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THE NEW SILK ROAD Ten Years of the Central Asia Regional Economic Cooperation Program

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THE NEW SILK ROAD Ten Years of the Central Asia Regional Economic Cooperation Program THE NEW SILK ROAD Ten Years of the Central Asia Regional Economic Cooperation Program Corridor 1: Europe–East Asia Corridor 2: Mediterranean–East Asia Corridor 3: Russian FederaƟ on–Middle East and South Asia Corridor 4: Russian FederaƟ on–East Asia Corridor 5: East Asia–Middle East and South Asia Corridor 6: Europe–Middle East and South Asia THE NEW SILK ROAD Ten Years of the Central Asia Regional Economic Cooperation Program © 2011 Asian Development Bank All rights reserved. Published 2011. Printed in the Philippines. ISBN 978-92-9092-470-8 Publication Stock No. ARM113816 Cataloging-in-Publication Data Asian Development Bank. Th e New Silk Road: Ten Years of the Central Asia Regional Economic Cooperation Program. Mandaluyong City, Philippines: Asian Development Bank, 2011. 1. Central Asia Regional Economic Cooperation (CAREC) Program. 2. Regional cooperation. I. Asian Development Bank. Th e views expressed in this publication are those of the authors and do not necessarily refl ect the views and policies of the Asian Development Bank (ADB) or its Board of Governors or the governments they represent. ADB does not guarantee the accuracy of the data included in this publication and accepts no responsibility for any consequence of their use. By making any designation of or reference to a particular territory or geographic area, or by using the term “country” in this document, ADB does not intend to make any judgments as to the legal or other status of any territory or area. ADB encourages printing or copying information exclusively for personal and noncommercial use with proper acknowledgment of ADB. Users are restricted from reselling, redistributing, or creating derivative works for commercial purposes without the express, written consent of ADB. Note: In this publication, “$” refers to US dollars. 6 ADB Avenue, Mandaluyong City 1550 Metro Manila, Philippines Tel +63 2 632 4444 Fax +63 2 636 2444 www.adb.org For orders, please contact: Department of External Relations Fax +63 2 636 2648 [email protected] THE NEW SILK ROAD Ten Years of the Central Asia Regional Economic Cooperation Program CONTENTS 3 Foreword 5 Coopera on for Prosperity 6 Afghanistan 16 Azerbaijan 26 People’s Republic of China 38 Kazakhstan 50 Kyrgyz Republic 60 Mongolia 70 Pakistan 82 Tajikistan 90 Turkmenistan 98 Uzbekistan 113 Timeline 116 CAREC Projects 122 Illustrator and Photographers FOREWORD This commemora ve book celebrates 10 years of produc ve collabora on under the Central Asia Regional Economic Coopera on (CAREC) Program. Under CAREC, its member countries have made signifi cant gains in regional transport, energy infrastructure, and trade facilita on and policy, which have increased both the pace and quality of development in the subregion. The spirit of trust and confi dence that has evolved through the years among good neighbors and good partners has led to be er prospects for all. This publica on serves as tes mony to what can be achieved through regional coopera on. But more than just being an archive of accomplishments, this volume should also inspire us to reach for greater heights and wider horizons in the next decade. All too soon, our achievements will be part of the past, but it is the strength of our collec ve commitment that will carry us through the future. As CAREC moves to a higher plane, the mutual trust that has evolved through the years will be increasingly vital to deal with the challenges ahead. Guided by the CAREC 2020 strategy, ADB is commi ed to deepening its partnership with CAREC toward an era of cohesive coopera on, construc ve compe on, and a confl ict-free community in Central Asia by 2020. Haruhiko Kuroda President Asian Development Bank Corridor 1: Europe–East Asia Corridor 2: Mediterranean–East Asia Corridor 3: Russian Federa on–Middle East and South Asia Corridor 4: Russian Federa on–East Asia Corridor 5: East Asia–Middle East and South Asia Corridor 6: Europe–Middle East and South Asia COOPERATION FOR PROSPERITY The Central Asia Regional Economic Coopera on (CAREC) Program is a partnership of 10 countries, working to spur economic development across a vast area at the heart of Eurasia’s trade and commerce. With more than $16 billion in on-the-ground investments since 2001, CAREC helps build transport, trade, and energy links that encourage sustainable growth and connect mostly landlocked members with each other and to markets beyond. It provides the fi nance and ideas to increase mobility of people and goods and improve living standards across Central Asia. The development of a seamless network of six transport corridors is the backbone for accomplishments that include some 3,600 kilometers of road building and improvements; almost 2,000 kilometers of railway track put in