The dollar surged upwards today, creating new lows for both the Kazakh tenge and the Russian ruble since the 1998 Asian financial crisis. News of further economic slowing in China caused Brent crude oil benchmark prices to decline almost 2.5% to nearly $31, its lowest point in twelve years. As both countries’ main exports are…
After the execution of a prominent Shiite cleric on Saturday by Saudi Arabian officials, it seems that despite the passage of the landmark nuclear deal with the West, Iran’s Arab neighbors are cutting themselves off diplomatically and maybe, economically. After major protests in Tehran after the cleric Nemer al-Nemer’s execution, where crowds burned the Saudi…
Russian state-owned natural gas company Gazprom has announced the cessation of purchasing agreements with Turkmenistan for its primary export, a huge blow to Turkmenistan’s economy. The decision, according to a statement from Turkmengaz, was a result of “changing conjunctures on the international gas market, as well as particular economic and financial issues arising at Gazprom…
Iran is shipping its stockpile of enriched uranium to Russia, a major step to comply with the nuclear deal struck between the P5+1 Powers and Iran. According experts and diplomats following and overseeing the deal, this will leave Iran with too little fuel to manufacture a nuclear weapon. The shipment was announced by US Secretary…
On Monday, Azerbaijan’s Central Bank abandoned its peg to the dollar, allowing its currency to tumble by almost a third of its total value, dragged down by the consistently lower price of oil benchmarks. Against the US dollar on Monday morning, the manat was trading 32.3% weaker. The CB released statements soon afterwards, specifically citing…
Despite the deal between Iran and the P5+1 powers lifting sanctions in exchange for compliance with the dismantling of the Iranian nuclear program signed over the summer, it appears that Iran’s government is not as eager to rejoin the world economy as most originally believed. For those hoping that the deal would cause a flood…
A report from Dutch bank Rabobank has extolled the possibilities in boosting trade between Europe and China via overland rail link going through Central Asia. The rail networks connections would be collectively known as the Yu-Xin-Ou Railway, and the Radobank report notes that the demand for European fruit, vegetables, dairy, and meat would drive trade…
Four Russian cruise missiles intended for launch into Syria, landed in Iran instead. Russian officials hastily released a statement saying that the missiles did not cause any damage and instead focused on the 26 other missiles at 11 targets in northern Syria, reiterating that those hit all their targets. NATO members, in particular border nation…
Already, Iranian officials are planning for the new post-sanctions economic order, but many obstacles remain in their path. The first is the impact of low oil prices – which severely hampers the short term revenue that can be raised from re-entry into the global oil markets. The second is the sanctions relief schedule, which is…
President Almazbek Atambaev’s pro-Russian Social Democrats won the Parliamentary Polls this past Sunday, along with other loosely aligned parties to form the new government. With most votes counted, the Social Democrats won almost 27% of the vote, with the nationalist opposition party winning 20%. Parties that supported closer relations with Moscow all won more seats…
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