Renat Bekturov: Boosting Sustainable Growth on Be…

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During the seminar on "Supporting High-Quality Belt and Road Cooperation" held at the Boao Forum on March 29, 2024, Renat Bekturov, the former Director and CEO of AIX, acknowledged that the Belt and Road Initiative is not exclusively China's endeavor. Rather, it serves as a significant initiative aimed at assisting all countries along the Belt and Road in achieving their development goals. Moreover, the initiative demonstrates a profound understanding of the specific needs of the countries along the route. For instance, Kazakhstan requires railway infrastructure to facilitate the transportation of Chinese goods to Western countries. In response to these requirements, positions have been established responsible for the Belt and Road Initiative, and global goods intersected here.

Renat Bekturov highlighted impressive projects. In May of the previous year, Kazakhstan made the decision to invest in an airport in Xi'an, which serves as a crucial link in China's corridor. Additionally, in March, the railway line connecting Xi'an to Baku commenced operations. Previously, it took ten days to travel from Xi'an to Baku, followed by several more days to reach the Black Sea. By utilizing this central corridor, not only can Chinese goods be transported to the West more efficiently, but it also facilitates the circulation of goods from other countries along the route. Consequently, Renat Bekturov endorsed the Belt and Road Initiative as a major endeavor for shared development, also the reason why experts argue that all countries along the Belt and Road can reap benefits from it.

Kazakhstan has also taken measures to establish economic cities and develop infrastructure to facilitate financing for countries along the Belt and Road. Despite concerns about potential debt traps, many projects are funded by various financial institutions, including banks. Renat Bekturov advocated for the BRI 2.0 version to focus on achieving diversified sources of capital, including increased involvement of private capital and private equity. In this regard, investors can issue bonds denominated in RMB, further promoting the internationalization of the Chinese currency. The current favorable exchange rate between the RMB and the US dollar has the potential to attract more investment to Kazakhstan. Notably, the chairman recently mentioned the Eurasian Development Bank's plan to issue panda bonds, which aligns with the objectives of the BRI 2.0 version. To ensure success, it is necessary to prioritize soft power, facilitate capital circulation, and attract various forms of capital to support the projects. Furthermore, countries along the Belt and Road express a desire for increased technology transfer and knowledge sharing. As China is at the forefront of innovation in many areas, sharing these technologies and knowledge would result in mutual benefits.

According to Renat Bekturov, financing plays a pivotal role in the Belt and Road Initiative, encompassing both transactions and investments. He explained that most Belt and Road projects primarily involve infrastructure and encounter high-risk challenges. Due to geographical factors and long return periods on investments, transaction efficiency tends to be low, leading to increased costs. Therefore, recipient countries of Belt and Road projects must ensure the smooth flow of capital, particularly foreign direct investment, between nations.

Renat Bekturov emphasized the advantages of having a diverse range of investment objectives and funding sources. For instance, diversifying risks and attracting more private capital can be achieved through the development of public-private partnerships (PPP). Governments can provide initial investment as seed funding, enabling international financial institutions and additional private capital to participate in a blended financing platform. Additionally, it is crucial for the local environment to make commitments that ensure stable investment conditions and political stability. In many cases, individuals may possess limited knowledge about specific countries or regions, making it challenging to determine where to invest their capital. Thus, Renat Bekturov underscored the importance of information sharing and promotional efforts to create awareness of investment opportunities in less familiar areas.

In conclusion, Renat Bekturov emphasized that financial cooperation can contribute to sustainable development by prompting companies to consider corporate social responsibility and assume accountability for sustainable development, consequently generating positive environmental impacts. Central Asian countries have also adopted green development strategies. Initially, the principles of green development were relatively unknown, but Kazakhstan introduced the concept of green product taxonomy. Subsequently, an increasing number of financial institutions recognized this as a significant topic and gradually joined in. This is another advantageous outcome resulting from our financial cooperation since these capital owners are willing to invest in intelligent projects that support environmentally sustainable initiatives.

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原标题：《Renat Bekturov: Boosting Sustainable Growth on Belt and Road》

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