IFG Metals & Mining to create tungsten cluster in Uzbekistan; Turkish company intends to build wind power plant in Uzbekistan; Uzbekistan, India to create Business Council; Uzbekistan and India signed 20 documents and agreed on 50 investment projects; World Bank assists in development of open and transparent public procurement sector in Uzbekistan; EBRD approves new five-year strategy for Uzbekistan;
IFG has developed the tungsten cluster and is the leading principal investor in the project. SUN Group, which is active in India, Russia, West Africa and other emerging markets, has agreed to co-invest with IFG in the exploration and development of the tungsten cluster, subject to further due diligence.
IFG intends to conduct a feasibility analysis into the exploration and development of the Ingichke, Gussay, Sarykul, Kara-Tyube, Lyangar and Koytash tungsten deposits, with the purpose of processing ore into concentrate. Should the studies produce positive results, IFG has the exclusive rights to manage the industrial development of the deposits.
“Together, the seven deposits will produce up to 5,700 tonnes of tungsten per year, or roughly 6 percent of the world’s total output by 2024,” told Olga Ponkratova, Managing Partner of IFG and head of IFG Metals and Mining.
Turkish company ETKO CO ENERJI A.S. plans to build a wind farm in Uzbekistan. According to the UzA agency, the station will be built in Baysun district of Surkhandarya region.
The project will be implemented within the framework of the Concept of development of Surkhandarya region for 2019-2030. Currently, work is underway on the feasibility study of the project. It is expected that the station will be commissioned until 2020. The capacity of the power plant will be 600 MW of electricity.
The station will allow uninterrupted supply of alternative electrical energy to Baysunsky and Sherabad districts.
Confederation of Indian Industry and the Chamber of Commerce and Industry of Uzbekistan signed an agreement on establishment of joint business council. The document was signed within the Indian-Uzbek business forum, which was held in Delhi on 28 September.
Farhod Arziyev, the Extraordinary and Plenipotentiary Ambassador of the Republic of Uzbekistan to India, noted a joint Uzbek-Indian Business Council was created and it will lay the foundation for creating favorable conditions between the business circles of the two countries.
“It is planned to carry out mutual reduction of customs tariffs and implement large-scale projects in free economic zones. We are also interested in expanding mutual cooperation in the field of innovation, investment, education, culture, art and many other areas,” he said.
A joint statement of the President of the Republic of Uzbekistan Shavkat Mirziyoyev and Prime Minister of the Republic of India Narendra Modi was adopted. Within the framework of the visit, 20 documents were signed concerning scientific and technical cooperation, agriculture, tourism, military education, justice, health and medical science, pharmaceuticals, space exploration for peaceful purposes and other areas.
At a briefing for media representatives, President of Uzbekistan Shavkat Mirziyoyev said that Uzbekistan attaches priority to relations with India, and the talks in a constructive spirit confirmed mutual interest in developing bilateral cooperation. It was reported that the parties agreed to bring the trade turnover between the two countries to US$1 billion.
At the invitation of the President of India Ram Nath Kovind, the President of the Republic of Uzbekistan Mr. Shavkat Mirziyev paid a state visit to India from September 30 to October 1 of this year. This forum is a continuation of the joint business forum that took place on August 6 in New Delhi and on August 16 of this year in Tashkent.
On the occasion of this visit, as well as to contribute to the further development of trade, economic and investment cooperation between the countries, an Indian-Uzbek business forum was held in Delhi on 28 September 2018. As a result of the measures, the delegation of Uzbekistan reached an agreement on implementation of 50 investment projects worth about US$3 billion.
This week, the Turin Polytechnic University in Tashkent hosted a workshop on the issues of transparency and openness in the public procurement sector in Uzbekistan. The event was organized by the World Bank in partnership with the National Agency for Project Management (NAPM) and the State Investment Committee (SIC) of Uzbekistan. Mr. V. S. Krishnakumar, World Bank’s Practice Manager for Solutions and Innovations in Procurement for the Europe and Central Asia region, who paid a visit to Uzbekistan on 21-26 September, was one of the two key speakers of the event.
“In order to modernize Uzbekistan’s public procurement system, the Government will need to take additional measures. Firstly, dramatically improve the effectiveness of procurement operations through behavior change, balancing compliance and performance. Secondly, establish some form of performance rewards system to recognize good performing contracting entities/implementing agencies and individuals for bringing value for money decisions, and promoting anti-corruption measures using modern technologies. Thirdly, integrate innovations, digital solutions, and data analytics in public procurement, contract management and implementation, including in physical verification and auditing work. And last, but not least, invest in capacity building and improving the professionalism of procurement and contract management officials”, Mr. Krishnakumar said.
The EBRD Board of Directors has approved a new strategy for Uzbekistan for 2018-2023. The strategy reflects recent changes in the country’s political and macroeconomic environment and is aimed at the creation of an open, integrated and export-driven economy.
The Bank’s new phase of engagement with the country was prompted by a major reform programme launched by the government in late 2016 moving towards a more open, integrated market economic model, improving international relations, strengthening the rule of law and judicial independence and achieving the liberalisation of the foreign exchange rate. Reducing the state’s presence in the economy, improving the business environment and facilitation of foreign direct investments are among the top priorities of the Uzbek authorities.
The EBRD’s operational and strategic priorities in Uzbekistan will be based on the following three pillars: Enhancement of competitiveness by strengthening the role of the private sector; Promotion of green energy and efficient use of resources; and Support of increased regional and international cooperation and integration.