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| The Ninth Summit of the Organization of Turkic States (OTS) is held under the chairmanship of Uzbek President Shavkat Mirziyoyev in Samarkand, Uzbekistan, Nov. 11. Courtesy of Embassy of Uzbekistan in Korea |
By Akrom Ayubjanov
At the First Summit of the Organization of Turkic States (OTS) in Samarkand, the President of Uzbekistan Shavkat Mirziyoyev made several very important and timely initiatives in trade, economic and investment fields.
In particular, the leader of Uzbekistan put forward an initiative to create a Space of New Economic Opportunities and for this purpose proposed to hold an International Turkic Economic Forum annually within the framework of the organization, which would include the organization of joint events: meetings of entrepreneurs, roundtable discussions, presentations of innovative projects, exhibitions, G2B meetings. At the same time, for the effective and timely implementation of the achieved joint programs, projects and decisions based on the results of the forum, it was proposed to adopt annual road maps.
The Head of the state also spoke in support of the launch of a Joint Investment Fund for the OTS member countries.
The initiatives put forward by the President of Uzbekistan are very relevant in the context of a systemic failure in the global economy, growing protectionism in international trade, a global decline in investment activity, as well as an unsatisfactory level of economic interaction within the OTS itself, which does not meet the potential of our countries. For example, as statistics show, with a total trade turnover of more than $970 billion, mutual trade of the organization's member countries with a potential market of 170 million people in 2021 amounted to only $21 billion, or about 4 percent of their total foreign trade. For example, in the European Union, this figure exceeds 63.2 percent, in ASEAN ― 70 percent, in NAFTA ― 40.9 percent, in East Asia ― 57.5 percent.
These figures once again show the need for developing new ideas and non-standard approaches to solving the economic problems facing our countries.
Uzbekistan clearly understands the benefits of enhancing regional cooperation and is making serious efforts in this direction. In particular, the holding of the International Turkic Economic Forum will become an effective platform for discussing key economic issues, will make it possible to intensify business ties between the business circles of our countries, and will demonstrate to the international business community the investment opportunities of the OTS countries.
Against the backdrop of the observed outflow of capital from emerging market countries, the creation of a joint OTS investment fund is also very promising. It should be noted that Uzbekistan has bilateral investment funds with other members of the organization ― Azerbaijan and Kyrgyzstan, and the creation of a similar fund also within the framework of the OTS will give a powerful impetus to the implementation of large joint projects in a wide range of areas ― engineering, electrical, logistics, textile, construction, oil and gas, petrochemical, pharmaceutical, agro-industrial and others.
Ultimately, the initiatives put forward by Uzbekistan will allow:
― to adapt the economies of our countries to the growing negative consequences of the global economic crisis, to increase the level of competitiveness of national economies through the expansion of interstate cooperation and the full use of economies of scale, the widespread attraction of investments and modern technologies to the economy;
― increase the volume and range of intra-regional trade, ensure joint access to the markets of third countries;
― to create new jobs, which is of vital importance for the economy of each of our countries.
In general, today, in the conditions of an ambiguous economic situation, the priority task should be to consolidate common efforts to further strengthen mutual trust and cooperation, and jointly search for optimal ways to counter the crisis. To do this, it is necessary to use the huge potential for mutually beneficial cooperation, which opens up as a result of developing collaboration within the framework of the OTS.
It is important to continue strengthening trade ties, enhancing investment activities and cooperation based on complementarity. This, in turn, will help maintain socio-economic stability, increase income levels, ensure employment in our countries, and promote joint progress and further prosperity of the common Turkic space.
Akrom Ayubjanov is chief research fellow at the Institute for Strategic and Regional Studies under the President of the Republic of Uzbekistan.
