Akademik Məlumat İdarəetmə Sistemi
in: Connectivities and Common Legacies in Central Asia, Afghanistan, Pakistan, Iran and Turkey, Volume I, Mehmet Akif Kirecci,Gonca Biltekin, Editor, Economic Cooperation Organization Educational Institute, Ankara, pp.323-341, 2022
The Belt and Road Initiative generally has positive economic impacts on the participating countries. However, it can also create debt problems in some participating countries and thus cause economic problems.
The impact of the Belt and Road Initiative on the Turkic republics is also generally positive. But the initiative may have some negative effects on these republics in the future. The economic impacts of the Belt and Road Initiative on the Turkic republics can be listed as follows:
- deepening the process of economic integration among themselves,
- access to the high seas and expansion of integration into international infrastructure systems,
- increasing international trade and investment relations,
- increase in transit revenues,
- increasing Turkey's share in regional investment projects under the Belt and Road Initiative,
- connection of Turkey with China, which is the center of Asia's economic power, through a reliable way through the Turkic republics,
- increasing Turkey's trade with the East and contributing to the development of its eastern regions,
- the gradual decline of Turkey's dependence on the European market,
- increasing China's influence over these republics in the medium and long term,
- the outbreak of debt crisis in weak economies such as Kyrgyzstan in the medium term.
Serious reforms are needed in all economic corridors of the project. To maximize the benefits of the Belt and Road Initiative, these countries should further liberalize their trade and investment environments, shorten customs clearance times, coordinate infrastructure investments with other participating countries, raise transparency levels, effectively fight corruption, integrate more effectively into global markets, and value chains, protect the priority principle in investments, improve public debt management and strengthen human capital.
In order to maximize the benefits of the Belt and Road Initiative, the Turkic republics should pay attention to the above-mentioned policy reforms. Besides, these republics will need to try to balance China's increasing economic impact through regional economic forces such as Russia.