US unveils $13.2 billion aid plan for Central Asia during significant Samarkand meeting
Sparking New Association: EU's Multi-Billion-Dollar Move for Central Asia
ASTANA – Kicking off a new era of collaboration, the European Union (EU) unveiled a colossal 12 billion euro (US$13.2 billion) investment plan for the Central Asian region through its Global Gateway program, as announced by European Commission President Ursula von der Leyen during the historic Central Asia-EU Summit on April 4, held in Samarkand.
Ursula von der Leyen at the press conference following the Central Asia-EU Summit. Photo credit: Ursula von der Leyen/X
This comprehensive investment package outlines four primary objectives. To bring the regions closer together, the EU prioritizes the flagship project – the Trans-Caspian International Transport Route, investing a staggering 10 billion euros (US$11 billion) into its development.
The second focus is on climate, energy, and water. The EU is constructing dams in support of the region's water and energy security and is also working on creating a new green belt within the Aral Sea basin to bring the desert back to life.
Thirdly, the digital sector is in the spotlight, as the EU collaborates with Central Asian partners to bring the Internet to the most secluded corners of the region, encompassing schools and hospitals via its satellites. By this year, 2,000 schools and hundreds of villages in Kazakhstan will be connected to European satellites, with plans to expand connectivity to 1,700 villages across the region in the following years.
The fourth priority is critical raw materials, which are required to power the clean transition and the clean economy of the future. The EU has already signed Memorandums of Understanding on critical minerals with Kazakhstan and Uzbekistan, and is elevating this cooperation by endorsing a Joint Declaration of Intent on Critical Raw Materials.
Central Asia contains a valuable share of global reserves for these essential materials, and Europe aims to extend a unique offer to its partners in the region. As partners, the EU hopes to create local value chains for critical minerals, ensuring the value created in the region remains within the region and contributes to the creation of good jobs. Europe envisions that as the partners flourish, so will Europe.
The specifics of the EU's Joint Declaration of Intent on Critical Raw Materials with Kazakhstan and Uzbekistan are oriented towards enhancing cooperation in the exploration and sustainable supply of critical raw materials. The declaration aims to promote sustainable supply chains, technology sharing, workforce development, and investment support in the region[2]. The EU's 12 billion euro investment package under the Global Gateway strategy supports projects in critical areas, including those focused on critical raw materials exploration[2]. Additionally, the agreement seeks to diversify trade relationships away from traditional partners like Russia and China, strengthening diplomatic connections with Central Asia[3].
Uzbekistan has revealed substantial investments in its mining sector, potentially paving the way for fruitful collaborations with European investors[5]. Under this strategic partnership, the EU and Central Asia aim to cooperate in various sectors such as raw materials, transport, green energy, and satellite connectivity[1][3], with the ultimate goal of bolstering the region's economic growth and fostering closer ties.
- The European Union (EU) is investing a significant amount, 10 billion euros (US$11 billion), into the development of the Trans-Caspian International Transport Route as part of its focus on bringing the regions closer together.
- In the digital sector, the EU is working with Central Asian partners to bring the Internet to remote areas via satellites, with plans to connect 2,000 schools and hundreds of villages in Kazakhstan this year, and expand connectivity to 1,700 villages across the region in subsequent years.
- The EU is collaborating with Central Asian countries on critical raw materials, aiming to create local value chains for these materials and ensuring the value created stays within the region, contributing to job creation.
- The EU's Joint Declaration of Intent on Critical Raw Materials with Kazakhstan and Uzbekistan focuses on enhancing cooperation in the exploration and sustainable supply of critical raw materials, promoting sustainable supply chains, technology sharing, workforce development, and investment support in the region.
- The EU's 12 billion euro investment package under the Global Gateway strategy supports projects in critical areas, including those focused on critical raw materials exploration, and aims to diversify trade relationships away from traditional partners like Russia and China.
