Kazakhstan and Kyrgyzstan not just trade partners but brotherly states: I. Chudinov

Mr. Chudinov, the sitting of the Intergovernmental Council of the two friendly countries, established by the decision of the heads of our states will be held in Astana soon. What issues will be considered first? What do you expect from the meeting with your colleague Karim Massimov? Firstly, there exist many issues, requiring joint discussion with the Kazakh Prime Minister. I believe that the decision of our states on the establishment of the Intergovernmental Council instead of intergovernmental commission confirms the fact that we are not only good trade partners, but brotherhood states. The issues concerning the frontier trade ? establishment of frontier trade areas in two regions will be discussed at the session. The issue of our labor migrants in Kazakhstan is of special importance as well. I hope that the issues of cooperation with the Kazakh investors working on the territory of Kyrgyzstan will be addressed as well. At the last meeting with Kazakh Vice Prime Minister Umirzak Shukeyev we decided that the issues on investors will be discussed at the coming session of the Intergovernmental Council. I know there is a program on support of enterprises in the antirecessionary program of the Kazakh Government. Foreign experts admit that the Kazakh anti-crisis measures are one of the most effective in the CIS. Some of them are adopted by our partners. What of the Kazakhstan?s experience is of practical interest for the Kyrgyz Government? The nature of the economic problems in Kyrgyzstan and the financial crisis in Kazakhstan is different. Your biggest problem is the problem of the banking system. Kyrgyzstan didn?t suffer from the financial crisis as strongly as Kazakhstan. As long as we secured ourselves, establishing the Bank Refinancing Fund to provide our banks with refinancing through the National Bank in case if they lack of resources in Kazakhstan. 30% of banking sector of Kyrgyzstan is the Kazakh investments. Secondly, the Kyrgyz Government together with the National Bank established the Deposit Insurance Fund in order to secure the banking deposit system. The measures on the national currency exchange rate, taken by the Kazak Government, were not necessary for Kyrgyzstan due to the structure of our trade balance. Despite the devaluation of the som is on, it is systematic. The Government of Kyrgyzstan often raises a problem of labor migration. Labor migrants from your country work in various sectors of Kazakhstan?s economy. What problems do our countries face in this direction? What does the Kyrgyz side propose to solve the issue? That very agreement on private entrepreneurs, which is planned to be signed, will help settle the problem. Kazakhstan?s legislation, particularly in the sphere of trade, did not allow individual entrepreneurs from Kyrgyzstan to take part in legal relations. So there were caused different problems, especially at wholesale markets. The document will legitimize their stay on the territory of Kazakhstan. They will obey the rules specified by the agreement. It will enable to build a clear system of understanding and prevent misunderstanding. How are the issues of water energy cooperation between the countries of our region solved? What is the situation for today ? won?t we be cut off from water and you from heating this year? Is it real to create a water energy consortium proposed by the Kazakh side? Fortunately, we have no difficulties over this issue with Kazakhstan. On this occasion, I would like to expressed gratitude to the Kazakh side for the last year ? it was a low water year. There was reached the agreement with the Government of Kazakhstan that we will store water you may need in 2009. You bought our electric energy for 2009 (in November 2008). These means allowed to increase capacity of the Bishkek thermal power plant through the purchase of fuel oil and coal. It was bought in Kazakhstan by the way. That Kazakhstan?s step helped Kyrgyzstan live through the winter. Besides, it allowed to maintain the work of the single energy system of Kazakhstan, Kyrgyzstan and Central Asia. I hope this year we will work in this direction and reach all necessary agreements as well. The mechanism functions. The partners ? ?Electric stations? OJSC and KEGOK ? achieved confidence. *** To the end Igor Chudinov emphasized that he would like to raise the issue of construction of Almaty - Issyk-Kul highway. ?To my mind, building of this road is mutually beneficial. Kyrgyzstan will be able to develop one of the priority spheres - tourism. Kazakh citizens will get more tourist opportunities?, the Prime Minister of Kyrgyzstan stressed.