uzbekistan Ltd. The latter is engaged in realization of the 35-year project Kandym-Hauzak-Shady-Kungrad. The volume of investments in this project will exceed US$3 billion. Last year, Hauzak gas field, located at the Dengizkol lake, was put in industrial use. Lukoil Overseas and Uzbekneftegaz started non-stop gas supply from Hauzak to Dengizkol-Mubarek pipeline. Currently, 15 wells are in operation at Hauzak, and their number will be increased to 23 by the year-end. In all, 37 wells will be created here. Overall, 180 new wells will be created and more than 1,500 km of pipeline will be laid on the Kandym-Hauzak-Shady-Kungrad project. The project capacity is more than 10 billion cubic meters of gas per year. A modern gas chemical complex with a capacity of 8 billion cubic meters of gas per year will be built at the Kandym group fields. Its first line will be launched in 2011. Apart from the named project, Lukoil is also participating in the largest project named Aral. It includes exploration and development of hydrocarbons on the production-sharing agreement basis in the Uzbek part of the Aral Sea. To date, Lukoil has invested US$500 million in the projects in Uzbekistan. By 2015, the figure is expected to rise to US$5.5 billion

Uzbekistan, Kazakhstan decide to create free trade zone

Kazakhstan and Uzbekistan have decided to set up a free trade zone, Uzbek President Islam Karimov said at a news conference after Tuesday's meeting with his Kazakhstani counterpart Nursultan Nazarbayev. While pointing to the mutual striving to increase bilateral trade manifold, Karimov said that the sides agreed to set up a special working group, which will draft a document on the creation of a free trade zone between Uzbekistan and Kazakhstan. "With this in mind, we should create necessary conditions and remove all the obstacles and problems," the Uzbek President said. "The question is about the unification of customs and other duties and the introduction of various preferences, which may simplify and improve mutual trade," Karimov added. Nazarbayev, in turn, noted that the bilateral trade, which doubled in 2007, still fails to meet their potential; Kazinform cites Itar-Tass. In addition, only four types of goods are accounted for 80% of bilateral trade, he said. "We will instruct the two prime ministers to study the issue in detail in order to answer within a quarter what impediments we have and we can be done to remove them," Nazarbayev said. Kazakhstan-Uzbekistan trade reached US$1.4 billion in 2007

People's Bank's capital up by 2.6bn soums in 1Q 2008

In the first quarter 2008 the capital of the People's Bank increased by 2.6 billion soums to some 40 billion soums, the bank's press service said. The assets of the bank have increased by 25% to over 360 billion soums. By the early April the bank's credit portfolio reached some 170 billion soums. In the first quarter of this year the bank extended 61 billion soums in loans to corporate entities and individuals. Almost a third of these funds was used for the implementation of the investment projects, as a result of which about 1,900 new jobs have already been created. Apart from this, since the beginning of the year almost 350 citizens of Uzbekistan have improved their living conditions by purchasing housing with the financial assistance of the bank. Along with this, the branches of the bank have extended over 5 billion soums to the population in consumer loans for the purchasing of durable goods. The system of non-cash payments is also being developed. In the first three months of this year another 12,000 people became plastic cardholders of the People's Bank. Today, the structure of the bank includes 427 branches and mini-banks, and over 2,500 offices and cash desks

Fitch: pressure on global bank ratings intensifies in 1Q 2008

Fitch Ratings says the ongoing illiquid and volatile conditions in global financial markets are continuing to put pressure on bank ratings. In the first quarter of 2008, the negative shift in the ratio of Positive to Negative Outlooks continued, while the number of negative rating actions taken during the quarter remained at a comparatively high level. According to the latest Fitch quarterly series of "Global Bank Rating Trends" reports, the operating environment for banks in 2008 is likely to remain challenging and further pockets of negative rating actions are possible. "Some of the major US banks have been hit particularly hard," says Alison Le Bras, Managing Director in Fitch's Financial Institutions Group. "Although measures by the US Federal Reserve have improved short-term funding, several of the major US commercial and investment banks now have Negative Outlooks or Watches." While the fourth quarter of 2007 saw the highest level of negative rating actions (69) since the series of publications began, the first quarter of 2008 saw a continuation of the gloomy trend with some 52 negative rating actions. At the same time, the number of Positive Outlooks compared to Negative Outlooks continued to decline, standing at 1.7 to 1 at end-1Q 2008 compared with a peak of around 5 to 1 just one year earlier. Although the number of negative rating actions in developed markets fell to 41 in 1Q 2008 from 48 in 4Q 2007, outright downgrades remained historically high at 18. These downgrades were in the developed Americas and Europe. Banks in emerging markets, on the other hand, have fared better to date, despite some exceptions such as in Kazakhstan. Nevertheless, the ratio of Positive to Negative Outlooks in emerging markets declined further during the quarter, suggesting that the more positive rating trend in these markets may be coming to an end. While globally 78.3% of Fitch's bank ratings still have a Stable Outlook, the number of ratings with a Positive Outlook (10.8%) continues to decrease at the expense of a greater proportion of banks having a Negative Outlook (6.5%).

Assets of Uzbek commercial banks grow 28.7% in 1Q 2008

The Board of the Central Bank of the Republic of Uzbekistan has held a meeing on the key results of the banking system's operation in the first quarter of 2008 and the priority tasks set before the banking system by the President of the Country on 8 February 2008 during the meeting of the Cabinet of Ministers, as well as the implementation of the urgent tasks set out during the meeting of the Cabinet of Ministers on 18 April this year, the Bank's press service informed. The Chairman of the Central Bank Fayzulla Mullajanov presided at the meeting. As noted during the meeting, in the first quarter the strict monetary-credit policy being implemented by the government and the Central Bank of the country was aimed at strengthening macroeconomic stability. At this time, the refinance rate is kept by the Central Bank without changes at the level of 14 per cent pa. This is done to prevent any further increases in inflation rate in the country, it was said. As a result of the measures taken, the monetary factors did not affect the level of prices for consumer goods, and inflation was kept within the limits of the parameters planned. In order to keep the prices for consumer goods from growing, in the first quarter alone the banks appropriated over 170 billion soums to saturate the consumer markets in the necessary products, as well as for the production of consumer goods and their sale. Moreover, in the reporting period particular attention was given to further increase in the level of capitalisation of the commercial banks, provision for their financial stability, and further intensification of the banks' participation in the investment processes and strengthening of competition between them. As a result, the total capital of commercial banks grew by 39% compared to the same period of the previous year to the level of more than 1.55 trillion soums. Commercial banks' assets grew by 28.7% compared to the first quarter of the previous year to some 9.67 trillion soums. As a result of the sustained financial stability of the commercial banks such as the National Bank of Uzbekistan for Foreign Economic Activity (NBU), Pakhta Bank, UzSanoatKurilishBank, Galla Bank, and Khamkor Bank were rated high by the leading international rating companies. At this time the commercial banks are contributing greatly to the economic growth of the country. There is a positive trend in the increase of the volume of loans issued to the real sector of the economy. The volume of the aggregate loan assets of commercial banks currently comprises 5.27 trillion soums. In the reporting period the volume of loans issued by the banks to support small businesses and private enterprises grew by 39.8% compared to the same period of 2007 and comprise 268.9 billion soums. Also, in the reporting period, pursuant to the Presidential Decree of 18 May 2007 "On additional measures to financially and morally support young families" the commercial banks of the country have extended soft loans, micro- and consumer loans for the total amount of 28.6 billion soums to young families. Commercial banks offer more than 200 different types of deposit plan. Their balance has grown by 49% compared to the same period of the previous year and currently comprises 1.13 trillion soums, which confirms the growing trust of the population in the banks. It is worth noting that the banks have implemented active measures to popularise the use of plastic cards. As a result the number of plastic cards in use has grown by 17.6% compared to the same period the previous year and reached the level of 3.9 million as of 1 April 2008. At the same time, the activity of individual commercial banks not fully using their internal capacity to raise the level of their capitalisation, the number of banking services offered and to strengthen the client's trust in them was negatively commented on. During the meeting the tasks that are to be implemented in the first half of this year were outlined. In particular, continued conduct of a strict monetary-credit policy for the purpose of preventing the prices for consumer goods from growing, ensuring that the monetary-credit figures are met within the stated target parameters, and increasing the trust of clients in the banking system were mentioned. Also the heads of commercial banks were commissioned to strengthen the financial stability and strength of banks, and ensure their active participation in the financing of investment projects in the priority sectors of the economy that make up a part of the structural reforms being implemented in the country

Volatility on the rise, risks loom in Asian bond markets, says ADB report

The most immediate and visible fallout from the global credit market turmoil has been an increase in volatility in emerging East Asian bond markets, says a new report issued by the Asian Development Bank (ADB). Credit tightening in emerging East Asian economies has not been severe in the wake of the US subprime mortgage turmoil, the April issue of Asia Bond Monitor (ABM) says. But corporate bond yields have edged up as investors seek risk premiums, while some borrowers have delayed bond issues, relying on short-term bank finance rather than longer-term debt issuance. At the initial stages of the recent credit tightening, emerging East Asian local currency bond markets benefited as investors chased attractive returns outside US markets. But as risk aversion in global markets spiked, foreign investors began retreating from Asian markets causing a rise in volatility in domestic capital markets. The pace of government and corporate issuance has slowed but not to the same extent as a decline in global bond issuance. The region's offshore bond issuance market has slowed markedly and securitization markets have largely dried up. ABM says the outlook for emerging East Asian bond markets is of continued growth, but at a slower pace. It highlights that domestic credit, supported by ample local savings, continues to provide resources for investment even as portfolio equity and bond flows taper off. "Governments in the region carried out key reforms in the secondary market in 2007. They need to continue to improve bond market liquidity and strengthen risk management," says Jong-Wha Lee, Head of ADB's Office of Regional Economic Integration (OREI). ABM includes a survey to identify key determinants of bond market liquidity. The survey finds that amid growing risk aversion, illiquidity of the region's local currency bond markets is a limiting factor in their development. Increasing investor diversity, availability of hedging tools, consistent secondary market pricing and a more investor-friendly tax structure in corporate bond markets are measures that can help promote more liquid regional bond markets. ABM says emerging East Asia's local currency bonds outstanding expanded at an annual rate of 21% in the second half of 2007 from 10% in the first half of last year. Government bond markets grew 21%, largely driven by central bank sterilization and fiscal stimulus. Corporate bond markets grew by 20%. Heightened inflation risks, the slowdown in global growth and fears of external shocks led to increased volatility in local currency yield curves in 2007. Despite the global market turbulence, the ABF Pan Asian Index gained 8% in 2007 in US dollar terms, partly lifted by stronger regional currencies. The index gained 13.6% in 2006. ABM cites three main risks to regional bond market outlook: (i) a deep or protracted US economic contraction, (ii) continued global capital market volatility placing pressure on investors to cover rapidly shifting positions, and (iii) rising inflation in the region constraining policy options as growth slows. It urges policymakers to focus on five key challenges to make local currency markets more vibrant. These are (i) boosting investor confidence by strengthening legal protection and corporate governance, (ii) reduce barriers to market entry and encourage investor diversity, (iii) development of derivative markets and increase liquidity, (iv) better data compilation, and (v) tighten regulatory oversight. The April edition of ABM has a theme chapter on bond market developments and challenges in India. It says India's government bond market has grown steadily in size, largely due to the need to finance its fiscal deficit and is comparable to many government bond markets in emerging East Asia. But domestic corporate bond market remains less developed, with private placements dominating. Like many emerging economies, the investor base in India remains narrow in both government and corporate bond markets, with limited foreign participation. ABM urges regulatory supervision in local bond markets to be streamlined to create a more level playing field for investors. ABM examines local currency bond developments in emerging East Asia defined as the Association of Southeast Asian Nations member countries, plus the People's Republic of China, Hong Kong, China and the Republic of Korea.

