Tajikistan Business Economy - The Times Of Central Asia

Viewing results 85 - 90 of 195

Eurasian Fund for Stability and Development to Fund Renovation of Tajikistan’s Roads

The Eurasian Fund for Stabilization and Development (EFSD) has announced that it will allocate funds to renovate Tajikistan's main roads. The work will involve construction of 51 anti-avalanche galleries, extending to over 5,200 meters, in vulnerable sections of Tajikistan’s highways. Established in 2009 to operate in Armenia, Belarus, Kazakhstan, Kyrgyzstan, Russia and Tajikistan, the EFSD promotes economic and financial stability in these countries to support their sustainable development. The Times of Central Asia has previously reported that the EFSD's financing of the Rogun hydroelectric power plant is one of the main risks to Tajikistan’s budget and debt sustainability. Analysts from the fund have emphasized that “in the face of uncertainty regarding funding sources, starting in 2025, the government of Tajikistan may have additional needs for budgetary support from international financial organizations.”

Central Asia Tajikistan International Affairs Tajikistan Business Economy Tajikistan International Affairs Business & Economy

S&P Estimates That Rogun Hydroelectric Power Plant Will Cost Over $6 Billion To Finish

The ratings agency S&P has estimated the cost of completing the construction of the Rogun hrydroelectric power plant in Tajikistan at $6.4 billion. The Tajik government is negotiating with a consortium of multilateral and bilateral creditors to provide a financing package covering about 50% of these costs. The other half of the financing is expected to come from the state budget and revenues from the plant. S&P analysts said the initial external financing package includes $1.73 billion in semi-concessional loans, $850 million in grants, and $390 million in soft loans. According to S&P, the Rogun hydroelectric power plant (HPP) already produces electricity at 10-15% of its total capacity. In 2024-2035, the income from electricity is expected to be $1.1 billion, which will be invested in further construction of hydroelectric power plants. In 2016, during the international tender to select the main contractor for the dam's construction, the plant's value was announced as $3.9 billion. In 2022, the Tajik Ministry of Energy announced that more than $5 billion would be required to complete the project. In February 2023 the ministry estimated that the plant would cost $6.2 billion to complete. Then, more than $4 billion were allocated, including through the sale of shares of Rogun HPP OJSC (890 million TJS), Eurobonds ($500 million) and the remaining part from the state budget. The Times of Central Asia has been reporting on the loans allocated for the plant's construction.

Central Asia Tajikistan International Affairs Tajikistan Business Economy Tajikistan International Affairs Business & Economy Kazakhstan Kazakhstan International Affairs Kazakhstan Business & Economy

Kazakhstan and Tajikistan Sign Allied Relations Treaty

A treaty on allied relations between Kazakhstan and Tajikistan was signed on August 22 during Kazakh President Kassym-Jomart Tokayev's state visit to Tajikistan and talks with Tajik President Emomali Rahmon in Dushanbe. Noting its significance, Rahmon stated that the treaty opens a new page in the history of Kazakh-Tajik cooperation and will become a solid foundation for strategic partnership between the two nations. President Tokayev, in turn, emphasized that “there are no problematic issues between our countries” and announced plans to increase bilateral trade to $2 billion. Over the past five years, the annual trade volume between Kazakhstan and Tajikistan has more than doubled, exceeding $1 billion. Referencing Kazakhstan's readiness to increase supplies to Tajikistan of some 85 commodities valued at $200 million, Tokayev announced: “We agreed to expand the range of goods supplied, systematically remove barriers that hinder trade and economic cooperation between our countries, and strengthen partnership in the transport and logistics sector. There is a serious potential for increasing bilateral trade in the agro-industrial sector. In the first six months of this year, agricultural trade between our countries increased by 12%, amounting to almost $300 million." Tokayev also emphasized the importance of cooperation in the water sector: “We agreed to continue the coordinated work on the rational use of resources of transboundary rivers of Central Asia. Kazakhstan is grateful to the Tajik side for timely decisions related to fulfilling obligations in the water and energy sector, particularly on [irrigation] water supplies to Kazakhstan.” During the talks, it was stated that over the past five years, Kazakhstan has invested $700 million in Tajikistan's economy. Today, more than 80 percent of Tajikistan's fruit and vegetable exports go to Kazakhstan, and Tajikistan imports large amounts Kazakh wheat, flour, and other grain products. On August 21, the eve of Tokayev’s visit, Dushanbe hosted a Kazakh-Tajik business forum, during which the parties signed 14 commercial contracts and cooperation agreements worth $1.2 billion.

