Transport and energy are the locomotives of the economic cooperation of Central and South Asia
February 21, 2018 | 09:19 |250
The events of the past few years clearly show that the two parts of Asia -Central and South - are converging. Moreover, this process of establishing numerous connections between the regions is proceeding swiftly. What is happening today in this space, could not be imagined even 15-20 years ago by the most "ardent" supporters of Asian integration. Two decades ago in these regions there was isolation, distrust and conflicts. Today the picture has changed dramatically. And although the difficulties have not yet disappeared, the most ambitious integration projects are on the agenda - some of them are already under implementation, others are brought to the finishing touches. To date, the locomotive of the economic union of Central and South Asia is, of course, transport. This is evidenced by the results of the recent visit of Iranian President Hassan Rouhani to India. During the talks with Indian Prime Minister Narendra Modi, the Iranian leader discussed the use of the only ocean port in Chabahar in Iran, through which Indian goods enter the Central Asian and Afghan markets. In turn, through this transport corridor, the countries of Central Asia can come out with their products to the markets of India. It is no coincidence that the Prime Minister of India called Chabahar "the golden gate" opening the markets of Iran, Afghanistan, Central Asia and even, through the international transport corridor North-South, the market of Russia for his country.Nuri AMANOV
Experts predict that the integration processes between Central and South Asia will continue to go on increasing. There is every reason for this. Very soon, the energy sphere, which has a powerful integration potential, will begin to play the main role in the convergence of Central and South Asia. The countries of the regions are on the verge of an important event - the beginning of the construction of the Afghan section of the Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas pipeline.
I must say that for the Indian economy, which is one of the largest economies in the world, this is a key issue, since the pipeline gas that will come to the region by TAPI is much cheaper than the liquefied gas that India currently uses. According to some estimates, the transition to pipeline gas from Central Asia will help India, which is the 4th largest country in the world for the import of blue fuel, to save up to $ 1 billion a year.
In fact, the implementation of the TAPI project is designed to give the economic partnership of the countries of Central and South Asia a new quality. This is the integration force of TAPI. Each country through which this highway will pass will receive what it lacks for economic development.
The main initiator of the project - Turkmenistan will have the opportunity to diversify its gas exports and enter new energy markets.
Afghanistan will receive new jobs and transit payments, which will allow the country to solve the most acute social and economic problems.
And the rapidly developing economies of Pakistan and India will have access to energy resources.