ADB announced a SHORT LIST for Southern Agriculture Area Development Project in Kyrgyz Rep

KYRGYZ REPUBLIC
Loan 2314/Grant 0073: Southern Agriculture Area Development Project

The Executing Agency (EA) is responsible for consultant selection and supervision.Date of ADB approval of EA Shortlisting is 17 December 2007Request for Proposals was sent out by the EA on 24 December 2007


Shortlisted Firms
  1. GRM International (UK)
  2. HTSPE Limited in association with Niras Scanagri, Su Yapi Engineering & Consulting Inc. and RDC (UK)
  3. J.E. Austin Associates, USA
  4. AFC Consultants International in association with MNT Consulting and AHT Group of Essen (GER)
  5. Euroconsult Mott MacDonald in association with WYG Consultants and FNT Consultants, NET
  6. CACE (joint venture of Nespak, ACE and NDC of Pakistan) (PAK)


    Closing date for submission of proposals is 9 February 2008.

ADB announced a SHORT LIST for Regional Power Transmission Interconnection Project in Afghanistan

AFGHANISTAN
Loan No. 2304-AFG: Regional Power Transmission Interconnection Project
The Executing Agency (EA), is responsible for consultant selection and supervision.

Date of ADB approval of EA Shortlisting is 6 September 2007

Request for Proposals will be sent out by the EA on 15 November 2007

Shortlisted Firms

  1. Fichtner, Germany

  2. House of Consultants, Bangladesh

  3. Power Grid Corporation of India Ltd., India

  4. SMEC International Pty Ltd., Australia

  5. Nippon Koei Co. Ltd., Japan

Closing date for submission of proposals is 28 January 2008.

ADB announced a SHORT LIST for WATER RESOURCES MANAGEMENT PROJECT in Uzbekistan

UZBEKISTAN
Advanced Action: WATER RESOURCES MANAGEMENT PROJECT (TAR: 40086)
Shortlisting Date : 14 January 2008

Firm Name : WS ATKINS INTERNATIONAL, UNITED KINGDOM
Address : Woodcote Grove, Ashley Road Epsom, Surrey KT18 5BW United Kingdom
Phone : +44 1372 754318
Fax : 00 44 (0) 1372 740 055
Email : mike.woolgar@atkinsglobal.com
Contact Person : Mike Woolgar
Designation : Head of Water Resources Management

Firm Name : BCEOM, FRANCE
Address : Place des Frères Montgolfier GUYANCOURT 78286 France
Phone : + 33 1 30 12 48 00
Fax : + 33 1 30 12 10 95
Email : contact.egis-bceom@egis.fr
Contact Person : Gilles CORNIC
Designation : Director, Business Development Department

Firm Name : LAHMEYER INTERNATIONAL GMBH - WATER SUPPLY, GERMANY
Address : 173, Friedberger Str. Bad Vilbel, 61118 Germany
Phone : +49-6101-55.11.64
Fax : +49-6101-55.17.15
Email : bernd.metzger@lahmeyer.de
Contact Person : Metzger, Bernd
Designation : Director LI-GW

Firm Name : SHELADIA ASSOCIATES, INC., UNITED STATES
Address : 15825 Shady Grove Road, Suite 100 Rockville Maryland 20850 United States
Phone : 301-590-3939
Fax : 301-948-7174
Email : marketing@sheladia.com
Contact Person : Jan T. Twarowski
Designation : Director, Economic Development

Firm Name : SMEC INTERNATIONAL PTY LTD, AUSTRALIA
Address : 6th Floor, 76 Berry St., PO Box 1053, North Sydney NSW 2060 Australia
Phone : 61 2 9925 5622
Fax : 61 2 9925 5566
Email : Pula.Herath@smec.com.au
Contact Person : Pula Herath
Designation : General Manager, Water and Environment Group

Firm Name : PACIFIC CONSULTANTS INTERNATIONAL ASIA, INC., PHILIPPINES
Address : 14th Floor 88 Corporate Center, 141 Valero Street, Salcedo Village Makati City
Metro Manila, 1227 Philippines
Phone : 63 2 889 6888
Fax : 63 2 889 6889
Email : sakanot@pcitokyo.co.jp
Contact Person : Mr. Tsuneo Sakano
Designation : President


Closing date for submission of proposal is 22 February 2008.

Meeting with ACTED in Uzbekistan

ACTED is an apolitical, and non-confessional international relief agency. The first projects were initiated in Kabul in 1993 to bring relief to populations affected by more than 15 years of conflict. As well, ACTED maintains a representative office in Uzbekistan.Mr. Bernard Pascal, Assistant Country Director of ACTED Uzbekistan, began the meeting with explanation of the ACTED activity in Uzbekistan. He said that the activity is divided into three components. Health promotion component is very active in Fergana valley. Other components include support to micro-finance and agriculture development in Surkhnadarya and Kashkadarya. Favorable conditions after the introduction of the microfinance law now give the opportunity for ACTED to support the creation of a local micro finance company. Main partners of the ACTED currently are the EU and NOVIB. ACTED wishes to expend its activities in Uzbekistan. Participants of the IKS Group supported this idea and they expressed interest in joint collaboration in this issue through the Association of Engineers component of the IKS Group.

ADB Funds Upgrade of Key 'Silk Road' Highway in Uzbekistan

ADB Funds Upgrade of Key 'Silk Road' Highway in Uzbekistan(20 December 2007) - The Asian Development Bank will provide Uzbekistan $75.3 million loan to upgrade a key highway that is an integral part of a regional transport corridor across Central Asia.

MANILA, PHILIPPINES - The Asian Development Bank (ADB) will provide Uzbekistan $75.3 million loan to upgrade a key highway that is an integral part of a regional transport corridor across Central Asia.The move comes a month after eight countries in and around Central Asia agreed to an $18 billion strategy to improve roads, airports, railways, and ports to make the region a vital transit route for trade between Europe and Asia – a modern-day equivalent of the ancient Silk Road.The new loan will be used to upgrade two sections of the A-380 highway, a 1,204 kilometer road that runs from the Kazakh border in Uzbekistan’s north toward Afghanistan and Turkmenistan in the south.The first road section to be reconstructed is 40 kilometers long in Kungrad District of the Republic of Karakalpakstan. The second is 91 kilometers long in the Khazarsp District of Khorezm Province and Tortkul District of the Republic of Karakalpakstan. International competitive bidding for the civil works will be applied for the first time.“Upgrading the road will cut travel times and reduce transport costs,” said Olly Norojono, a Transport Economist with ADB. “This highway is essential for enhancing regional integration and economic growth in Central Asia.”Part of the loan will also be used to help the Government of Uzbekistan strengthen the operation and maintenance of the country’s road network by improving road-sector institutions, planning and budgeting, as well as the provision of road-building equipment.Insufficient maintenance in the past has led to the deterioration of roads. While the Government has made progress in fixing the problem, the budget for maintaining primary roads hasn’t been sufficient.The total cost of highway upgrade and strengthening the road sector capacity is $173.5 million. In addition to the $75.3 million provided by ADB, the Government is investing $98.2 million.The strategy to invest in transport corridors in and around Central Asia was agreed at a meeting in Dushanbe on November 3 of the Central Asia Regional Economic Cooperation Program, which is sponsored by ADB. In addition to Uzbekistan, Afghanistan, Azerbaijan, People’s Republic of China, Kazakhstan, Kyrgyz Republic, Mongolia, and Tajikistan have agreed to the strategy.

ADB Extends $3M Grant to Facilitate Trade in Central Asia

ADB Extends $3M Grant to Facilitate Trade in Central Asia(19 December 2007) - The Asian Development Bank is providing a $3 million grant to facilitate trade among member nations of the Central Asia Regional Economic Cooperation as part of efforts to promote sustained economic progress across the region.

