Identifier
Created
Classification
Origin
08ASHGABAT1129
2008-08-27 11:26:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Ashgabat
Cable title:  

TURKMENISTAN: NEW BUILDINGS RISE IN TURKMENABAT,

Tags:  PGOV ECON TX 
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P 271126Z AUG 08
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UNCLAS ASHGABAT 001129 

SENSITIVE
SIPDIS

STATE FOR SCA/CEN;

E.O. 12958: N/A
TAGS: PGOV ECON TX
SUBJECT: TURKMENISTAN: NEW BUILDINGS RISE IN TURKMENABAT,
ALONG WITH FOOD PRICES

REF: ASHGABAT 1071

UNCLAS ASHGABAT 001129

SENSITIVE
SIPDIS

STATE FOR SCA/CEN;

E.O. 12958: N/A
TAGS: PGOV ECON TX
SUBJECT: TURKMENISTAN: NEW BUILDINGS RISE IN TURKMENABAT,
ALONG WITH FOOD PRICES

REF: ASHGABAT 1071


1. (U) Sensitive but unclassified. Not for public Internet.


2. (SBU) SUMMARY: Turkmenabat is growing, with large
construction projects from Russian and Turkish firms.
Projects include an "Olympic Stadium," schools, and hotels.
Locals complain that food prices have risen recently --
possibly as a result of an increasing Chinese presence -- but
otherwise seem optimistic about their city's mid-term growth
prospects. END SUMMARY.


3. (SBU) Although Turkmenabat City in the north of the
country in no way rivals Ashgabat for a skyline of cranes and
scaffolding, it is growing markedly. Most major construction
projects are with Russian or Turkish firms, and the Chinese
are building several new Chinese National Petroleum Company
offices. Important projects -- many funded by Turkmenistan's
government -- include the "Olympic stadium," several new
hotels, business offices, and schools (both Turkmen and
Turkish). Locals are particularly happy about the increased
educational opportunities the new schools can bring.


4. (SBU) Locals do complain that the price of food has risen
in recent months. In particular, the price of rice has gone
up 10%-20% since June. Meat prices have risen noticeably,
and restaurant prices have also increased. The higher food
prices may well be due to the influx of Chinese due to the
drilling and refinery contracts for China National Petroleum
Corporation's production sharing agreement area on the right
bank of the Amu Darya River (reftel).


5. (SBU) Turkmenabat locals are generally optimistic about
prospects for their city. A hefty number of young Turkmen
are studying across the Uzbek border, particularly at the
Medical Institute in Bukhara (see reftel for more on this
issue). Many are still reluctant to talk about the Niyazov
era. One family admitted that under the new president they
do not feel as "stifled" as before.


6. (SBU) COMMENT: Even in relation to other cities outside
the capital, Turkmenabat hardly has a reputation as a
happening place. Still, the healthy volume of construction
projects, its important position along the Turkmen-Uzbek
trade route, and its growing Chinese presence make
Turkmenabat a city to watch in the medium term. END COMMENT.
CURRAN

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