PAKISTAN READER

Athar Zafar Dr Athar Zafar is a Delhi based researcher; views are personal.

The Central Asian region, consisting of five countries - Kazakhstan, Kyrgyz Republic, Tajikistan, Turkmenistan, and Uzbekistan - remained stable and maintained its economic development. Interactions among regional countries and with Russia continued at the same time countries of the region also looked towards strengthening their international relations with the West. In the South Caucasus, major developments occurred, especially in Armenia, which showed resolve to continue the path of normalization with Azerbaijan, and improve regional and inter-regional connectivity. 

1. Kazakhstan’s continued preparations to implement the constitutional reforms
Major domestic development was the country’s continued preparations to implement the constitutional reforms, which were approved through a referendum, held on 15 March 2026. Kazakhstan is implementing the constitutional reforms from July 1, 2026, which include replacing the bicameral Parliament with a new unicameral system called Kurultai and introducing the vice-presidency. On 30 June 2026, President Kassym-Jomart Tokayev addressed the Parliament as the old constitutional system came to an end, describing the change as a new stage in Kazakhstan’s political modernization. The country is holding the snap parliamentary elections on 23 August 2026. Meanwhile, the merger of Adilet and Amanat party, which is the ruling party, is considered a significant development in the country’s domestic political landscape. 

In foreign relations, this quarter was important as President Vladimir Putin of Russia paid a state visit to Kazakhstan from May 27 to 29, 2026. The two countries concluded 15 bilateral agreements, including on nuclear energy, transport, finance, and oil. In an outbound visit, President Tokayev's 22–23 June visit to Brussels was a major development in Kazakhstan’s continued pursuit to enhance relations with Western partners. During the visit, Kazakhstan deepened its strategic partnership with the EU, particularly in transport, energy, critical minerals, and aviation areas. Kazakhstan is also liberalizing its visa and taxation policies to attract foreign investors, entrepreneurs, highly qualified professionals, and international talents.

2. Kyrgyzstan as the chair of the SCO
Kyrgyz Republic is holding the rotating Chair of the Shanghai Cooperation Organization (SCO) for 2025-26 period, and in the run up to the Summit scheduled on 31 August - 1 September 2026, Kyrgyzstan held the SCO Defence Ministers’ meeting on 28 April 2026. It focused on regional security, military cooperation, terrorism and the wider geopolitical situation. India's Defence Minister Rajnath Singh attended the meeting. On the sidelines, he also held separate meetings with his Russian and Chinese counterparts.

The Kyrgyz economy continued to perform strongly during the period with sustained strong economic growth for the fourth consecutive year. The Asian Development Bank projected 8.9 per cent GDP growth in 2026 and 8.4 per cent in 2027.

In his foreign engagements, President of Kyrgyzstan Sadyr Japarov held talks with Russian President Vladimir Putin on 23 April 2026 in Moscow. The two leaders discussed bilateral cooperation, with particular attention to deepening trade and economic cooperation. Kyrgyzstan also continued strengthening ties with its Central Asian neighbours. President Japarov paid a working visit to Kazakhstan on 15 May 2026 to participate in the ‘Informal Summit’ of the Heads of State of the Organization of Turkic State, which was held in Turkistan, Kazakhstan, 15 May 2026 under the theme of “Artificial Intelligence and Digital Development”. 

3. Tajikistan’s economy continues to grow
Tajikistan remained one of Central Asia's faster-growing economies. The Asian Development Bank projected GDP growth of 7.3 per cent in 2026, which continues the strong growth of 8.4 per cent in 2025. However, the major development was on the external front during the quarter.

During a visit of Tajik President Emomali Rahmon to China from 11-14 May 2026, the two countries signed 31 new cooperation documents, including, signed a Joint Statement on Deepening Comprehensive Cooperation and Strategic Partnership in the New Era, and a Treaty on Eternal Friendship, Good-Neighbourliness and Cooperation between Tajikistan and China. The relationship has been elevated to permanent strategic partnership. President Rahmon said the treaty marks a new historical stage in bilateral relations and opens up new prospects for long-term cooperation between the two sides.
 