MANILA, PHILIPPINES (19 December 2007) - The Asian Development Bank (ADB) is providing a $3 million grant to facilitate trade among member nations of the Central Asia Regional Economic Cooperation (CAREC) as part of efforts to promote sustained economic progress across the region.The Integrated Trade Facilitation Support for CAREC will receive an additional $600,000 from the governments of CAREC countries to complete the funding requirement.“The outcome of the project is greater volume of trade due to time and cost savings as a result of coordinated cross-border regulations, procedures and standards, as well as improved trade logistics,” said Ying Qian, Principal Economist of ADB’s East Asia Department.The project supports the implementation of the trade facilitation component of the Transport and Trade Facilitation Strategy endorsed by the sixth Ministerial Conference on CAREC in November 2007. CAREC is composed of Azerbaijan, People’s Republic of China, Kazakhstan, Kyrgyz Republic, Mongolia, Tajikistan, Uzbekistan and Afghanistan. Turkmenistan also participates in CAREC’s trade facilitation work.Strengthened customs cooperation is the core program of the trade facilitation strategy. The project will also come up with an expanded scope of the work program to address broader issues of trade facilitation, focus on trade facilitation efforts on the CAREC transport corridors, adopt a results-based approach in monitoring time and cost savings as the key indicators of the program, and support logistics assessments and planning focusing on priority corridors and developing national and regional implementation strategies to facilitate trade.The project will also support bilateral initiatives among CAREC countries and enhance partnership between CAREC’s participating multilateral institutions and key international agencies supporting customs reform, trade facilitation and logistics development in the region. It will also promote dialogue and cooperation with the private sector, which would help formulate and utilize trade facilitation measures, and undertake capacity building in areas of integrated trade facilitation and in broader areas related to trade and transport. The project will also produce knowledge products such as policy and strategic papers.Trade facilitation plays a vital role for CAREC countries, especially in expanding intra- and interregional trade, which spur investments and economic growth in the long term. Trade facilitation refers to a wide range of activities such as import and export procedures, transport formalities, payments, and insurance and other financial requirements. Despite years of reform and intensified regional cooperation efforts, the participation of Central Asian countries in international trade remains limited mainly due to the unnecessarily high costs of trade due to, among other reasons, the countries being landlocked, which makes trade and transit problematic.At most borders, it is necessary to comply with a range of procedures in addition to customs, including animal quarantine, inspection of plants and other agricultural materials, checking of drivers’ licenses, axle loads, and compliance with other road rules. Simplification and harmonization of such procedures are integral to trade facilitation. While international agreements on standard norms can help, a key requirement is to shift policy to place more emphasis on trade facilitation rather than trade control.Ref.

UBI Consulting successfully finished its biomedical research of Central Asian scientific research and educational institutes

UBI Consulting successfully finished its biomedical research of Central Asian scientific research and educational institutes within the contract of US based research company (Kyrgyz Republic, Turkmenistan, Tajikistan, and Uzbekistan).

UNICON shortlisted for World Bank project on Review and Development of New Technical Norms and Regulations for Fire Service Inspections Agency

UNICON shortlisted for World Bank project on "Review and Development of New Technical Norms and Regulations for Fire Service Inspections Agency" under the Public Sector Reform Project.

The objectives of this assignment will be to work with the Fire Service Inspections Agency, to review existing normative and legal acts, and develop new technical regulations as necessary in accordance with international standards. The consultants will propose recommendations regarding any instruments, actions, measures and regulatory developments to support the Fire Service Inspections Agency.

UBI Consulting successfully finished its research of chemical products

UBI Consulting successfully finished its research of chemical products within the contract of biggest Russian Chemical Producer (Uzbekistan).

Congratulations!

UBI Consulting finished their work on ADB project

UBI Consulting with its partners successfully finished their work on implementation of ADB funded "Enhancing Financial Disclosures Standards" Project (Kazahstan).

UNICON awarded contract by the EBRD Uzbekistan

UNICON awarded contract by the European Bank for Reconstruction and Development (EBRD) to monitor the implementation of a project, which involves the provision of the working capital facility to JV Green World in Uzbekistan.

The European Bank for Reconstruction and Development contracted UNICON to provide an advice on the disbursement of the EBRD’s loan and to monitor progress of the Company’s operations, including contractual relations with its suppliers and other related activities.
The objective of the assignment is to advise the EBRD on the key aspects of the use of the funds, monitoring of stock quality and quantity, product sales through the working capital cycle on a monthly basis. The project is planned to continue for 24 months.

Congratulations!

UNICON awarded contract for ADB project on Transport Sector Master Plan in Tajikistan

The TA will be implemented in two phases. Under phase I, the overall performance of the transport sector will be assessed in detail. The assessment will cover (i) existing sector policies, regulations, and institutional structures; (ii) technical and operational effectiveness; and (iii) financial efficiency. The sector’s strengths and weaknesses will be identified, a detailed asset inventory prepared for road and railway subsectors, and their performance evaluated, given the current needs of the country. Traffic projections will be prepared to assess future investment needs.

Congratulations!

UBI Consulting as a lead firm is starting to implement WB's Consulting Services for Implementation of Tasks under Pharmaceutical component

UBI Consulting as a lead firm is starting to implement WB's Consulting Services for Implementation of Tasks under Pharmaceutical component / Component 1: Primary Health Care Development under Health-2 Project (Uzbekistan).

Congratulation!!!

More information about UBI Consulting you can get from their web-site: www.ubi.uz

ADB Supporting Development of Securitization Markets in Kazahkhstan

ADB is providing a $100 million credit guarantee to securitize the diversified payment rights of JSC Kazkommertsbank, one of Kazakhstan’s largest commercial banks.

The diversified payment rights arise as a result of JSC Kazkommertsbank’s role as financial intermediary between foreign payors that send funds to JSC Kazkommertsbank’s clients in Kazahkstan and involve transactions such as export related payments, foreign direct investments, personal or workers’ remittances.

The $100 million ADB credit guarantee is part of a $500 million total diversified payments rights securitization package being offered in partnership with two other guarantors, MBIA Insurance Corporation and Financial Guarantee and Insurance Corporation. The deal will be one of the largest of its kind done worldwide.

Although the concept of diversified payment rights securitization is not entirely new to Kazakhstan, there have been few issues so far. The credit guarantee from ADB is expected to facilitate the development of a full-scale securitization market in Kazakhstan, and to have spillover effects elsewhere in the region.

“Securitization is an important means to raise financing for many low and middle income countries, especially during times of low liquidity and heightened perception of sovereign risk,” William Willms, Principal Investment Specialist, says. “Such securities reduce the sovereign-related risks and thereby lower the cost of funding.”

In addition to developing the securitization market, ADB aims to help JSC Kazkommertsbank diversify its funding sources and boost its lending to struggling small and medium sized enterprises in Kazakhstan’s oil export-dependent economy.

CAREC Officials Discuss Deeper Cooperation

MANILA, PHILIPPINES - Senior officials of the Central Asia Regional Economic Cooperation (CAREC) Program met in Manila this week to examine ways to deepen interaction among their economies and integrate more effectively with world markets.

Delegations from the eight participating countries and six multilateral institutions that comprise CAREC discussed recent developments and future plans in the program's priority areas of transport, energy, and trade; issues related to the establishment of a CAREC Institute; and preparations for the Sixth CAREC Ministerial Conference to be held in November 2007 in Dushanbe, Tajikistan.

"The CAREC Program is at an important stage in its development. With the Comprehensive Action Plan in place and sector strategies being developed, 2007 will be a critical year," said Mr. Xianbin Yao, Deputy Director General of ADB's Central and West Asia Department in opening remarks.

"The decisions we make this year will have long-lasting impacts on this program, and potentially on developments in participating countries."

The CAREC Program adopted a Comprehensive Action Plan (CAP) at its fifth ministerial meeting in October 2006. The CAP provides the strategic framework for the medium-term development of the program and includes some 40 projects worth about $2.3 billion.
CAREC is a pragmatic, results-oriented program that was established in 1997 and seeks to promote development through cooperation, leading to accelerated economic growth and poverty reduction.

CAREC participating countries are Afghanistan, Azerbaijan, People’s Republic of China, Kazakhstan, Kyrgyz Republic, Mongolia, Tajikistan, and Uzbekistan. CAREC is also an alliance of multilateral institutions comprising ADB, European Bank for Reconstruction and Development, International Monetary Fund, Islamic Development Bank, United Nations Development Programme, and World Bank. Turkmenistan participated in the meeting as an observer.

Formation of Expert Councils

In mean time Chamber of Commerce and Industry of Republic of Uzbekistan together with UNDP’s project “Business Forum of Uzbekistan” is studying the question of creating Advisory Councils. Their primary activity will be revealing problems, preparation of offers on improvement of the legislation aimed at creation of as much as possible favorable business and investment climate, liberalization of foreign trade, development of export, improvement of tax and customs policy and banking-financial system, development of small and private business, attraction of investments and development of information-communication technologies. Within the framework of the given Advisory Councils development of precise proposals on improvement of separate branches of economy, for the best interests of the enterprises and the organizations working in various branches of economy is being carried out.

Thus, we invite all interested businessmen, representatives of the enterprises and the organizations to take part in work of the above-stated Advisory Councils. For this purpose we ask you to fill in and send us the enclosed questionnaire of the participant of Advisory Council.

We hope for productive cooperation with you and thank you in advance for!

Pleasen fill in the questionnaire of the AC participant

Andrey Barannik, the International Consultant in Uzbekistan came to its end

On 12th of December, 2006 mission of Andrey Barannik, the International Consultant in Uzbekistan came to its end. He was involved in elaboration of “Export Guide”, developed by the group of national experts within the framework of joint project “Business Forum of Uzbekistan” of the Chamber of Commerce and Industry (CCI) of Uzbekistan and UNDP.

Within the framework of the current mission Mr. Barannik has conducted several meetings with managers of UNDP and CCI, representatives of international organizations, governmental agencies and private sector. Moreover, Mr. Barannik participated in a working meeting of CCI management and representatives of governmental and private sector of Uzbekistan on creation of Expert Council on Development of Foreign Trade and Export Promotion, conducted by the BFU project. Within the framework of the current working meeting Mr. Barannik presented updated structure of “Export Guide”. In his presentation on the theme “Updated structure and directions for further elaboration of final version of Export Guide” International Consultant compared structures of initial and updated versions of the Guide. Remarking complexity and quality of the initial document, International Consultant expressed importance of developing document taking into account international experience, particularly experience of those countries that already have this kind of Guides. He stated that all these actions should be carried out considering accessibility for users and range of questions of exporting to foreign countries and possible ways of financing exporting those goods and services that are produced domestically.

At the end of the discussion on the structure of updated Guide, International Consultant and participants of the meeting agreed with the proposal of Mr. Atakhanov, the representative of “Bursel-TashkentTextile” Company on effectiveness of adding the information about certification procedures of exporting goods into the Guide. Proposal of Mr. Atakhanov about simplifying the Guide, so that it is also practically easy to use, was also approved, thus International Consultant agreed to consider it in accomplishment of the document.
Mr. Haydvaliev, representative of GJSC “Uzbekengilsanoat” offered to include sample of exporting contracts in English language for foreign companies. International Consultant has informed that links to internet sites with English language interface will be also provided to appendix of this document.