Central Asia Tajikistan International Affairs Tajikistan Local Politics International Affairs Tajikistan Tajikistan Business Economy Local Politics Business & Economy

ADB Gives Grant to Support Women in Tajikistan

The Asian Development Bank (ADB) has approved $17.5 million in grant assistance to improve women's agricultural skills and food security in Tajikistan. The project, which aims to support women farmers, will cover six districts in Khatlon province (Bokhtar, Farkhor, Kulyab, Panj, Shahritus, and Vose), the country's largest agricultural region. ADB's Director General for Central and West Asia, Eugene Zhukov, said the bank views women as critical agents of change, and the project aims to increase their role in agriculture. The project will provide women access to modern resources, including drying plants, greenhouses, water-saving technologies, and training in financial management and production technologies. Particular emphasis is placed on climate-resilient farming practices to reduce vulnerability to climate change impacts such as drought and heat stress. The project will also establish small-scale crop processing and storage centers to increase the value of crops in the market. In addition, the project will create digital platforms for the training and trading of agricultural products. It is also expected to address social problems faced by women, such as gender-based violence. Under the guidance of the Women and Family Committee, a shelter offering counseling, a referral system, and training and entrepreneurship opportunities will be opened. ADB has supported Tajikistan for 26 years, serving as the country's largest donor. During this time, Tajikistan has received over $2.6 billion from ADB, of which more than $2 billion was provided through grants. Since 2018, the country has received the bank's financial assistance exclusively on a grant basis.

Central Asia Tajikistan International Affairs International Affairs Tajikistan Tajikistan Business Economy Business & Economy

Russia Remains Tajikistan’s Largest Trade Partner

Russian news agency TASS is reporting that, according to the Statistics Agency under the President of Tajikistan, trade between Tajikistan and Russia has exceeded $1.1 billion in 2024 so far. During the first seven months of 2024, the trade volume between the two countries was 12.1% more than in the same period of 2023. Russia continues to be Tajikistan’s largest trade partner, and also accounted for 26.7% of all imports entering the country during this period. In terms of bilateral trade, China remains in second place, with turnover to and from Tajikistan of almost $1 billion. Rather surprisingly, Switzerland has now became Tajikistan's leading export partner. In the first seven months of 2024, Tajikistan sent 26.6% of its products to Switzerland. In January-July of this year, the trade volume between the two countries amounted to more than $641 million, and compared to the same period in 2023, it increased almost 110 times.

Central Asia Tajikistan International Affairs International Affairs Tajikistan Tajikistan Business Economy Business & Economy

Tajikistan Intends To Expand Production of Armored Vehicles and Special Equipment

Tajikistan's Sipar Group plans to significantly expand the production of armored vehicles and special equipment at its plant in the city of Tursunzade. The project is being implemented with a foreign investment of $15 million, allowing the company to produce 17 types of special vehicles. The plant is already actively developing its production capacity. The enterprise assembles military and civilian vehicles using components from the United Arab Emirates. Tajikistan's Minister of Industry and New Technologies, Sherali Kabir, said that armored vehicles in Tursunzade are manufactured using Canadian technologies; therefore, they are in no way inferior to their counterparts produced in other Central Asian countries. So far, the plant has produced a limited volume of vehicles, but given the demand, it plans to increase its production capacity significantly in the coming years. The project will also create more than a hundred new jobs, which will make an important contribution to the region's economic development. The plant's products are aimed not only at the domestic market, but also with the possibility of exporting to other Central Asian countries in mind, which would allow Tajikistan to strengthen its position in the international arena in the defense industry.