4. Turkmenistan signs energy agreements with China
The most important development of the quarter, particularly in Turkmenistan’s energy sector with external links, could be the agreement signed on 16 April 2026 between Turkmenistan and China’s CNPC for Phase IV of the Galkynysh gas field. Under the agreement, CNPC will construct gas-processing facilities capable of producing an additional 10 bcm of commercial gas annually. The project is valued at approximately US$ 5.1 billion and is to be financed by Turkmenistan. Earlier, Turkmenistan’s former President Gurbanguly Berdymuhamedov visited China and held talks with Chinese President Xi Jinping on March 18, 2026. The two leaders discussed expanding cooperation in the energy sector, particularly natural gas supplies, trade, investment, transport connectivity, artificial intelligence, the digital economy, and clean energy.

Turkmenistan also continued to develop its relations with Georgia, reflecting the growing importance of the Caspian-South Caucasus route. On 7 May 2026, President Serdar Berdimuhamedov received Georgia’s Minister of Economy and Sustainable Development, Mariam Kvrivishvili, in Ashgabat. The relationship is particularly relevant in the context of Caspian maritime transport and energy transit.

5. Uzbekistan’s economic growth
For April–June 2026, Uzbekistan experienced several developments important from domestic and regional perspectives. The country witnessed strong economic growth and increasing role as a regional economic hub. The 5th Tashkent International Investment Forum (TIIF), held from 16-18 June 2026 was an important economic event. The forum attracted major international investors and resulted in over 160 investment agreements worth more than US$ 43 billion. 

Uzbekistan's economic expansion is increasingly being accompanied by structural reforms and greater private-sector participation. A major development of the TIIF was the public-private partnership agreement signed on June 17, 2026 for the construction and operation of the New Tashkent International Airport. The airport is planned to have two runways, advanced navigation and safety systems, and road and rail connections to Tashkent and other regions. The project will have significance well beyond aviation as Uzbekistan seeks to make Tashkent a major transport, logistics and aviation hub for Central Asia.

Uzbekistan also hosted the 59th Annual Meeting of the Asian Development Bank (ADB) in Samarkand from 3-6 May 2026. This was a major international economic event for the country, bringing together governments, financial institutions, businesses and development partners. During the period, President of Uzbekistan Shavkat Mirziyoyev undertook visits to Kazakhstan, Azerbaijan and Russia for bilateral and multilateral engagements. 

6. Consolidation of Armenia-Azerbaijan peace process in the South Caucasus
For April–June 2026, the South Caucasus region, consisting of Armenia, Azerbaijan and Georgia underwent a significant geopolitical development. The dominant themes were the consolidation of the Armenia-Azerbaijan peace process, Armenia’s June election and its relations with the West and Russia, and Georgia’s domestic political situation with regard to straining of ties with the EU.

The 7 June 2026 Armenian parliamentary election can be considered a consequential political event of the quarter. Prime Minister Nikol Pashinyan’s Civil Contract party won 49.8 per cent of the votes, securing a parliamentary majority. Turnout was close to 59 per cent of eligible voters. The election is considered a kind of referendum on three interconnected issues: the ongoing peace process with Azerbaijan, Armenia’s foreign policy orientation towards the West, and the future of relationship with Russia. The victory strengthened the mandate for the Prime Minister to continue his policy of normalising relations with Azerbaijan and Turkey and while diversifying Armenia’s relations with the West.

To Conclude:
Both Central Asia and South Caucasus regions continue to make efforts towards diversifying their international relations, especially in economic areas. The most important regional linkage for Central Asia is the convergence of the Middle Corridor or Trans-Caspian route with the emerging Armenia-Azerbaijan connectivity agenda. If peace and normalization progress, the South Caucasus could become an increasingly important link between Central Asia, the Caspian Sea and Europe, thereby enhancing the strategic of the region and potentially opening new connectivity options for Uzbekistan, Kazakhstan and other Central Asian states.
 

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