The Dynamics of Integration Processes in Central Asia

Abstract

Using a brand new comprehensive dataset, provided by the Eurasian Development Bank, the paper elaborates on the state of regional integration in Central Asia. We find that although the economic links between the Central Asian countries are more pronounced than between that of the CIS in several key areas, this advantage has been disappearing fast over the last decade. In addition, the trend of economic integration of Central Asia seems to strongly correlate with that of the CIS in general. Russia still represents a dominant integration pole for the whole of the region, while China is still a minor player in this respect. Currently Central Asia should be treated as a sub-region of the post-Soviet world rather than a definite integration region.On the other hand, however, we find that Kazakhstan emerges as a new center for regional integration, which can bear some potential for regionalism in Central Asia.Central Asia; Russia; China; regional integration; economic integration; CIS; Eurasian Economic Community