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Kazakhstan: 'Light Path' to Europe

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4281291_origThe construction of transport infrastructures and modern hubs connecting Western China to Europe, declared by President Nursultan Nazarbayev on 11 November, is a new large-scale Kazakhstan development programme - good news for EU economies, amid the global economic and financial crisis. The idea of an economic belt connecting two civilisations through Kazakhstan began to materialize rapidly, in view of the great benefits in terms of economy, security, stability and peace in the region, and the impact on the larger international landscape.

Building terminal facilities on land and seaports connecting with China, Iran, Russia and the EU has to be explored, said President Nursultan Nazarbayev in his address to the nation. The endeavour has been launched as a swift and timely response to declining oil prices, which have subsequently reduced export profits in the state purse.

"The coming years will be a time of tests globally. The whole world architecture will be changed," said Nazarbayev. Kazakhstan, as part of the global economy and a country that is in close proximity to the 'epicentre' of geopolitical tension, is experiencing the negative impact of all these processes, with declining oil prices on the world markets and overall economic growth slowing. The 'Light Path' programme has been conceived to reverse this negative trend.

The actual concept of maximizing the effects of the geographic advantages of the county at heart of Eurasia is a logical continuation of the strategy adopted by the leadership – the reconstituting of a 'Silk Road' in its modern version has been a beacon of Kazakh foreign policy during two decades of independence. However, the dream began to materialize rapidly when President Xi Jinping, during his visit to Astana, declared the creation of an economic belt as the major Chinese initiative of 2013, reportedly bringing in $600 billion per year. The creation of an economic belt is well integrated into the larger Astana ideological concept of Kazakhstan as an ideal meeting point of two civilizations: being well acquainted with both European and Chinese values and political systems, Kazakhstan is equally engaged.

The creation of the infrastructure to enhance trade between East and West is already attracting the interest of foreign investors, including the European Central Bank (ECB), but to convince them of the improvement of relevant conditions is crucial. For the next year, according to the Light Path programme, around 360 million euro will be allocated to complete the construction of the first set of land ports infrastructure of special economic zones -  Khorgos - Eastern Gate on the Chinese border and the National Industrial Petrochemical Technopark in Atyrau near the Caspian Sea and Taraz, next to the Kyrgyzstan border. All three hubs are aligned with the strategy of the Silk Road revival.

There has been little doubt of the infrastructure projects' success – the European Central Bank is one of many international institutes interested in investing in Kazakhstan's economy, with the development of infrastructure shortening the trajectory of goods from China to Europe bringing economic gains in substantially shortening the time taken for the delivery of goods.

The other paramount effect of the creation of the infrastructure is an impact on security and stability in the region, with the connected regions naturally stabilizing the political situation. However, the transport and infrastructure works should be paired with the facilitation of customs rules and people-to-people contacts, the latter being the focus of special attention of president Nazarbayev, in considering the free movement of people as a key policy for the further harmonious development of international relations. The continuing negotiations on visa facilitation with the EU are expected to produce much needed improvements in the efficiency of the programme for European economies.

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One more endeavour in the civilisation dialogue is the upcoming ASTANA EXPO 2017 - the continuing construction of the complex is receiving additional funds, including amounts for the enlargement of Astana airport by adding new terminals to double its capacity to welcome the participants from both East and West to continue the role that Kazakhstan considers to be its bridge between civilisations.

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