place; upgrading of ports and border crossings; and be er energy security, effi ciency, and distribu on. CAREC countries and the program’s six mul lateral ins tu ons devise prac cal approaches to crea on of measurable outcomes under a shared vision. Rich in natural resources, surrounded by opportunity, and commi ed to regional coopera on, CAREC countries are embarking on the next phase of growth and prosperity. T N S R A Afghanistan lies in the heart of Eurasia at the crossroads of cultures, between the People’s Republic of China and the Middle East, and between South Asia and Europe. The country’s economy is primarily agrarian. However, hydrocarbons and mining are future prospects and they need good infrastructure to reach markets. A er 25 years of confl ict, Afghanistan is now rebuilding its physical infrastructure and economic founda on. 6 AfghanistanAfgAfAffgghanhhaannistisiststanan 7 T N S R The crea on of a new Silk Road gives Afghanistan the opportunity to maximize the value of natural resources, build human capacity, create jobs, pay for services, and capitalize on Central and West Asia’s economic poten al. 8 Afghanistan Improvements in energy security, effi ciency, and distribu on are allowing the people of Kabul, the Afghanistan capital, to light homes and power businesses using electricity generated outside its borders. More than 1,300 electricity towers have been constructed across some of the most challenging terrain in the world. 9 10 Afghanistan The sun goes down on the border bridge at Hairatan, where Afghanistan’s fi rst railway links the bustling town with the northern hub of Mazar-e-Sharif and Uzbekistan’s modern rail network. 11 T N S R The focus on building transport and energy networks is helping forge links that will increase Afghanistan’s regional trade, promote private sector investment, and secure adequate power supplies. 12 AfghanistanAfgAfAffgghanhhaaannistisiststanan 1313 14 AfghanistanAfgf hananistan More reliable transport and energy connec ons and other benefi ts of integra on with CAREC neighbors are helping give Afghanistan’s people a deeper sense of hope for the future. 15 T N S R A Azerbaijan is in the southeastern part of the Caucasus, which stretches more than 800 kilometers from the Black Sea to the Caspian Sea. The country is uniquely posi oned at a point where Asia and Europe meet, and retains its signifi cance for world links. Azerbaijan is one of the world’s oldest oil-producing countries. 16 AzerbaijanAzeA rbabab ijaan 17 New electricity substa ons to replace aging infrastructure increase the capacity of the west–east grid and produce a reliable power supply for consumers in the key Azeri industrial and economic center close to Baku, the capital city. 18 AzerbaijanAAzAzezezerbarbbbaaijaijjajan 19 T N S R Rehabilitation of a raft of roads across Azerbaijan has brought enormous improvements for non-oil trade and increased traffic between the Caspian Sea and Black Sea. 20 AzerbaijanAzeerbabaijaan Construc on is under way on the 94-kilometer road from Ganja to Gazakh in western Azerbaijan (CAREC Corridor 2), helping the region develop as an industrial base and draw visitors to admire its stunning scenery. 2121 T N S R Infrastructure development in each CAREC member creates condi ons for economies to grow and maximize the opportuni es for coopera on and integra on. 22 AzerbaijanAzeAAzzerbababaijajajan A crusher plant near the Ganja road bypass produces the material to refurbish roads and reverse the deteriora on of surfaces. 23 T N S R The city never sleeps around busy Baku port (CAREC Corridor 2), and work is constant to build the facili es and create the liberalized customs procedures that spur trade and commercial links between neighbors. 24 Azerbaijan 25 T N S R P’ R C The People’s Republic of China, in the east of the Asian continent and on the western shore of the Pacific Ocean, is the third largest country in the world by land area and the most populous. The country has a long, rich history with an early civilization and has become one of the world’s major economic powers. 26 People’sPeoPePeopleple’s’s RepublicRepReReppublububbllicic off ChinaChiChChihinana 2727 A tolled expressway on the road between Urumqi and Kashgar is the result of work that has also improved road safety and increased freight- handling effi ciency. The route is part of CAREC Corridor 5, which connects Xinjiang Uygur Autonomous Region with Kazakhstan, the Kyrgyz Republic, Mongolia, Pakistan, and Tajikistan. 28 People’sPeopleple’’ss RepublicReReppublblic ofof ChinaCChihinana 29 30 People’s Republic of China The backbone of the CAREC Program is the development of six effi cient land transport corridors that link Central, East, and South Asia with the Middle East and Europe. 31 T N S R The s ll waters of Heavenly Lake, east of Urumqi, present one of the major a rac ons for the increasing number of tourists drawn by easier road, rail, and air links to the People’s Republic of China’s far west.
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