NEWS

Investment as a Driving Force of Economy

The key objective of the investment strategy of the esteemed President Serdar Berdimuhamedov is to attract financial investments in fixed assets and direct them to innovation, the manufacturing of value-added products and the areas that ensure the further socioeconomic development of the country. Macroeconomic indicators vividly demonstrate that Turkmenistan is an economically stable country that abides by the basic principles of neutrality, good neighbourly relations and respect for territorial integrity. These main pillars of our foreign economic policy help the country, among other things, maintain economic stability. World practice shows that investment is the key driver of economic prosperity. Turkmenistan adopted the Programme “Revival of the New Era of the Powerful State: The National Programme of the Socioeconomic Development of Turkmenistan in 2022–2052” setting forth the investing objectives to ensure the progressive and long-term development of all segments of the national economy. Its main aspects include the expansion of sectors to attract private capital, to enhance investor protection, to liberalise foreign trade and others.

Entrepreneurship is the Road to Prosperity

Today it is difficult to imagine the economy of Turkmenistan without private business. The non-state sector plays a significant role in modernising and diversifying sectors of the national economy, increasing the volume and expanding the range of high-quality and competitive products, ensuring food abundance and developing the country’s export potential, the respected President Serdar Berdimuhamedov emphasises. The potential of small and medium-sized businesses in Turkmenistan is evidenced by the fact that the share of the non-state sector of the economy, excluding the fuel and energy complex, in the country’s GDP is steadily increasing and has reached 70 per cent, and the private sector employs more than half of the employed population. Based on the strategic objectives of the Programme of the President of Turkmenistan of the socioeconomic development of the country in 2022–2028 and the National Programme of the President of Turkmenistan of transforming the social and living conditions of the population of villages, settlements, etrap towns and etrap centres for the period until 2028, the country’s entrepreneurs continue to consistently work to increase the manufacture of import-substituting and export-oriented products.

KEYS TO EFFECTIVE BUSINESS ACTIVITY IN MARKET ECONOMY

After gaining independence, our country completely reorganised financial relations. These relations facilitated accelerated production growth in market conditions. As a result, GDP is now growing at its fastest rate. During the years of independence, a number of laws and regulations on financial relations at enterprises have been adopted. For example, the laws on business, entrepreneurship, joint stock companies, taxes and property and many other laws are implemented. These laws are updated regularly to meet the demands of modern market economy. In this regard, the Law On Youth State Policy, which sets forth the legal framework, goals, objectives, principles, main areas, measures and approaches to the implementation of the state youth policy in Turkmenistan, was adopted. The general provisions of the Constitution envisage creating conditions conducive to research, innovation and entrepreneurial activities of citizens of Turkmenistan aged 14 to 30 years, protecting the life of young people and building life supporting infrastructure.

Partnership for progress

At a time of globalisation, achieving the effective implementation of the Sustainable Development Goals is impossible without ensuring partnership. Goal 17 “Strengthen the means of implementation and revitalise the global partnership for sustainable development”, aims to strengthen the means of the implementation and to stir up the work within the framework the Global Partnership for Sustainable Development. Turkmenistan is an active participant in international processes and consistently builds relationships with all countries, based on the principles of equality, friendship, good neighbourliness and mutual benefit. In accordance with the objectives of the Programme “Revival of the New Era of the Powerful State: The National Programme of the Socioeconomic Development of Turkmenistan in 2022–2052” and the Programme of the President of Turkmenistan of the Socioeconomic Development of the Country in 2022–2028, the neutral policy of Turkmenistan as a universal strategically important tool is aimed at further developing cooperation with world and regional states and with authoritative international organisations.

Basis for economic development

Thanks to the national programmes of the socioeconomic development of Turkmenistan, the country has achieved significant results in its industrial advancement. The prosperous state has been created in accordance with the industrial policy pursued by the esteemed President Serdar Berdimuhamedov, economic reforms and measures taken to modernise, to technically and technologically re-equip and to stimulate the growth of all industries. Today, special attention is paid to the development of industry. This is due to the fact that this segment of the national economy has a significant potential. The experience of developed countries shows that it is thanks to the active development of industry that it is possible to achieve high economic growth and to increase the competitiveness of the economy. A significant impetus for industrial development was the adoption of the National Programme of the Socioeconomic Development of Turkmenistan in 2022–2052 and the Programme of the President of Turkmenistan of the socioeconomic development of the country in 2022–2028, focused on solving the strategic tasks of developing the industrial sector of the economy, related to accelerating the processes of the diversification of the oil and gas, power, light, machine-building, chemical, food, electronic, building materials, metallurgical and other industries and ensuring the rapid developmen

