Bank analysts emphasize the need for significant improvements in energy efficiency, mobility, and water resource management to ensure comfortable development of the region.
Podguzov pointed out the geographical features that negatively impact the economy: Central Asia is more than 3000 km away from ocean ports.
“This leads to an increase in trade costs by 20-40%, which in turn results in a loss of up to 1.5 percentage points of economic growth annually. Thus, a kind of ‘distance tax’ arises,” he noted.
In Podguzov's opinion, the only solution to this problem is to improve transport connectivity.
“Currently, the main transport routes are oriented from east to west. However, the north-south directions and the possibility of the Trans-Afghan corridor are also of great importance. These routes can open access to the markets of South Asia and the Persian Gulf,” he added.
According to EDB data, Central Asia is one of the most dynamically developing regions in the world, and by 2026, the combined GDP of the five countries in the region could reach $600 billion.
