Nejat Akçal, Turkey’s Ambassador to Kyrgyzstan, discusses the ties between the two countries.
European Times: How would you describe the relationship between the Kyrgyz Republic and Turkey?
Nejat Akçal: Turkey and the Kyrgyz Republic have a very strong partnership based on historical, cultural and linguistic ties. Turkey was the first country to recognise the Kyrgyz Republic’s independence in 1991 and now we are working together with Kyrgyz leaders to ensure the country’s sustainable growth. In 2012 alone, Turkey provided a credit of €76.52 million (US$100 million) to the Kyrgyz government to support public-sector investments.
Turkey also provided €4.59 million (US$6 million) in grants for financing technical-support activities and for the subscribed capital of the Kyrgyz Republic’s ECO Trade and Development Bank. Also in 2012, Turkey wrote off the National Bank of the Kyrgyz Republic’s debt to Turkey’s Eximbank; this debt totalled almost €38.26 million (US$50 million). This support is in addition to two other grants, both for €7.65 million (US$10 million), which Turkey provided to support the Kyrgyz state budget. Education is one of our priorities. We support many schools and universities here in the Kyrgyz Republic and we provide scholarships so that Kyrgyz young people can study in Turkey. In Osh, the Turkish investment agency, TIKA, invested €5.74 million (US$7.5 million) in building one of the best technical schools in the region. Turkey believes that development begins with the younger generation.
European Times: What economic sectors do you feel have the strongest potential in the Kyrgyz Republic?
Nejat Akçal: Agriculture, infrastructure, energy, education, tourism and trade all have very strong prospects. Our credit lines include investment projects involving irrigation systems, forestry and agricultural development, and energy infrastructure. An important selling point for the Kyrgyz Republic will be its potential membership in the customs union involving Russia, Kazakhstan and Belarus, which will open the country up to many large markets. Since production costs here are low, this will make the Kyrgyz Republic really attractive as a site for export-oriented companies.
European Times: What are some of the challenges?
Nejat Akçal: We value the government’s efforts to combat corruption and improve the quality of transport infrastructure. Through supporting capacity-building, international organisations can help the Kyrgyz government address these issues. The new government is very open and business-friendly, and investors will find great opportunities here. The Kyrgyz Republic is becoming a real democracy where problems can be addressed. The fact that hundreds of Turkish entrepreneurs have managed to set up profitable businesses here is proof that the Kyrgyz Republic has great potential.
