Central Asia's Economic Growth Exceeds Global Rates Over Past Two Years - EDB


(MENAFN- Trend News Agency) ALMATY, Kazakhstan, December 5. Central Asia's economy has grown faster than the global Economy in the last two years, Deputy Chairman of the Board and Chief Economist of the Eurasian Development bank (EDB) Evgeny Vinokurov said during the EDB's macroeconomic forecast presentation today, Trend reports.

"In recent years, the intricacy and prevalence of external obstacles have escalated. Nevertheless, the economies of Central Asia have sustained their momentum and exhibited considerable resilience to external disturbances. Central Asia's GDP had an average yearly growth of 4.8 percent in 2022-2023, surpassing the global average growth of 3.4 percent.

In the past two years, Central Asia has expanded at a rate 1.4 times greater than the global average. Our projections indicate that by 2024, the nominal GDP of Central Asia will surpass $500 billion," he explained.

Vinokurov suggests that with a population of 80 million, which has seen a growth spurt of over three percent in the last couple of years, the Central Asian region is throwing open the doors to a "demographic window of opportunity" for economic growth that could stretch on for the next 15-20 years.

"Central Asia's economy has become a major economic region. It is attractive for both investments and as a consumer market. The region is also appealing for utilizing its transport and transit potential. It is a large, fast-growing, and highly significant economic region in the heart of Eurasia," the expert also said.

He highlighted that Central Asia encounters a multitude of hurdles to sustain its growth trajectory.

"Among them we can underscore the lack of access to the sea, climate and environmental risks, and the uncoordinated development of the water-energy complex. These challenges are best addressed collectively and in coordination between the region's countries, with the involvement of external players.

If these issues are tackled together, coordinating water and energy development, creating an Eurasian transport framework, and expanding renewable energy sources, it will be cheaper and more effective," he mentioned.

Vinokurov emphasized that Central Asian countries can achieve sustainable long-term growth.

"The conditions for sustainable long-term growth include addressing water and transport issues, investing in human capital and social infrastructure, providing a green light to private capital, making strategic investments in infrastructure, and accelerating industrial development," he concluded.

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Trend News Agency

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