Offer of Mr. Ganiev, who is the manager of UNDP project on investments about enriching document with the information important for the foreign importers, interested in exporting goods from Uzbekistan, and consequently, preparation of related chapters of the Guide in English language was also discussed. In order to inform potential foreign importers, manager of the project has proposed to include in the document the list of goods being exported. As the result of discussing this issue, participants decided to include the list in “Catalogue of Exporters”, which is placed in internet site www.exim.uz. Besides, other issues related to structure of “Export Guide” were also discussed, thus International Consultant and other bodies involved to the project expressed their readiness to consider them in development of the document.
At the end of the working meeting Mr. Shaykhov, the Chairman of CCI thanked participants for active involvement in developing of this document and said that he hopes that the same activeness will continue in contribution to the implementation of BFU project in the future.

World Bank-funded project in Armenia – Hospital Management Support Project

UNICON, as consortium member, signed a contract for a World Bank-funded project in Armenia – Hospital Management Support Project.

The consortium is responsible for developing annual and three-year strategic plans for the Yerevan State Medical University Hospitals Merger and the Surb Astvatsamayr (Saint Marie) and Surb Grigor Lusavorich Medical Centers of Yerevan, consisting of: (i) Management Development Plans, (ii) Medical Care Development Plans, (iii) Development of monitoring systems, (iv) Requirements for investment and maintenance resources, and (v) Coordinate the strategic plans developed as described above with the appropriate authorities of the Ministry of Health and the Yerevan Municipality.

Stability in Afghanistan is critical for peace in the entire region and for linking Central Asia closely with the South Asia

Pakistan and Uzbekistan on Wednesday said that stability in Afghanistan was critical for peace in the entire region and for linking Central Asia closely with the South Asia. Prime Minister Shaukat Aziz and his Uzbek counterpart Shavkat Mirziyayev who held detailed discussions on wide ranging issues here at the International Business Centre said Iran, Pakistan, Uzbekistan and Afghanistan must work closely to forge stronger economic ties. The two leaders also discussed regional and international situation, with particular focus on the situation in Afghanistan. They pointed that a strong and stable Afghanistan was vital for peace in the region and can lead to provision of "safe and reliable" transport, energy and trade linkage for the mutual benefit of the people of the region. Prime Minister Shaukat Aziz said the changes in the region necessitate closer cooperation amongst the regional countries. He said Pakistan was working to have a safe and reliable road network with the Central Asian Republics and was looking at alternative routes for linking with these countries. Both the leaders pointed they have complete unanimity of views on major regional and international issues besides "shared interest" on fighting the scourge of extremism and terrorism. The Uzbek Prime Minister said his country considers Pakistan an important partner in South Asia and desires close links in all areas. He apprised him about his country's robust economic growth and development in industrial and energy sectors. The two sides also agreed on taking concrete measures to further strengthen their economic relations with focus on trade, transport and energy, besides collaboration on security matters. The two countries also signed agreements on transit trade and transportation, assistance in criminal and legal matters, MoU for cooperation between the International Islamic University and the University of Tashkent and another for cooperation between the Karachi Chamber of Commerce and Uzbekistan Chamber of Commerce. Pakistan and Uzbekistan also agreed to explore new avenues of cooperation in Science and Technology, education and banking, besides collaboration in, cotton and textiles, sugar and agriculture sectors and pointed that their strong diplomatic and political relations need to be translated into deeper economic interaction. During the talks the Prime Minister said Pakistan can extend cooperation in infrastructure development and provision of engineering services. Prime Minister Shaukat Aziz on Wednesday said Pakistan and Uzbekistan together can transform the economic landscape of the entire region by forging closer links in key areas of transport, trade, energy, investment and banking and finance. Addressing the Uzbekistan-Pakistan Business Forum here at the International Business Centre, the Prime Minister said the goals that the two countries have set were achievable, however pointed that both have a long way to go. The forum was also addressed by the Prime Minister of Uzbekistan Prime Minister Shavkat Mirziyayev who mentioned his country's economic achievements and the benefit the two states can have by forging closer economic cooperation. Prime Minister Shaukat Aziz said Pakistan and Uzbekistan had made encouraging progress in realizing the goal of establishing functional transport corridors and institutionalizing business linkages. "Our trade volume remains far from satisfactory and challenges such as the insurgency in Afghanistan have yet to be effectively tackled," he added. Prime Minister Shaukat Aziz on Wednesday said Pakistan was focusing on the road and transportation sectors to build linkages with the regional countries as it could boost trade and economic activity for the mutual benefit of all. Addressing a gathering of Pakistani community here the Prime Minister said an improved intra regional network of roads will benefit and bring economic dividends for all. He said Pakistan offers a short route for imports and exports of goods through Gwadar. He said with improvement of road conditions in Afghanistan, transportation will improve and more trade opportunities can be explored. He mentioned the quadrilateral transportation arrangement with China, Kyrgyzstan and Kazakhstan and said Uzbekistan can be added for the mutual benefit of both the countries. Aziz said the current volume of trade between the two countries was very small and there was scope for increasing it manifold. He said Pakistan was keen to open up a branch of National Bank to facilitate the business community. The Prime Minister urged the Pakistani community based in Uzbekistan to build linkages through closer cooperation with their Uzbek counterparts.

Winners of ADB's Central Asia-South Regional Electricity Market Project


SNC-LAVALIN INTERNATIONAL INC. in partnership with UBI Consulting LLC got ADB's project that is going to be implemented in all Central Asian counrties.
CONGRATULATIONS !!!
HOPE the consultancy work in Afghanistan will not be difficult :-)

Furthering Policy Reform in the Food Grain Subsector


ANZDEC (New Zealand) and UBI Consulting (Uzbekistan) successfully finished their work for the Asian Development Bank TA No. 4217-UZB Furthering Policy Reform in the Food Grain Subsector Project.


Congratulations !!!

The TA goal was to facilitate the development of business strategies and management systems to three agriculture service centers (ASCs) and rural business advisory centers (RBACs); (ii) build the capacity of RBACs to disseminate legal and technical advisory services on farm management and information on the potential gains and risks of operating private seed enterprises; (iii) assist the prospective investors in ASCs and seed companies to prepare business plans, upgrade operational management, and to secure required credit; and (iv) support Goverment review its food security and grain price stabilization policies.

FoodWorks


FoodWorks is proficient in the most up-to-date business methods and technologies. Through years of experience our team has gone to school in the art of doing business in Asia. Members of the FoodWorks team have negotiated contracts and installed food processing lines throughout Asia as well as acted as consultants to the food and agribusiness industries. In terms of specific work for individual projects, we will bring together experts with particular applied skills. The company is managed by: Geoffrey James Quartermaine Bastin (e-mail: http://www.ubi.uz/geoff@foodworks-asia.com).
FoodWorks and UBI Consulting (Uzbekistan) starts its' activity by specializing in a range of consulting services targeted to the Central Asian and Former Soviet Union countries. In particular we are working in Afghanistan, Kazakstan, Kyrghyzstan, Uzbekistan, Tajikistan and Turkmenistan.
For more information visit FoodWork web-site: http://%20www.foodworks-asia.com/ and http://geoff-foodworks-asia.blogspot.com/

CONSULTING IN CENTRAL ASIA

FoodWorks and UBI Consulting are affiliated companies specializing in a range of consulting services targeted to the Central Asian and Former Soviet Union countries. In particular we are working in Afghanistan, Kazakstan, Kyrghyzstan, Uzbekistan, Tajikistan and Turkmenistan.

UBI Consulting LLC is an Uzbek professional group providing services to customers across the public and private spectrum. The company was established in response to the increasing rate of change in international development in Uzbekistan and other countries of Central Asia.

UBI Consulting specializes in strategic studies, feasibility studies, and evaluation activities and project experience. The goal of UBI Consulting is to provide quality value added services and products through prompt, innovative, client oriented approaches with experienced technical staff and time tested partnerships with peers and clients. Also UBI Consulting provides advisory services to engineering and consulting companies in their acquisition of projects funded by the International Financial Institutions.

For more information on UBI Consulting contact Jamshid Ganiev on jamshid_ganiev@ubi.uz or look at our website at http://ubi.uz/index.htm

ADB Helping Central Asian Gateway Expand Coverage

TASHKENT, UZBEKISTAN - ADB is supporting the Central Asian Gateway Project to expand its coverage and strengthen efforts to build a network of research institutes in Central Asia and neighboring countries.

ADB will provide $76,500 for the joint project, according to a memorandum of understanding agreed among ADB, the Central Asian Gateway Project (CAG), its implementing partner the Uzbekistan Center for Economic Research (CER), and the United Nations Development Programme (UNDP). The UNDP and CAG will support the agreement through $13,450 worth of inputs of staff time and office facilities.

“The Central Asian Gateway is a valuable source of information for researchers working on development issues facing the region,” says Craig Steffensen, head of ADB’s Central Asia Regional Economic Cooperation (CAREC) Unit.

“We believe it can also be a powerful tool to help support greater regional cooperation, and are pleased to join forces with the Gateway and the UNDP to expand the project’s country coverage and support efforts to build a strong network of researchers interested in regional cooperation and integration among Central Asia and neighboring countries.”

CAG project activities currently focus on four Central Asian countries—Kazakhstan, Kyrgyz Republic, Tajikistan and Uzbekistan. The grant will help expand the program to include the remaining members of the CAREC Program, namely, Afghanistan, Azerbaijan, Mongolia, and PRC.

The grant will be used to help expand an existing electronic directory of think tanks to cover all CAREC countries, to pilot an informal forum of think tanks to support development of a consolidated position on regional cooperation, and to broaden the project’s database of statistical information on socio-economic development and cooperation in the CAREC region.

The CAG project (www.cagateway.org) was launched by CER in 2003 with support from the UNDP Regional Bureau for Europe and the CIS countries. It aims to facilitate knowledge sharing and information exchange and to promote networking among socio-economic research institutions and other development stakeholders in the region and abroad.

The CAREC Program is an alliance of eight countries and six multilateral institutions—ADB, European Bank for Reconstruction and Development, International Monetary Fund, Islamic Development Bank, United Nations Development Programme, and World Bank. CAREC’s overarching goal is development through cooperation, leading to accelerated economic growth and poverty reduction.

For the three-year period 2006-2008, the CAREC Program’s six partner multilateral institutions plan to provide approximately 42 loans totaling more than $2.3 billion in support of regional investments in the priority areas of transport, energy and trade-related infrastructure.

ADB Partners with Wolfensohn Center for Development to Assist Central Asia

WASHINGTON - The Brookings Institution’s Wolfensohn Center for Development and ADB will partner to support regional cooperation and integration in Central Asia and neighboring countries.

