CAREC Institute

The Eighth #CARECThinkTankDevelopmentForum (#CTTDF) will be held on August 27-28, 2024, in Almaty, Kazakhstan. This forum aims to address regional climate challenges by fostering collaborations for policy recommendations and joint research. The theme, “The Climate Challenge: Thinking Beyond Borders for Collective Action,” focuses on global climate governance, balancing economic growth with carbon reduction, and innovative climate finance solutions.

Электронный информационный бюллетень Института ЦАРЭС, июль 2024

A new study titled “Determinants of household energy use in the Fergana Valley” published in the Central Asia Journal of Sustainability and Climate Research, co-authored by Dr. Hans Holzhacker, Chief Economist at the #CARECInstitute (CI), and Dr. Botagoz Rakisheva, an expert from the Public Opinion Research Institute (PORI), sheds light on the socio-economic factors influencing household energy choices in the Fergana Valley. The research, based on a comprehensive survey conducted by CI, PORI, and the Asian Development Bank Institute in the Kyrgyz Republic, Tajikistan, and Uzbekistan, uncovers a significant challenge: despite high awareness of the environmental and health risks associated with fossil fuels, coal remains the dominant energy source in Uzbekistan’s and the Kyrgyz Republic’s part of the Valley, though less so in Tajikistan’s part. The study reveals that current household expenditures on coal and knowledge of its harmful effects are not sufficient to drive a shift toward cleaner energy alternatives. To catalyze this transition, the authors recommend substantial policy interventions, such as imposing a sales tax on coal or removing existing coal subsidies. However, with households already spending up to one-third of their income on energy, these measures must be carefully balanced with compensatory initiatives to prevent social hardship. The report highlights the critical need to accelerate electrification efforts, particularly by expanding renewable energy sources like solar, wind, and hydropower. To support this transition, the study calls for stronger regional cooperation, enhanced grid connectivity, and increased electricity trade. The authors stress the importance of policies that incentivize clean energy adoption while protecting vulnerable households from potential economic strain. The full study is available through the Central Asia Journal of Sustainability and Climate Research and can be accessed via DOI: https://lnkd.in/g93vifbc

The #CARECInstitute (CI) is pleased to announce its 4th Annual Research Conference, themed “Rethinking Development Strategies: Green, Innovative, and Inclusive Development for the CAREC Region.” Scheduled for August 29-30, 2024, in Almaty, Kazakhstan, this conference is co-organized by the College of Social Sciences and the China & Central Asia Studies Center at KIMEP University, along with the ADB-PRC Regional Knowledge Sharing Initiative (RKSI), and supported by the Asian Development Bank (ADB).

The Eighth CAREC Think Tank Development Forum (#CTTDF) will be held on August 27-28, 2024, in Almaty, Kazakhstan. This forum aims to address regional climate challenges by fostering collaborations for policy recommendations and joint research. The theme, “The Climate Challenge: Thinking Beyond Borders for Collective Action,” focuses on global climate governance, balancing economic growth with carbon reduction, and innovative climate finance solutions.

The #CARECInstitute (CI) successfully held the inception meeting for the “Renewable Energy Investment Ecosystem in Central Asia” project, which is jointly funded by the Islamic Development Bank (#IsDB), the Islamic Centre for Development of Trade (ICDT), and the CI. This meeting marked a significant milestone in the project, which aims to assess and enhance the renewable energy investment landscape across Central Asia. Dr. Asif Razzaq, the Senior Research Specialist and project leader from the CAREC Institute, presented the project’s objectives and the proposed outline of the report. The report is structured into two key sections: the first focuses on the “Energy Investment Ecosystem,” identifying key drivers and challenges, while the second delves into operational issues, particularly those related to Investment Promotion Agencies (IPAs) and regulatory frameworks. Dr. Razzaq emphasized the importance of these pillars in shaping effective policy recommendations that can drive sustainable energy investments throughout the region. Dr. Ghulam Samad, the Chief of Research Division at the CAREC Institute, moderated the session, providing strategic guidance to the consultant team and highlighting the project’s critical expectations and broader significance for the future of energy in Central Asia.

The Economic and Social Commission for Asia and the Pacific (#ESCAP), in collaboration with the #CARECInstitute, has released a pivotal report titled “Digital and Sustainable Trade Facilitation in the Central Asia Regional Economic Cooperation (CAREC) — Based on the 2023 Global Survey on Digital and Sustainable Trade Facilitation.” This comprehensive report underscores the critical role of digital solutions in enhancing trade facilitation and promoting sustainable practices across the CAREC member countries. The report reveals that CAREC countries are actively implementing various trade facilitation measures, emphasizing the necessity of advancing paperless and cross-border trade initiatives. These efforts are essential for making trade more sustainable and climate-smart. Notably, the report discusses the establishment of 25 modules in various CAREC countries aimed at facilitating the exchange of data and electronic documents across all transport modes, including eCMR, eCertificate of Origin, and eTIR.

