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The Regions This Week
March 31, 2017 www.intellinews.com I Page 7
Eurasia
Iran posted its second trade surplus in 37 years
during the past Iranian calendar year that ended on March 20. The news might boost President Hassan Rouhani in his re-election bid. Non-oil exports for the past Iranian calendar year exceed- ed imports by $246mn. International sanctions imposed on the Iranian economy were eased in January 2016 following the nuclear deal.
Armenia’s ruling Republican Party (HHK) and largest opposition coalition Prosperous Arme- nia were neck-and-neck in opinion polls ahead of the April 2 parliamentary election, Russian pollster VTsIOm said. HHK was nevertheless likely to triumph because its stronger, better-known candidates would win the proportional race.
Japan pledged $850mn in loans to assist in re- viving Mongolia’s ailing economy. The economy grew by only 1% in 2016, which was down from 2015’s 2.3% growth and 2011’s investment-driven 17.5% growth. Mongolia reached a $5.5bn bailout agreement with the IMF in February. Deadlines are looming for Mongolian repayments on $1bn of debt.
The European Commission reportedly decided to not impose provisional duties on hot-rolled steel from Iran and four other countries following dumping claims, Reuters reported industry sourc- es as saying. But it could still rule that the export- ers have breached unfair competition rules.
Russian President Vladimir Putin hosted Iranian counterpart Hassan Rouhani on his first official visit to Moscow. Putin lauded the Islamic Re- public as “a good neighbour”. No big deals were announced, but the Iranians agreed to consider Russia’s wish to use air bases in Iran for its Syria campaign on a “case by case” basis.
Kazakhstan’s economy has grown 2.5% since the start of 2017, economy minister Timur Suley- menov said. He has predicted that higher-than- expected oil prices may push growth up to 2.8%
in 2017. Kazakh GDP growth was 1% in 2016.
Kazakh Energy Minister Kanat Bozumbayev said
Kazakhstan is unable to cut its oil output more than it has already under a non-Opec deal. He did not say why. Under the non-Opec agreement Kazakhstan was required to cut output by 20,000 barrels per day (b/d) from its November level of 1.7mn b/d until the end of the first half of 2017. However, Kazakhstan’s February production level rose to 1.718mn b/d, 38,000 b/d above the agreed limit.
Kazakhstan’s net inflow of FDI reached $14.4bn in 2016, the best result since 2008’s $13.1bn. The inflow grew 40% y/y last year with the re- investment of non-residents’ income exceeding $4.9bn. China plans to implement 50 Kazakhstan investments worth more than $24bn in 2017-2019.
Armenia’s central bank kept its key refinancing rate at 6%. The bank’s governor, Artur Javadyan, signalled a halt to the easing cycle, saying more caution was now needed in cutting rates because of potential economic and financial risks. The reg- ulator began cutting rates in August 2015 to help prevent deflation and push up consumer demand.
An RFE/RL investigation revealed 29 firms with ties to Azerbaijani President Ilham Aliyev, his family and government officials’ families, which do not appear in the tax ministry’s public regis- try. Azenco Group, a firm that won state contracts to build a Eurovision 2012 song contest arena, is among those missing. RFE/RL in 2012 found it was registered under First Lady Mehriban Aliyeva and two daughters through offshore companies.
At least 30 seats in Abkhazia’s 35-seat parlia- ment are to go to independent candidates follow- ing a run-off election. Ethnic Abkhaz candidates have taken 31 seats. The Georgian breakaway region of Abkhazia has been at the heart of a bit- ter conflict between Russia and Georgia since the dissolution of the Soviet Union.