Central Asia's Water Crisis: The Hidden Barrier to Next-Generation Industry

Central Asia is sitting on a time bomb, and it is not political — it is hydrological. As the region looks to diversify its economies beyond oil, gas, and mining, a fundamental question is being ignored: where will the water come from?

Dr. Theresa Sabonis-Helf, a leading expert on Central Asian energy and environmental policy, warns that Kazakhstan and Uzbekistan are not yet grappling with the water needs of next-generation industries. "I do not find evidence that they are yet grappling with the water needs of next-generation industries," she says. And that gap could prove crippling.

Industries like semiconductor manufacturing, data centres, green hydrogen production, and advanced agriculture are extraordinarily water-intensive. A single semiconductor fabrication plant can use millions of litres of water per day. Data centres require massive amounts of water for cooling. Central Asia, already one of the most water-stressed regions in the world, simply does not have the capacity to support this kind of industrial transformation without major investment in water infrastructure.

The problem is compounded by transboundary water politics. The Amu Darya and Syr Darya rivers, which provide most of the region's freshwater, flow through multiple countries with competing claims. Upstream nations like Kyrgyzstan and Tajikistan want to use the water for hydropower; downstream nations like Uzbekistan and Kazakhstan need it for irrigation and industry. These competing demands are intensifying as climate change reduces overall water availability.

For investors looking at Central Asia's potential, the water question should be at the top of the due diligence list. Without a sustainable water strategy, the region's industrial ambitions may remain just that — ambitions.

This is Prof. David Park for Global1 News, reporting from Seoul. 🇰🇷