Under the partnership, the Center’s Executive Director, Johannes Linn, will serve as a Special Adviser to the Central Asia Regional Economic Cooperation (CAREC) Program, one of the premier regional organizations for Central Asia.

“We are pleased to begin this new partnership with ADB, which will extend our work to one of the key regions of the world, and one that is often neglected by the international community,” said Lael Brainard, Vice President for Global Economy and Development at Brookings.

“Central Asia is clearly of central importance for global stability and for the effective integration of the Eurasian economies,” Ms. Brainard said. “CAREC has an opportunity to make a significant contribution to support this goal and we are happy to support it.”

Mr. Linn will provide advice to CAREC’s eight participating countries and six multilateral agencies on the Program’s strategy and action plan; he will assist with high-level outreach to stakeholders in and outside the CAREC region; and will support the establishment of the CAREC Institute, which will undertake research, outreach and training on regional cooperation and integration in Central Asia.

“This partnership comes at an important time for CAREC. The Program has adopted a clear agenda and a detailed action plan for the coming years,” said Robert Siy, Jr., Director of ADB’s regional cooperation division for Central and West Asia. “We need to tap into the best thinking available to turn the plan into reality and improve economic opportunities for Central Asia.”
“The participation of the Wolfensohn Center for Development and Mr. Linn, with his exceptional expertise in Central Asia development and cooperation, will help push the program forward with new vigor,” said Mr. Siy.

CAREC is a regional forum set up in 2001 at ministerial level with strong support from ADB. Its principal purpose is to serve as a mechanism to facilitate regional economic cooperation and integration among the Central Asian countries and their main neighbors. Its regular participants are Afghanistan, Azerbaijan, China, Kazakhstan, Kyrgyz Republic, Mongolia, Tajikistan and Uzbekistan.

Innovative Project to Improve Livelihoods of Rural Women in Kyrgyz Republic

MANILA, PHILIPPINES - A US$2 million grant from ADB's Japan Fund for Poverty Reduction (JFPR), financed by the Government of Japan, will help develop the Kyrgyz Republic's handicraft industry improve the livelihoods of rural women.

During the winter season, the wool-based cottage industry, which is run almost exclusively by women, is often the only means to earn income in remote rural areas. Handicrafts produced – mainly felt, fiber, textile, leather, fur, and wooden articles – have been identified by a technical assistance from the European Union to be marketable and exportable.

The absence of appropriate equipment, however, is a major constraint, and there is considerable room for improving product quality. While some areas have handicraft centers for coordinating activities, the capacity of these is limited.

“This sector has significant potential to grow and, consequently, improve the lives of women and their families in rural areas,” says Asel Chyngysheva, an ADB Project Implementation Officer.
The grant project aims to improve the productivity, diversity, and quality of handicraft production, while establishing efficient marketing services and facilities.

The project will help organize the existing, mostly informal, handicrafts centers in rural areas. It will renovate and equip these centers; help establish a coordination and marketing center in Bishkek as well as a satellite center in the South; and build the centers’ technical, management, and marketing capacities.

“By empowering the women to market their products without the help of big businesses, this will eliminate exploitation and reduce marketing costs,” adds Ms. Chyngysheva.

The project will undertake nine pilot subprojects in Issyk-Kul, Naryn, and Talas oblasts, as well as subprojects in Batken, Djalalabat, and Osh oblasts afterwards.

The Government and beneficiaries will contribute $209,000 equivalent to the project’s total estimated cost of $2.2 million. The Ministry of Industry, Trade, and Tourism is the executing agency for the project, which will be carried out over about three years.

The JFPR was set up in 2000 with an initial contribution of $90 million, followed by additional contributions totaling $155 million in 2002, and annual contributions up to 2006 bringing the total amount to $360 million.

About ADB

ADB to Help Raise Rural Incomes and Production in Tajikistan

MANILA, PHILIPPINES - ADB will help raise household incomes in rural Tajikistan through a project backed by a US$17.1 million assistance package to increase productivity, introduce better land management, and develop the rural infrastructure.

Agriculture provides the major source of livelihood for more than 64% of Tajikistan's population and contributes about one quarter to gross domestic product. But despite this importance, the sector is still falling short of its potential to contribute to growth, poverty reduction, rural development, and exports.

Among the key constraints are sub-optimal farming decisions, an unpredictable business environment, extensive land degradation caused by salinity, waterlogging or soil erosion, scarcity of support services, poor infrastructure, and weak institutions. In addition, women face special problems that affect their equal access to resources, services, and opportunities.

Focusing on five raions (districts) – Raizabad, Rogun, Rudaki, Vahdat, and Varzob – located around the capital, Dushanbe, the project will tackle all these issues, introducing reforms on land use security, agro-processing, and marketing, and enterprise development.

It will undertake a nationwide pasture land assessment; prepare a road map of policy, strategy, legislation, and investment; provide essential agriculture and business support services, rehabilitate small scale but essential community infrastructure such as access roads and bridges, irrigation and drainage systems, and water supplies; and address land degradation.

“The project takes a holistic and coordinated approach to rural development to enhance opportunities and shift production away from subsistence farming to more commercial production,” says John Whittle, an ADB Principal Agricultural Economist.

“Without such action, incomes will remain low and rural poverty rates will stay high as low crop and livestock yields perpetuate an environment unconducive to commercial activity.”

The total cost of the project is estimated at $23.2 million, of which ADB will finance from its Asian Development Fund a loan of $8.8 million and a grant of $8.3 million. The loan carries a 32-year term, including a grace period of eight years. Annual interest is 1% during the grace period and 1.5% for the rest of the term.

The grant-funded segment will develop awareness of land management and business opportunities, a modern curriculum for pasture land management, train staff, and help raions to plan and maintain infrastructure.

The project is expected to be supported with a grant of $3.5 million from the Global Environment Facility. The Government will finance $1.65 million equivalent and beneficiaries will contribute $1 million.

The Ministry of Agriculture is the executing agency for the project, which is due for completion around the end of March 2014.

About ADB

Setting up Commission to Optimize Energy Management in Afghanistan

MANILA, PHILIPPINES - ADB is providing a grant of US$2 million to assist in the establishment of an Interministerial Commission for Energy (ICE) in Afghanistan.
The Commission will help the Government optimize the country's energy resource use and management to meet increasing power demands.
With all aspects of Afghanistan's energy sectors devastated over the last couple of decades of turmoil, development in the country is severely constrained by lack of power.
"There has been significant international assistance to Afghanistan's energy sector, but most of this has been for rebuilding of damaged infrastructure rather than improving technical, financial, legal, and commercial skills," says Robert Rinker, an ADB Senior Project Management Specialist.
"The establishment of ICE will fill a large void to help the Government understand, support, design, and monitor energy development based on commercial principles. It will have oversight of energy sector policy and infrastructure investments and coordinate support from development partners."
ICE will bring together a wide array of government and donor interests to assure coordinated action and practical planning. It will not be responsible for project implementation but will develop sound policy in line with fiscal and policy priorities and international standards.
The grant project will support the full establishment of ICE and the formation of a commercial advisory team within the Commission that will assist the Government in identifying energy investments and shaping ongoing projects. It will also assist the Government in paperwork and agreements to stimulate private sector investment.
The total cost of the technical assistance project is estimated at $2.3 million, of which the Government will contribute $300,000 to finance counterpart staff, office expenses, and other costs. The Ministry of Finance will be executing agency for the project, which is due for completion around February 2009.
About ADB

Innovative Project to Improve Livelihoods of Rural Women in Kyrgyz Republic

MANILA, PHILIPPINES - A US$2 million grant from ADB's Japan Fund for Poverty Reduction (JFPR), financed by the Government of Japan, will help develop the Kyrgyz Republic's handicraft industry improve the livelihoods of rural women.

During the winter season, the wool-based cottage industry, which is run almost exclusively by women, is often the only means to earn income in remote rural areas. Handicrafts produced – mainly felt, fiber, textile, leather, fur, and wooden articles – have been identified by a technical assistance from the European Union to be marketable and exportable.

The absence of appropriate equipment, however, is a major constraint, and there is considerable room for improving product quality. While some areas have handicraft centers for coordinating activities, the capacity of these is limited.

“This sector has significant potential to grow and, consequently, improve the lives of women and their families in rural areas,” says Asel Chyngysheva, an ADB Project Implementation Officer.
The grant project aims to improve the productivity, diversity, and quality of handicraft production, while establishing efficient marketing services and facilities.

The project will help organize the existing, mostly informal, handicrafts centers in rural areas. It will renovate and equip these centers; help establish a coordination and marketing center in Bishkek as well as a satellite center in the South; and build the centers’ technical, management, and marketing capacities.

“By empowering the women to market their products without the help of big businesses, this will eliminate exploitation and reduce marketing costs,” adds Ms. Chyngysheva.
The project will undertake nine pilot subprojects in Issyk-Kul, Naryn, and Talas oblasts, as well as subprojects in Batken, Djalalabat, and Osh oblasts afterwards.

The Government and beneficiaries will contribute $209,000 equivalent to the project’s total estimated cost of $2.2 million. The Ministry of Industry, Trade, and Tourism is the executing agency for the project, which will be carried out over about three years.

The JFPR was set up in 2000 with an initial contribution of $90 million, followed by additional contributions totaling $155 million in 2002, and annual contributions up to 2006 bringing the total amount to $360 million.

http://www.adb.org/Media/Articles/2007/11364-kyrgyztan-livelihoods-projects/default.asp

BAS Programme

The Central Asia BAS Programme assists enterprises in Kazakhstan, the Kyrgyz Republic and Uzbekistan through the provision of practical business advice.

Central Asia BAS was initiated in 2001 with funds from the Japan Europe Cooperation Fund (JECF). Now funded by the JECF and the Swiss State Secretariat for Economic Affairs (seco) and operated by the EBRD's TAM/BAS Programme Team, the Central Asia BAS Programme aims to assist locally-owned, private small and medium enterprises in Kazakhstan, the Kyrgyz Republic and Uzbekistan to achieve their development and growth objectives. The programme achieves this by helping SMEs hire business consultants for advisory projects that enable the enterprises to enter new markets, improve internal operations and products, reduce operating costs, gain access to financing and plan future business operations. Small management teams in Almaty, Bishkek and Tashkent develop and initiate between 5 and 10 new projects per month, and regional offices in 4 cities in Kazakhstan and 3 cities in Uzbekistan allow the Programme to work directly with the enterprises that need its support the most.


