The Commonwealth of Independent States (CIS) countries have been working towards a free trade agreement (FTA) since 2012. The agreement, which is expected to be signed in 2022, aims to increase trade and economic cooperation among the member states of the CIS.
The CIS is a regional intergovernmental organization that was formed in 1991 in the aftermath of the collapse of the Soviet Union. The organization consists of 10 member states: Armenia, Azerbaijan, Belarus, Kazakhstan, Kyrgyzstan, Moldova, Russia, Tajikistan, Turkmenistan, and Uzbekistan.
The proposed CIS FTA would create a common market among these countries, meaning that goods and services could move freely between member states without tariffs or other trade barriers. This would make it easier for businesses in these countries to trade with each other, potentially increasing economic growth and creating new jobs.
The FTA would also establish a framework for regulatory cooperation, allowing member states to harmonize their laws and regulations in order to facilitate trade. This would help to ensure that businesses in these countries are not faced with different standards and regulations in each market they operate in.
One of the potential benefits of the CIS FTA is that it could help to reduce the region`s dependence on external trade partners. Currently, many CIS countries rely heavily on trade with the European Union, China, and other countries outside the region. By increasing intra-regional trade, the CIS could become more self-sufficient and less vulnerable to external economic shocks.
However, there are also challenges to be overcome in order to make the CIS FTA a reality. One of the biggest obstacles is the fact that some member states have different economic and political systems, which could make it difficult to harmonize regulations and create a level playing field for businesses in the region.
Another challenge is the ongoing conflict between some member states, such as Armenia and Azerbaijan, which could make it difficult to establish a common market and create trust among member states.
Overall, the proposed CIS free trade agreement has the potential to bring significant benefits to the region, including increased economic growth and improved regional cooperation. However, it will require careful negotiation and cooperation among members to overcome the challenges and make the agreement a reality.