Azernews.Az

By Sara Rajabova

Russia attaches great importance to the Central Asian countries in its strategic plans, making great efforts for strengthening influence on the region through cooperation within various organizations and economic forums.

The U.S. military base in Manas in Kyrgyzstan and its presence in Central Asia urges Russia to take decisive steps to maintain its hegemonic role in the region. Thus, Russian President Vladimir Putin's recent visit to Kazakhstan and Kyrgyzstan is aimed to solve disputed issues and strengthen bilateral relations with these countries. During his visit to Kazakhstan and Kyrgyzstan numerous agreements were signed concerning different fields of cooperation.

Putin and President of Kazakhstan Nursultan Nazarbayev took part in a joint interregional cooperation forum in Pavlodar, Kazakhstan, on September 19.

Twelve documents on cooperation in various areas were signed within the framework of the forum, in particular, on prevention of industrial accidents, catastrophes and natural disasters, supplying crude oil and refined products to Kazakhstan, on the environment, energy, and car manufacturing. Bilateral documents between Russian and Kazakh regions were also signed.

Furthermore, a business forum was held within the 9th Russia-Kazakhstan Interregional Cooperation Forum with organizational support of the Kazakh Development Bank, supported by the Kazakh Ministry of Industry and New Technologies, and the Russian Bank for Development and Foreign Economic Affairs.

Russian investments in the Kazakh economy during the years of cooperation have exceeded $5 billion, Kazakh Minister of Industry and New Technologies Asset Issekeshev said at the Kazakh-Russian business forum.

He noted that Kazakhstan has invested more than $1.8 billion in Russia during this period.

Issekeshev added that Kazakh-Russian trade, economic and investment relations are rapidly gaining momentum.

"The volume of bilateral trade turnover in 2011 amounted to $23.8 billion," he said. "Around 18 projects have been implemented with Russia, and 16 others are still under implementation."

Deputy Chairman of the Russian Bank for Development and Foreign Economic Affairs Alexander Ivanov said the implementation of the strategic project of the Ekibastuz hydro power station has special importance for Kazakhstan and Russia.

"We actively cooperate with the Kazakh Development Bank," he said. "We have similar tasks on modernisation and industrialisation in the Kazakh and Russian economies."

The Kazakh Chamber of Commerce president Sabr Esimbekov said that Russia's joining the WTO will lead to increased competition among market participants and allow a more liberal and transparent trade policy. Over 450 delegates are in attendance at the business forum.

A package of 27 agreements totaling $2 billion were signed within the Kazakhstan-Russia interregional cooperation forum.

Russia and Kazakhstan enjoy one of the best bilateral relations within the Commonwealth of Independent States.

Russian President Vladimir Putin visited Kyrgyzstan on September 20.

A number of bilateral documents were signed following the Russian-Kyrgyz talks, including an intergovernmental agreement on the settlement of Kyrgyzstan's debt to Russia.

The sides signed a deal on the settlement of Kyrgyzstan's debt, totaling $489 million. Thus, Russia will write off a $189 million loan that Kyrgyzstan owed since 2005, and a $300 million loan owed since 2009 will also be written off in two tranches in ten years, starting from 2016.

Moscow and Bishkek also signed an agreement on the construction and operation of the Kambaratinsky hydro-power station and Verkhnye-Narynsky dam. Once operational, the Kambaratinsky power plant will give Kyrgyzstan 5 billion KWt of power a year, meeting the country's growing energy demand.

A framework agreement on joint construction of the Kambaratinsky plant was signed in 2009 during former Kyrgyz President Kurmanbek Bakiev's visit to Moscow, including a loan of $1.7 billion to Bishkek from Moscow to meet construction costs. A joint venture was set up to build the plant, half of which is owned by Russia's Inter RAO power company, but the deal stalled.

Another agreement defines the status and operation conditions of the Russian military base in Kyrgyzstan.

An agreement relating to the stay of the Russian military base in Kyrgyzstan will become effective from 2017. It is designated for 15 years with a possibility of a five-year extension.

The agreement regulates issues related to the deployment of military facilities and units of the Russian military base in Kyrgyzstan, the order of their work, status and lease payments.

Russia and Kyrgyzstan invited Kazakhstan and Uzbekistan to participate in hydro-energy projects in Kyrgyzstan, Russian President Vladimir Putin said during his visit to Kyrgyzstan.