For more info. visit: www.basp.biz

Company Profile: MNT

MNT consulting is an international Project Management and Consultancy company. MNT Consultancy represented throughout the Commonwealth of Independent States (CIS). MNT has established long term partnerships with many companies and organisations around the world.

The primary objectives of the first four departments is to work with external Donor / Aid agencies, Governments, non-governmental organisations (NGOs) to assist the Commonwealth of Independent States (CIS) countries with transitional economies, with regional projects.

For more info. visit: http://mntconsulting.org

Company Profile: IKS

Islohotkonsaltservis Ltd. (IKS Consulting) is the company which specializes in provision of consulting services in Uzbekistan and other developing countries. IKS was established in 2001 in Uzbekistan, and currently is one of the largest independent consulting companies in Central Asia. The company employs over 50 specialists of different nationalities within the head office in Tashkent and liaison offices in Bishkek (Kyrgyz Republic), Dushanbe (Tajikistan), Baku (Azerbaijan) and Kabul (Afghanistan). In addition to the permanent personnel, IKS employs highly qualified international and domestic consultants on a contractual basis for the specific Project needs. The company has a database of over 2,000 consultants from which it can identify and mobilize professional staff at short notice

For more info. visit: http://iks-company.com/

Company Profile: GBS

Global Business Services (GBS) is a consulting company specializing in business optimization and business improvement services, with a particular emphasis on financial advisory, institutional strengthening, and turn around management consulting services. GBS is an Uzbekistani company rendering top quality services in line with practices of reputable international consulting and auditing firms. Its team of western educated and trained specialists, supported by the extensive network of local and international partners, allows GBS to offer top quality services at moderate costs.

For more info. visit: www.gbs.uz

Perfect your CV / Resume

Perfect your CV / Resume - for you only have a few seconds to impress!

The challenges faced by candidates today are completely different from those you will have encountered when you last changed jobs or embarked on a new career. We recognise that many talented individuals are becoming increasingly frustrated by the online application procedure - and are potentially missing out on some tremendous career opportunities as a result. If you feel this sense of frustration - or simply want your CV to look as professional as possible - we would very much like to help.

Background

Internet job boards are increasingly becoming the most important advertising channel for HR managers and Recruiters.

The biggest downside of internet channels is a major increase in the volumes of applications that recruiters must now review. Candidates can increasingly select jobs and submit CVs in a matter of minutes, where postal applications might have taken hours. The reality is that the time HR managers can now spend to review each incoming CV has been slashed to cope with the volumes. As a candidate you need to make sure your major selling points jump out at the reader the moment they open your CV.

Given the importance of these first impressions, you should assume therefore that you have no more than a few seconds to impress when the recruiter opens your email CV / Resume. This may well mean your CV / Resume needs to be totally rewritten - and almost certainly modified. We're here to provide the expert guidance you need to perfect your CV.

"Our mission is to provide you as a candidate with impartial, time-critical advice that will help you perfect your CV and fulfil your professional goals"

Top-Consultant's network of recruitment specialists are experienced consultants who have worked for leading firms such as McKinsey, PA Consulting and Mercer Management Consulting. As such our team understand the changes that have been occurring in the recruitment market and can help give your online applications greater impact. Our specialists can also provide you with an honest assessment of your potential, unclouded by client relationships or bias.
Our CV / Resume Reviewing service provides a one-stop-shop where you can quickly have your CV reviewed and assessed. Our team are dedicated to providing personal feedback on how you can improve the success of your applications. Submit your CV today and our team guarantee to get back to you with comprehensive suggestions within 5 working days. Our low-cost service comes with a money-back guarantee, so you really have nothing to lose.

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Consultants Workshop in London

What actions could you take in the next weeks that would literally transform the volume of client enquiries you receiveover the remainder of the year? If you are responsible for securing consulting assignments for your firm then find outfurther details by visiting:http://top-consultant.net/dbm83/l.html?30535&134966&ID=148


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Company Profile: Sert Management

SERT MANAGEMENT LLC is an Official Partner and Representative of Internationally Recognized German Certification Body RWTÃœV (RWTÃœV Central Asia, TÃœV NORD Group) in Uzbekistan.

Our company offers the whole complex of Certification services, in a view of recognizing the activity of Uzbek enterprises on International market, as well as conducting trainings for personnel on Management Systems according to International standards. For today, together with RWTÃœV (TÃœV NORD Group) company we have trained more than 1000 specialists in Uzbekistan on ISO 9001 International Standard and certified approx. 40 companies, among which are such leaders of national economy as Shurtan Gas and Chemical Complex, Fergana Oil Refinery Plant, Almalik Mining and Metallurgical Combinate, Tashkent Aircraft Production Corporation named after Chkalov and many others.

For more info. visit: www.sert-management.uz

Company Profile: UBI Consulting


UBI Consulting LLC is an Uzbek professional group providing services to customers across the public and private spectrum. UBI Consulting was established in response to the increasing rate of change in international development in Uzbekistan and other countries of Central Asia. The company specializes in strategic studies, feasibility studies, and evaluation activities and project experience that each UBI consultant brings to assignments.

UBI Consulting perceives international development as countries pursuing interests in growth beyond their own borders and involving the education of future generations. This requires the support of the respective government, major international development agencies, non-government organisations, corporate exchanges, and private citizens in developed and developing countries. Development agencies and private clients are requiring more flexible solutions to development problems and sharing of experience through new linkages between international consultants and domestic consultants in developing countries. UBI Consulting believes that development is increasingly a continuing learning process of collaboration between stakeholders contributing towards common goals. The company sees itself as a learning organisation that will continue to evolve and grow in response to changes in the environment affecting development. At the same time UBI Consulting is committed to providing local expertise and experience to its international partners to achieve best possible project outcomes.

For more info. visit: http://www.ubi.uz/

Company Profile: The Inter-Regional Marketing Centers

The Inter-Regional Marketing Centers (IMC) Network is a unique consortium of regional information and marketing companies working in close contact with local administrations, unions and associations of entrepreneurs, other enterprises and structures interested in adjustment of horizontal economic ties between Russian regions and other countries. Initiated by the Moscow Government, the Network managed to become really all-Russia and international.


For more info. visit: www.tashkent.marketcenter.ru

Company Profile: Avesta Investment Group

Avesta Investment Group, CJSC ("Avesta") is an Uzbekistan-based investment banking firm providing tailor-made solutions for corporate clients with operations in Uzbekistan and other countries of the former Soviet Union or potential investors considering to enter this region. The major focus is made on assignments involving advice on privatization, mergers and acquisitions, corporate restructuring and business process optimization issues. We assist our clients in raising capital in local debt and equity markets and in identifying potential investors, partners or investment targets using the extensive relationship network built on personal relationships of Avesta's partners established over the years of experience in the banking and securities industries. A major part of Avesta's efforts are devoted to the capital markets and corporate research.

For more info. visit: http://www.avestagroup.com/

Company Profile: SKS

SKS is one of the leading consulting companies in Uzbekistan providing business advisory, training and ISO 9000 related services. It currently includes specialists in various fields, such as ISO 9000 implementations, training, enterprise restructuring and institutional strengthening, privatization, MIS, management consulting and marketing. Members of our team are consultants with an excellent track record of high quality consultancy, with a particular focus on generating value adding deliverables.

For more info. visit: http://www.sks-consult.com/

Company Profile: MBM Group

MBM Group is one of the leading Uzbek private Business Training and Consulting Companies operating in Uzbekistan as well as in the Central Asian Region and other CIS countries.

MBM Group provides a wide range of services in business training and consulting, market analysis and research, project planning research and concept elaboration, workshop moderation as well as establishing business contacts, organizing seminars and delivering interactive training methods.

For more info. visit: http://www.mbm.uz/

Consulting: is it for everyone?

What are the most important skills the consultant should be proud of in order to be really good?

Most of prominent advisors say the basic requirements are:
- Self motivation.
- Being proactive.
- Negotiation skills.
- Diplomacy.

First let’s make clear what the consultants do.

The consultants usually analyse the current situation first, afterwards point out the areas which need improvement and then prepare a crafted solution that should be implemented by the company-client.

What you should know is that although the consultants are experts in their area of interest, they have to in fact have an open mind and possess knowledge in various areas, be well informed of the changing world in all areas of economics, no matter whether it is finance, accountancy or management.

The proposed solution should be a so called ‘best choice’ from all possible alternatives – in order to achieve that, they need a holistic view on the company.

Here comes self motivation, it is not possible to be a good consultant without constantly improving knowledge and broadening interests.

What is even more important for the consultant is to be proactive rather than reactive.
Some companies need help to deal with current problems – the consultants may help. Nevertheless, the actual role of the consultant is to predict future and try to in fact to prevent possible problems or furthermore propose a way of development that would lead to success of the company-client.

The consultant has to be creative and open minded - foresee the opportunities and make the most of them.

The consultant has to be a good negotiator and facilitator. It is not enough to present the solution, it has to gain support of the managers from the company-client.

The managers who will in fact implement the solution have to believe in its suitability and then they can work on its coming alive. People are usually reluctant towards change, a good facilitator could make the change easier to accept for them.

Last but not least, diplomacy is vital: sometimes you have to tell people things they do not want to hear.

Every person who wishes to be a consultant should ask himself a question about the above skills and if the answer is yes, just try it in practice.

However do not forget that sometimes it is wiser to work in a team – the brainstorm advantage.


Author: Linda Szkolka

New Training Manuals for Water Users Associations

As part of the on-going projects on water sector and agricultural reforms in Uzbekistan, IWMI in Central Asia is actively collaborating with the ADB and World BAnk funded projects to produce a set of four manuals to train and guide water users associations in Uzbekistan. The four volumes of the training manuals are as follows:
  • WUA Formation and Development
  • WUA Financial Management
  • WUA Operations and Maintenance (O&M)
  • WUA On-Farm Water Management

The manuals will be produced in English and Uzbek.

The manuals rely upon several sources, including materials generated from the fieldwork done by the ADAS and IWMI teams, as well as the following source documents.

