GANIEV ON UZBEK ECONOMY AND AFGHAN ELECTRICITY

UNCLAS TASHKENT 001852 SIPDIS SENSITIVE SIPDIS DEPT FOR SCA/CEN E.O. 12958: N/A TAGS: ECON PREL PGOV AF UZ SUBJECT: GANIEV ON UZBEK ECONOMY AND AFGHAN ELECTRICITY REF: A. A. TASHKENT 1678 ¶B. B. TASHKENT 1760 SENSITIVE BUT UNCLASSIFIED--PLEASE PROTECT ACCORDINGLY. ¶1. (SBU) Ambassador made a courtesy call on the Uzbek Minister of Foreign Trade and Economic Relations, Elyor Ganiev, on October 23. The GOU now is granting the Ambassador meetings with officials approximately once a week. Ganiev reiterated a number of points expressed at his meeting with Charge in September (ref A),including the continued "impressive" growth of the Uzbek economy, Uzbekistan's desire to attract technological investment, and the open and profitable investment climate Uzbekistan offers foreign investors. ¶2. (SBU) Ganiev believes that the recent GM-DAT joint venture with UzDaewoo (ref B) will send a signal to other investors that Uzbekistan has great potential, is a good place for U.S. investment and is a serious partner. It also sends a signal, he said, that large U.S. companies can invest in Central Asia for the long term. ¶3. (SBU) Ambassador raised the importance of expanding the electricity supply to Afghanistan. Ganiev said the Uzbek side needs more concrete information, such as the total costs involved in building and how much Uzbekistan will receive for the electricity, as "Uzbekistan will not export for less than the cost" to provide. He also said Uzbekistan is quickly growing and needs to improve its own energy supply, however they "have not closed the door to cooperation, but we need more concrete information." NORLAND