Forum highlights important role of Central Asian economies in shaping future of trade

Participants also discussed the region's contribution to shaping the multilateral trading system and ongoing discussions at the WTO on reforming the institution.

Opening the event, Director-General Ngozi Okonjo-Iweala said that the CAREC region holds strong potential to play an important role in the re-globalization agenda, emphasizing its "strategically important location between major economic centres in Europe and Asia, and its considerable potential for further regional economic integration along with a wealth of critical mineral reserves and green energy potential."

"Lowering trade costs, simplifying border procedures and cutting red tape in the region - for instance, through implementation of the WTO Trade Facilitation Agreement - would help attract more investment, encourage more trade and support growth and employment," she noted. 

DG Okonjo-Iweala further highlighted the importance of digital connectivity for Central Asian economies to overcome geographic constraints, especially given that the majority are landlocked. "AI and the digital transformation will only increase the potential of the region to become a trade hub of land-linked economies. The WTO's recent World Trade Report points to steps that CAREC countries and their partners can take at home to make the most of AI as a driver of trade and inclusive growth," she said.

Echoing the DG's remarks, Bruce Gosper, Vice President for Administration and Corporate Management of the ADB, said: "The multilateral trading system and regional integration are not alternatives; they are mutually reinforcing tools for prosperity. Regional initiatives like the CAREC Program can help keep up the momentum for the rules-based open trade system. By reducing trade barriers, both physical and non-physical, we can expand our markets, diversify our economies and build resilience to global shocks." 

Mr Gosper also noted that the WTO accessions of Azerbaijan, Turkmenistan and Uzbekistan are priorities under the CAREC Integrated Trade Agenda 2030, which ADB supports through technical advice, regional policy dialogue and peer learning opportunities. He also mentioned that priorities for regional cooperation include WTO accession, trade facilitation, digital connectivity, climate action in trade and promoting services for economic diversification. 

The CAREC Programme is an open and inclusive partnership of 11 members from Central Asia, South Caucasus, East Asia and South Asia and supported by development partners. The Asian Development Bank acts as the Secretariat of the CAREC Programme. More information can be accessed here.

More information on the event is available here.