The 10th “Overseas China” Forum and 10th “World Water Valley” Forum were successfully convened in Urumqi, Xinjiang, the People’s Republic of China, attracting over 200 industry experts and scholars. This event provided a vital platform for in-depth discussions on pivotal topics including free trade zone development and innovations in the water sector. Dr. Jingjing Huang, Deputy Director One at the CAREC Institute, led the Institute’s delegation and delivered the opening address. During a focused thematic session, Ms. Marina Wang, Senior Research Specialist at the CAREC Institute, delivered a detailed analysis of the WTO’s Trade Facilitation Agreement (TFA). She explained the TFA’s substantial impact on global trade, with a special emphasis on Central Asia. Ms. Wang highlighted the reductions in trade costs and the enhanced flexibility it provides to developing countries, thereby boosting economic resilience and fostering regional integration. She also tackled pressing issues such as macroeconomic volatility, digital infrastructure deficiencies, and sustainability challenges, calling for enhanced regional cooperation and accelerated digitalization efforts. During a parallel session, Mr. Shiliang Lu, Research Specialist at the CAREC Institute, spoke about “Pathway and policy implications for the green transport transition in the CAREC region”, underlining the critical role of electrifying road transport in mitigating CO2 emissions. Despite hurdles such as infrastructural deficits and elevated costs, he pointed out that the CAREC countries are progressively embracing electric vehicles (EVs), sustained by supportive policies. Mr. Lu emphasized the importance of increasing public awareness, enhancing infrastructure, and implementing cost-reduction strategies like local EV production to facilitate this essential transition.

The #CARECInstitute hosted a webinar on “How the Road Safety Engineering Profession Can Improve Road Safety in CAREC” on 25 June and “Risk Factors for Road Safety: Evidence-based Initiatives to Save Lives” on 30 July which served as the third phase of its comprehensive capacity-building program, “CAREC Road Safety and Sustainable Mobility Course.” This event was made possible through the generous support of several partners, including the Asian Development Bank, the European Bank for Reconstruction and Development, the Eastern Alliance for Safe and Sustainable Transport, the Global Road Safety Partnership, and the International Road Assessment Programme. The primary objective of this capacity-building program is to empower professionals in the CAREC region by equipping them with the best-practice knowledge and techniques in road safety.

The #CARECInstitute facilitated a pivotal virtual Think Tank Network (CTTN) Dialogue on August 9, focusing on “Trade Diversification in the CAREC Region: Opportunities and Challenges.” This gathering brought together distinguished experts from the CAREC Institute (CI), the Asian Development Bank (ADB), and national representatives from Azerbaijan, Georgia, Kazakhstan, the Kyrgyz Republic, and Pakistan. The event explored the complexities of current trade dynamics, barriers, and pathways toward diversification within the region. Ms. Altynay Arapova, an Economist at the ADB, addressed challenges within global value chains such as high trade costs and the reliance on primary-sector exports. She advocated for regional cooperation to streamline trade processes, digitalize operations, and develop economic corridors that emphasize sustainability and green value chains. Mr. Yuliy Yusupov from the Center for Economic Development at CAPS Unlock highlighted Central Asia’s reliance on raw materials and imports from dominant trading partners. He recommended crucial reforms such as tariff reductions, enhanced digital infrastructure, and greater regional integration to strengthen economic resilience and diversify exports. Dr. Hans Holzhacker, Chief Economist at CI, explored the impact of decarbonization and new industrial policies on CAREC’s foreign trade, highlighting the region’s heavy reliance on mineral fuel exports, which account for over 50%. He stressed the rising importance of copper and the potential for growth in transport and tourism services. To seize these growth opportunities and diversify the economy, he advocated for reducing trade barriers and strengthening regional collaboration. Panelists from CAREC Think Tanks and Development Partners contributed deep insights into the region’s unique trade challenges and opportunities. Discussions highlighted the urgent need for improved infrastructure to reduce transportation costs, lower trade barriers, and leverage digitalization to enhance trade and economic growth. The dialogue concluded with a robust call for strategic policy reforms and investments, urging coordinated government actions to leverage trade diversification opportunities. The aim is to lessen the region’s reliance on raw materials and commodities, fostering a more diversified and resilient economic future.