  • Laws and decrees of the Republic of Uzbekistan
  • Manual for Creating Water User Associations on the Territory of Restructured Agricultural Enterprises, Based Upon Decree No. 8 of the Uzbekistan Republic Council of Ministers, written by the Ministry of Agriculture and Water Resources in 2003)
  • Social Mobilization and Institutional Development Approach and Strategy, 2002, Mehmood Ul Hassan and Nargiza Nizameddinkhodjaeva for the IWMI-SIC project funded by SDC for Integrated Water Resources Management in the Ferghana Valley
  • How to Establish a Water Users Association?:Practical Steps for Social Mobilizers, published March 2003, International Water Management Institute and Scientific Information Center of the Interstate Commission on Water Coordination for the IWMI-SIC project funded by SDC for Integrated Water Resources Management in the Fergana Valley
  • A Brief Commentary on the Kyrghyz WUA Law for its Adoption as a Model by Uzbekistan and Tajikistan and Pre-Conditions to Establish WUAs/WUFs in the Ferghana Valley, 2002, Igor Petrakov for the IWMI-SIC project funded by SDC for Integrated Water Resources Management in the Ferghana Valley
  • Manual on Formation and Empowerment of WUA, 2003, Piet Van Der Boom for the World Bank Uzbekistan Rural Enterprise Support Project
  • Training materials of the World Bank Kyrgyz Republic On-Farm Irrigation Project, in particular the WUA Establishment & Development, Financial Management, Engineering (O&M) and the Water Management Modules
  • Manual Concerning Organizational and Legal Matters in the Formation of Water User Associations and the Manual for Hydro-Technicians of Shirkats and Water User Associations, 2000, under Norboy Ghoyibnazarov's direction by the Mirob-A Directorate of the Ministry of Agriculture and Water Resources for the World Bank's Uzbekistan Cotton Sub-sector Improvement Project
  • Taxation and Accounting in Non-Commercial Organizations of Uzbekistan, 2003. International Center for Non-Profit Law and published with the financial support of the Open Society Institute
  • Rehabilitation of Irrigation and Drainage Infrastructure - Design Guidelines, July 2003, Mott MacDonald - Temelsu Joint Venture in association with Uzdavmeliosuvloyiha Design Institute for the ADB Loan No 1833-UZB - Ak Altin Agricultural Development Project, Ministry of Agriculture and Water Resources, Rural Restructuring Agency
  • Survey of Tax Laws Affecting NGOs in Newly Independent States, 2003, International Center for Non-Profit Law.

The series is the result of active cooperation between the ADAS team of consultants of the Asian Development Bank's (ADB) technical assistance project (TA 3706-UZB) Institutional Support for Sustainable Agricultural Development (ISSAD), in support of the ADB loan project (Loan No. 1833-UZB) Ak Altin Agricultural Development Project (AADP) and the staff of the project for Integrated Water Resources Management in the Ferghana Valley (IWRM-Fergana) which is funded by SDC and managed by IWMI and SIC-ICWC.

European Society for Central Asian Studies Tenth Conference on Central Asia

Sharing Experiences and Prospects

December 20, 2006 - September 13, 2007

The European Society for Central Asian Studies invites panel and paper proposals for its Tenth Conference, to be held in Ankara, Turkey. The event will be organized by the Center for Black Sea and Central Asia, the Middle East Technical University. The ESCAS Xth Conference provides Central Asian and European researchers with a golden opportunity to study and to exchange views on Central Asia; its past, present and future.

Contact person kora@metu.edu.tr
Event's website: Open
Organizers:: Academia
Participants: Academia
Event type: Summit/Conferences

How to Avoid Discounting Services in Consulting Proposals

Last minute discounting has become so prevalent among professional services firms that many have come to depend on it as their default sales strategy. Employing a go-to-market strategy of being the lowest cost provider is one thing, but dramatic, tactical discounting on every deal will erode your company's margins and leave you digging a deeper and deeper hole in which your firm will ultimately bury itself.

I don't want to give you the impression that discounting is never appropriate. I can think of three scenarios where it is required:

  • When a firm has mis-priced their offering. Let's face it. Times have changed. Competition is fierce. And yes, as much as we don't like to admit it, prices and fees have been forced down in some markets. If everyone else is now selling what you sell for $100 an hour and you're still selling it, just as you always have, for $200 and you can't prove you can deliver a dollar's worth of additional value for the client, your pricing is too high--way too high. Call it a discount, or call it a price adjustment, in this situation you've got face reality and sell your products at a price the market will bear, or you won't sell very much at all.
  • As a token concession to close the deal. I don't see a problem with "rewarding" a buyer for signing an order within your timeframe, for example. Understand, I would much rather provide other concessions that don't cost my firm money and don't educate my client that whenever I am going to ask them for an order, I am going to give up part of my margin and commission. But I do live in the real world and understand that for my clients, pricing concessions are sometimes required to get the deal signed.
  • When you haven't done an adequate job of selling the unique business value your product or service will provide the client. My clients will tell you I am never happy in a situation like this, but if you've not done the best selling job, and there is some room for a discount, and you need the deal, discounting may be better than losing the deal on principal.

How do you avoid discounting?

I talk a lot in my book, How Winners Sell, about the fact that to succeed in business to business sales today, you must sell business improvement, not products or services. That means differentiating yourself from your competition in the unique value you, your products and services, and your company can provide toward your client achieving their corporate, divisional, business unit, department, or government agency goals.

Have you transitioned into the mode of creating client demand by targeting accounts--getting in before they know they have a need, and establishing yourself as a knowledgeable, trusted, and patient advisor? If not, you'll continue to be on the receiving end of all sorts of one-sided client demands, mostly taking the form of answering requests for information, doing presentations, demonstrations, fighting the constant battle against having your offering commoditized by the client, and being on the receiving end of strong demands for discounts.

We've been taught over the years to bundle our products and services where possible to provide the client with a single investment number. That way, we were told, they can't nickel and dime you, and can't slice up your offering, able to say no to pieces they don't want or need. But now times have changed and when you think about it, that's exactly what you want to do.
If you sell products or services that can be componentized, sold in pieces or modules, or in phases, you're potentially in good shape.

Scenario

You know your competition is going to come in with a substantial discount, as they have before. Your sales effort must include:

  • Assuring yourself that the client is not making a decision solely or primarily on price. This question must be asked again and again of key decision makers.
  • Getting agreement from the real buyer that you understand their business objectives and that your offering can help them achieve those objectives. This method does not work unless you are dealing with the real buyer.
  • Finding unique areas of additional value (on top of their existing requirements) that you can provide through the capabilities of your product or service offering.
  • Management support for potentially selling part of your offering now, and the rest later on rather than selling the whole thing at a discounted price.

In cases where you know your competitors will be discounting, you'll need to offer several investment options to your client. Alan Weiss, the consultant's consultant, suggests providing three opportunities for them to say yes.

If you offer your prospect three options to buy--let's say for the sake of labels, Platinum, Gold, and Silver--and you've done a good job of selling the business value of your offering--you can avoid having to concede more than a nominal discount.

Your plan here should be not to discount, but rather to back value out of your proposal to meet the prospect's desired investment level. Presenting three options lets you do exactly that. The client gets to determine how much they want to invest and will enjoy the resulting ROI associated with that level of investment.

Here are the three options:

The Platinum Option
- Gets the client what they need (and want)
- Highest level of investment. You might ask for a 10-30% premium over the Gold level for this option, depending on the value you believe you can deliver to the client.
- All the features, modules, components, capabilities available
- Your best resources
- Quickest time to value
- Priority service -- A special 800 number, top of the queue, 24 x 7 x 365
- The highest ROI
- Other perks, such as quarterly meetings with your CEO, special invitation events, input into your product development plans;

The Gold Option
- Gets the client all of what they need (and a few wants)
- Budgeted level of investment. This is aimed right at the prospect's budget level.
- Most/many of the features, modules, components, capabilities
- Proven, talented and dependable resources
- Quick time to value
- An attractive ROI
- Other perks, such as quarterly meetings with your VP of Service, special invitation events

When your prospect tells you your competition has come in with a very low price, you discuss calmly with them the fact that you have an option (the Silver option) that will provide them with what they need at a competitive price. You will already have differentiated yourself from the competition in a number of areas: understanding the client's business, industry, opportunities, challenges, competitive and client pressures, and built rapport with the real buyer. In addition, you've professionally educated your prospect on the risks that befall companies who depend on tactical discounting to win.

The Silver Option
- Gets the client most of what they need now, and the rest in "phase two," next quarter or next year
- The lowest level of investment, aimed 10-30% below the Gold level, depending on how severe a discount the competition is going to offer
- Some of your total array of features, modules, components, capabilities. The rest can be purchased later.
- Talented and dependable resources
- Reasonable time to value
- An ROI that meets their corporate requirements

What will the client do? The may tell you they want your Platinum option at the Silver price. If you've done an effective job selling the business value of your product or service and built a relationship with the real buyer based upon trust, you can look them in they eye and tell them it just isn't possible. What will they do then? My clients tell me that more often than not, they'll go for the Gold or Platinum option

CAREC Program

The CAREC Program is an ADB-supported initiative that seeks to encourage economic cooperation among countries in the Central Asia region


Role of Economic Cooperation in Central Asia

After gaining independence in 1991, the former Soviet republics in Central Asia faced the twin challenge of nationhood building and transition to a market-based economy. These tasks were made particularly formidable by a number of specific long term development factors (LTDFs) characterized by:
  • landlocked location and remoteness from major world markets
    small domestic markets
  • rational use of complementary resource endowments especially in water and energy.

These challenges combine to suggest that developing regional markets would save large transport costs, exploit scale economies, and yield gains from trade, including those based on resource complementarity. Effectively meeting these challenges to realize such gains and raise the living standards of the people requires joint action of the countries in the region. This is the fundamental rationale for regional economic cooperation.


Xinjiang Uygur Autonomous Region PRC is the western-most territory of the PRC, bordering the Central Asian republics (CARs). While the development path it has followed in the past decades differs from that of the CARs, it faces similar LTDFs as the CARs, and thus has similar needs for economic cooperation.

