Now Available: Kazakhstan and Central Asia Defence & Security Report Q4 2014

At present, Kazakhstan and the other four Central Asia countries, Turkmenistan, Tajikistan, Uzbekistan, and Kyrgyzstan have limited defence budgets, yet numerous requirements. While BMI expects these budgets to increase incrementally over the coming years, BMI also expects the budgetary and underdevelopment challenges to limit those increases considerably. These countries face numerous internal and external security challenges. Border disputes, criminality, domestic infighting and domestic and transnational terrorism are just a few of those challenges.

BMI expects Kazakhstan's defence spending to have reached USD2.8bn by the end of 2014 and USD3.2bn by the end of 2015. While Kazakhstan's domestic defence industries remain largely dependent on the old Soviet defence industrial complex, Kazakhstan has seen some interesting developments during the first half of 2014. Several contracts have been signed with western defence companies and with companies from emerging economies. BMI expects these contracts to add some new technologies to Kazakhstan's industrial base in the coming years notably in the aerospace sector.

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In Q414 BMI observes that the scores attributed for security risk have lowered over the last five years, indicating higher risk. Overall BMI thinks the risk of interstate conflict remains low. That said, trans-border terrorism is a mounting challenge in the region. Kazakhstan and Turkmenistan are least at risk, while Uzbekistan, Kyrgyzstan and Tajikistan are most susceptible. BMI expects this challenge may increase if instability emerges in Afghanistan following the withdrawal of NATO forces in 2015. BMI also notes that a balance needs to be struck between fighting terrorism and allowing opposition groups' room for expression.

Finally, BMI wishes to highlight the internal clan rivalries coming to the fore in Uzbek politics as a result of the upcoming parliamentary and regional elections at the end of 2014 and the...

The Kazakhstan and Central Asia Defence & Security Report features Business Monitor International (BMI)'s independent forecasts for national and international security, the defence industry, military expenditure, employment in arms production, and arms imports and exports, as well as examining industry trends and prospects, national and multinational arms producers and the regulatory environment.

BMI's Kazakhstan and Central Asia Defence & Security Report provides professionals, consultancies, government departments, regulatory bodies and researchers with independent forecasts and regional competitive intelligence on the Kazakhstani, Uzbekistani, Turkmen, Kyrgyzstani, Tajikistani defence and security industry.

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