New Pakistan & new Uzbekistan: An expert opinion
PAKISTAN’S swift transition from “geo-politics” to “geo-economics” is now getting mo-mentum.
Revival of ancient “Silk Route” is very much possible and accessible.The concepts of “shared prosperity”, community development, holistic means of survival and last but not the least, greater regional “connectivity” is gradually inching towards reality.
The “gateway” of Central Asian Region, “Uzbekistan” has become instrumental for greater socio-economic integration, transportation systems, Special Economic Free Zones and hub of FDI & FPIs in the region and beyond.
In this regard, according to reliable diplomatic sources, the President of the Republic of Uzbekistan, Shavkat Mirziyoyev, will visit Pakistan in the first week of March this year.
Last week, Prime Minister Imran Khan and President of Uzbekistan Shavkat Mirziyoyev met on the sidelines of Beijing Winter Olympics and exchanged views in detail on the entire gamut of bilateral relations based on shared bonds of faith, history and culture.
The two leaders reaffirmed their resolve to comprehensively upgrade their countries’ partnership across the broad spectrum and continue taking practical steps for implementation of key projects.
On his part, Prime Minister Imran stressed the need of further enhancing trade and economic cooperation, particularly through operationalizing the landmark bilateral Transit Trade Agreement and finalising the Preferential Trade Agreement.
Moreover, he also assured Pakistan’s full support to mega project of the trans-regional connectivity via Trans-Afghan railway project and exchanged views on next steps in taking it forward over the coming months.
In addition to this, the PM underlined the need of enhancing tourism between the two countries by taking all steps for resuming direct flights, strengthen banking links and facilitate visa procedures.
They also exchanged views on issues of regional peace and stability.The two sides stressed the need to continue economic and humanitarian assistance to Afghanistan by the international community to avoid any further deterioration of the situation.
The two leaders agreed that a peaceful, stable and prosperous Afghanistan was vital for regional stability as well as for the realization of infrastructure and connectivity projects.
Last year witnessed a robust development in the bilateral relations of the two countries.
A series of exchange of high officials including visit of Prime Minister Imran Khan to Tashkent further systemized and streamlined the ties and scope of mutual cooperation in diverse sectors of economy, investment, joint ventures, civil aviation, financial & banking, culture, education, pharmaceutical, agro-industry, textile, garments and last but not the least energy.
Consequently, successful holding of first Pakistan-Uzbekistan Business Forum in Tashkent 2021 opened a new window of opportunity for private companies of both sides to invest more and more.
Additionally, the two sides held the sixth session of the Joint Inter-Governmental Commission (JIGC) and inaugural session of the Joint Business Council (JBC) in Tashkent in 2021 which actually accelerated pace of bilateral relations.
Lastly, inter-national conference on “Central and South Asia Regional Connectivity: Challenges and Opportunities also widened the scope, utility and strategic significance of regional connectivity in which role of “Pakistan” and “Uzbekistan” considered immense.
In this regard, Pakistan has already deepened its engagement with Central Asia through its ‘Vision Central Asia’ policy, with a focus on five key strands political, trade and investment, energy and connectivity, security and defence and people-to-people exchanges.
There is an urgent need that Pakistan and Uzbekistan should expand multifaceted bilateral cooperation to all areas of mutual interest including durable peace in Afghanistan through internal political process imperative for peace and progress of the whole region.
Hopefully, Pakistan’s connectivity through rail, road and aviation with Uzbekistan in trade and bilateral spheres would open up new avenues of prosperity in the region.
Pakistan has immense potential to connect Central Asia with the rest of the world and become a hub of trade.
Several MOUs and agreements have already been signed to strengthen cooperation between the two sides in diverse areas.
These include a protocol on exchange of pre-arrival information on goods moved across the state border, an agreement on transit trade, cooperation in the field of military education and an agreement on simplification of visa procedures for businessmen and tourist groups.
The two leaders have signed more than eight treaties and held six bilateral meetings in recent times which show highest level of political consultation and scope of commercial diplomacy.
An effective transportation infrastructure is the need of the hour so that the goods loaded from Pakistan’s Karachi and Gwadar seaports could reach Uzbekistan’s Tashkent easily and smoothly.
To conclude, the two countries should jointly work to further strengthen their multi-dimensional ties in political, trade and economic, energy, communication, science and technology, education and cultural sectors, and fighting Covid-19.
Rapidly emerging geopolitical fault-lines and geostrategic scenarios in the region, there is an urgent need to develop and maintain a regular dialogue and build constructive cooperation in the field of security and defence and to expand cooperation between law enforcement agencies of the two countries, particularly in the fight against terrorism and drug trafficking.
The scope, operationalization and channelization of the agreement on transit trade should be used as an important tool for expanding bilateral trade.
The mega project of the Termez-Mazar-i-Sharif-Kabul-Peshawar railway project should be pursued as soon as possible to create a rail link from Central Asia to the Arabian Sea through Afghanistan and Pakistani seaports of Karachi, Gwadar and Bin Qasim.
Since all the Central Asian Countries are the members of China’s BRI which should be further consolidated by joining the China-Pakistan Economic Corridor (CPEC) for the benefit of the entire Central Asian region and beyond entailing greater connectivity and trade linkages through a network of transport, fibre optic cable, energy pipelines and investment opportunities in its SEZs.
Central Asia is the potential market of $90 billion in which Uzbekistan has the most attractive economic prospects.
Thus Pak-Uzbek transit and preferential trade agreements (PTA), and strategic partnership should be further systemized and streamlined in which the Trade Development Authority of Pakistan (TDAP) would play an important role.
There is an urgent need to think beyond cosmetic narratives and statements.
Policy makers of both sides should think out of the box to stimulate bureaucratic machinery, overcome geography hurdles, ratification of flaws of economic comparative advantage theories and last but not the least easy and smooth flow of innovative financial and banking channels between the two countries.
Overhauling and operationalization and channelization of domestic savings, rise of Islamic banking, cooperation in SMEs,.
micro-financing, cooperation in green energy, climate change, non-traditional export items including marble, precious stones, valuable dry fruits, mining, sports, medical instruments, infrastructural development and last but not the least cooperation between the Chambers of Commerce and Stock Exchanges must be mantra of the two sides.
—The writer is Director: Geopolitics/Economics, Regional Expert: Uzbekistan & CIS, Member Board of Expert: Centre for South Asia & International Studies (CSAIS), Islamabad