Objectives and Approach

The overall objective of the CAREC Program is to promote economic growth and raise living standards by encouraging economic cooperation in the Central region. The Program has focused on financing infrastructure projects and improving the policy environment for promoting cross-border activities in the areas of transport (especially road transport), energy (including the water-energy nexus), trade policy and trade facilitation (especially customs cooperation).
The Program reflects the four strategic objectives of ADB's regional cooperation strategy for CAREC:

  • securing access to profitable markets in large neighboring countries for exports from CARs
  • reducing transaction costs and facilitating transit and transport across the region
  • improving energy supplies for sustaining growth
  • preventing negative regional outcomes such as environment degradation, desertification, human and drug trafficking, and the spread of communicable diseases

Donor Coordination and Cooperation

CAREC provides scope for interagency collaboration and coordination among ADB's major multilateral development partners


European Bank for Reconstruction and Development (EBRD)*
International Monetary Fund*
Islamic Development Bank*
United Nations Development Programme*
World Bank*

NGOs in Central Asia

NGOs began to appear in Central Asia in the transition period following the collapse of the
Soviet Union. Their numbers have increased rapidly in four out of five post-Soviet Central
Asian countries [1]over the last five or six years. This would not have been possible without
the support of international organizations and programmes.

Though civil society encompasses political parties, religious organizations, trade unions,
sports clubs and professional associations as well as NGOs, their role varies greatly. In some
spheres they have a lot of influence; in others they are relatively weak. The role of NGOs is
accepted in social welfare but less so in more ‘political’ areas like human rights.

Figures for size of the NGO sector are hard to come by. According to one estimate,[2]
Kyrgyzstan has the most NGOs (1,001), with Kazakhstan and Tajikistan coming next (699
and 595, respectively), followed by Uzbekistan (465) and Turkmenistan (138).


Government attitude to NGOs

These very different figures reflect wide differences in relations between the state and NGOs.
At the very beginning of the transition period there was a lack of understanding throughout
the region of the role of NGOs in the development of civil society – indeed, of their role in the
development of society as a whole. There is a sense in which the Western concept of civil
society has been artificially attached to society in Central Asia and to the transition process.
Much time and effort will therefore be needed before the concept is absorbed and assimilated.
Not surprisingly, then, although NGOs are set up to help solve social problems, some
governments in Central Asia tend to view them as anti-governmental organizations.

Some governments have promoted a much more ‘enabling environment’ than others. In
Kyrgyzstan and Kazakhstan, NGOs are gradually moving from providing social services for
their target groups to engaging in a dialogue with the state to discuss new legislation. NGOs
in Tajikistan showed great promise when they first emerged in 1992, but the civil war in that
country, coupled with a crippling drought and the establishment of huge humanitarian aid
programmes, stifled that early development. However, a few strong NGOs survived and
gradually the sector is picking up again. In Uzbekistan, there are many registered NGOs
(especially women’s NGOs), but the regime is authoritarian and fairly difficult to work with.

Development of the sector thus lies behind that in Kazakhstan and Kyrgyzstan.
Finally, Turkmenistan has a regime under which very little NGO activity is possible. There is
no NGO law and it is very difficult to register an organization. This is the one country in
Central Asia where the Open Society Institute has no office, supporting very limited activities
direct from New York.


Rural-urban divide

In all countries but Kyrgyzstan the majority of NGOs are concentrated in the capital cities.[3]
Although all the Central Asian republics have large rural populations, NGO development in
rural areas is mainly weak. This is largely because the representative offices of international
organizations are situated in the capitals, where people have more access to information. It is
difficult for people living in remote regions to travel to the capital cities because of the cost of
transport – especially in Kazakhstan, which has such a vast territory.

While in Soviet times differences in living standards between urban and rural populations
were not so marked, because the state provided free education, health and social welfare
services, there is now a sharp difference between city and village. More generally, society is
becoming more stratified, more polarized between rich and poor, with poor people comprising
the overwhelming majority.


Soviet organizations and GONGOs

During the Soviet period, public organizations such as trade unions, the creative unions of the
intelligentsia and the voluntary society of the Red Cross had to implement state policy in the
social or economic spheres. Some organizations which organized ‘voluntary’ activity in the
past, like the ‘Comsomol’ (youth movement), have now lost public funding and institutional
support.

After achieving independence, quasi-NGOs, which were established by the state, began to
emerge, especially in Uzbekistan. These organizations often had certain privileges, such as
preferential taxation. Sometimes they were simply Soviet-era organizations under a new
name. Often referred to as GONGOs (governmental NGOs), they can play a useful, if less
independent, role.


NGOs and donors

International organizations working in Central Asia have played a major role in the
development of NGOs in the region. This has taken the form of providing training
programmes and technical assistance as well as giving grants to local NGOs for the
implementation of social projects.

A number of international organizations provide training programmes for NGO leaders in
such areas as planning and management. However, much of this training is built on the
experience of Western organizations, and is not always relevant or meaningful to local people,
whose traditions, culture and values differ considerably from those of the West.

The question of NGO governance – specifically, the reasons for creating a board of directors
as the governing body – is causing heated discussions among NGO leaders at the moment.
One problem is that the role and functions of governing bodies are not precisely determined in
current NGO laws. Throughout Central Asia, a board of directors is usually associated with
direct supervision – something which people who have established their own organizations
generally do not welcome. This means that a board of directors often exists in name alone,
just to meet donors’ requirements.


Donor dependence

Central Asian NGOs depend almost entirely on external donor organizations. NGOs know
more about the priorities and needs of international organizations than about their own
constituents and their needs.

On the one hand, many NGOs are created simply to get grants because the founders of the
organization are trying to solve their own economic problems. The new organizations often
rewrite the programmes and projects of other organizations which already have financial
support. Such organizations often operate programmes within very restricted themes (women,
youth, environmental, etc) and frequently change their field of activity.

For example, there has been a recent mushrooming of crisis centres for women, especially in
Uzbekistan, as a number of donor agencies have begun to work in this area. This is an
important area of work, but it is not clear how the need was identified or who created the
strategy. Some years ago there was an escalation in the number of ecological NGOs, mainly
in the Aral Sea region, reflecting the large amount of international attention being paid to the
catastrophe of the Aral Sea at that time. An area that is becoming very ‘fashionable’ now is
advocacy, ie activity to protect and promote the rights and interests of citizens. This activity is
directed mainly at increasing the legal literacy of the population, preventing domestic
violence, disseminating information on the rights of women, children and disabled people.

But one must question how much can be achieved, for example, in terms of raising literacy
levels among women or reducing crime levels among young people in one year – the average
length of time for which projects in Uzbekistan are funded. After that, even if the programme
is successful, NGOs have to write a new application for it to continue, either to the same
donor or to another. Or they begin a completely new activity and new projects.

It is worth noting here the more positive approach taken by some European donors in
Kyrgyzstan, which provide long-term financing for NGO programmes, including
organizational development. This makes it possible for NGOs to bring in foreign consultants,
create a team, work out a development plan for the organization, build relationships with the
community and other players – and for a time to forget about having to look for money, which
continually bedevils NGOs that are implementing short-term projects.

The involvement of local organizations in developing international programmes and in
working out the best ways to implement projects may lead to more stable development of
NGOs. Unfortunately, Central Asian NGOs have very limited capacity to lobby international
organizations and so influence donor agendas, partly because of the lack of strong NGO
coalitions in Central Asia. This is partly because donor funding practices promote rivalry and
are an obstacle to such coalitions – though it is the NGOs that must overcome this in the first
instance.

If NGOs are to become sustainable, they need to be able to develop long-term programmes.
Some NGOs, especially newly created ones that are implementing small projects, lack the
means even to support an office and staff. Small grants for needs assessment to help NGOs
looking to develop a long-term strategy might sometimes be helpful.


NGOs and government

One can certainly find positive examples of cooperation between NGOs and local
governments in solving social problems. Areas of joint working include educational work on
the rights of women and disabled people, measures to prevent the spread of tuberculosis and
AIDS, and workshops and retraining for the unemployed. Rising unemployment, especially
among women and youth, is a very serious problem in Central Asia, leading to criminality
among young people, drug addiction and prostitution, and children working long hours in the
market.

On the other hand, NGOs can find their activities completely ignored by the state. This is
certainly true of Uzbek NGOs working to protect human rights or prevent ethnic conflicts. It
is usually difficult to register such organizations and the local authorities pay no attention to
the problems they are uncovering.

According to many NGO leaders, establishing dialogue and good relations depends mainly on
the particular individual who occupies one or another senior post – in so far as this individual
is ready to take responsibility for solving the problems rather than referring the matter to a
higher level of authority.

In this connection it is interesting to note that the policy of several governments in Central
Asia is to decentralize power, ie to transfer authority to local self-governing bodies. This has
moved ahead fast in Kyrgyzstan but is more complex in bigger countries like Kazakhstan.
However, as the experience of Uzbekistan shows, the leaders of local self-governing bodies
need to improve their own understanding of the law and develop skills in planning, conflict
resolution, and the development of small businesses and local infrastructure.

In fact, improvement in democratic decision-making processes needs to happen at all levels.
Local leaders may refuse to make decisions not because they are unaware of their legal right
to do so but rather because, often with some justification, they fear repercussions if their
‘superiors’ disagree with the decision. Finally, there is the issue of corruption – a serious
problem throughout the region. Unfortunately, there are few special education programmes
for local government leaders that focus on the concept of development, including the role of
CSOs in the development of a democratic society.


NGOs and community

How can citizens and citizens’ organizations succeed in influencing the course of political,
economic and social change? Most people feel that outside help is needed to achieve
anything, for example to ensure that roads are repaired or that communities have drinking
water and gas.

The experience of existing international programmes in the region suggests that the most
important factor in success is developing feelings of ownership among members of the
community affected. Many NGO representatives are beginning to realize that working with
communities cannot be limited to one-off time-limited projects. It is essentially a long-term
activity.

Unfortunately, most NGOs lack know-how and experience in developing local communities,
mobilizing local resources and establishing community-based organizations. To do this, NGO
workers need specific training in working with communities, using tools such as participatory
appraisal and analysis of problems to identify priorities, elaborate a community action plan,
and monitor implementation.

Following the tragic events in the USA and the war in Afghanistan, new programmes are
planned for the region (eg USAID). Are local communities ready to absorb the grants and
implement projects in rural areas? Past experience indicates that although the sums of money
may be large, the time frame for spending it is disproportionately small. One danger is that
awarding grants to some organizations but not others will cause conflicts among members of
a community?

In order to avoid such negative consequences, we must ensure that new programmes include
elements of education and training on relevant issues both for NGOs and for those working in
the state sector. Transparency on the part of both local and international organizations may
also be a key factor in success. More involvement of local people/NGOs in building strategies
and programmes may be another.

Particularly in small rural communities, it is very important that people should know exactly
what has been done, how much money has been spent, how many people will benefit from
particular projects or programmes, and to what extent the results actually meet the needs of
target groups.