The President of Turkmenistan took part in solemnities on the occasion of commissioning and stone-laying ceremonies of new projects

Today, President Serdar Berdimuhamedov made a working trip to Balkan velayat, where he took part in solemnities on the occasion of commissioning and stone-laying ceremonies of new projects of energy and social infrastructure. These events marked a next important step on the path of implementation of large-scale programs called to ensure sustainable development and diversification of national economy, increase in its export potential, accelerated industrialization of the country and dynamic development of regions. An active introduction of advanced technologies and innovative solutions into practice, creation of optimal conditions for progressive all-round development of the fatherland act here as key areas.

Industrialisation, Innovation and Infrastructure

Goal 9, one of the 17 SDGs set by the UN for 2030 seeks to build resilient infrastructure, to promote inclusive and sustainable industrialisation and to foster innovation. Infrastructure investments are essential to achieving sustainable economic development and expanding the rights and opportunities for people to employment and income. To achieve Goal 9, the UN calls upon countries to develop high-quality, reliable, sustainable and resilient infrastructure, including regional and transborder one, for supporting economic development and human wellbeing; to promote inclusive and sustainable industrialisation and, by 2030, to significantly raise industry’s share of employment and gross domestic product; to increase the access of small-scale industrial and other enterprises to financial services, including affordable credits; to upgrade infrastructure and to retrofit industries to make them sustainable, with increased resource-use efficiency and the greater adoption of clean and environmentally sound technologies and industrial processes; to support research and to foster innovations. Inclusive and sustainable industrialisation, along with innovations and infrastructure, can unleash dynamic and competitive economic forces that generate employment and income.

Indicators of the Turkmen Economy

The rapid economic growth, which is eloquently evidenced by the dynamic pace of the country’s development due to the diversification and modernisation of the economy, the carefully thought-out investment policy and the strengthening of the trade and financial sector, pleases with its scale and results. Today, comprehensive measures are being successfully implemented in Turkmenistan for the further progressive development of the country, which contributes to ensuring positive trends in all sectors of the economy and regions, and in terms of annual growth, the country takes one of the leading positions in the world. The development of the national economy is inextricably linked with the transformation of the state into an industrialised one. New industrial sectors were created in the country almost from scratch – oil and gas, engineering, metallurgy, electronics, construction and production of modern building materials, pharmaceuticals, textile production and shipbuilding. Great success has also been achieved in the agricultural sector. The implementation of measures to ensure food security made it possible to significantly increase the volume and range of food products manufactured within the country. The abundance and variety of products on the shelves have become a symbol of the fertility of our land and evidence of a steady increase in the wellbeing of the people and the

Prospects of Transport Corridors

Transport corridors play an increasingly important role in global economic cooperation. The improvement of international transport and transit corridors passing through the territory of Turkmenistan is a key priority of the foreign policy of President Serdar Berdimuhamedov. This is not accidental, since the transnational logistics sector is of great importance for joint efforts of our state and other countries of the world. Transport communications of Turkmenistan make it possible to deliver transit cargo to all countries of Europe and Asia. This is ensured by a well-developed system of logistics services – one of the major factors of a progressing economy. The prospects for bolstering transport cooperation not only on the Eurasian continent, but also with the world community significantly expand the transit potential of Turkmenistan. Therefore, the development of the necessary infrastructure – railway, sea, air and road transport and a communications network – gives a powerful impetus to the successful integration of the countries of the region into the global processes of economic development, increasing investment flows and facilitating effective cooperation in the context of intercontinental economic realities in the Eurasian space.

The Industrial Complex of the Country: Potential and Prospects

Turkmenistan pays special attention to industrial development. In this regard, the key aspect is the diversification of the industrial sector and the growth in production and export of high-quality competitive goods. In accordance with the instructions of the esteemed President Serdar Berdimuhamedov, the industry is to achieve the crucial tasks of adopting digital technologies, building new enterprises, reconstructing existing ones and supplying high-quality industrial goods to domestic consumers. Industry is known to reflect the evolution of science and technology, to occupy a leading position in developed countries, to give an impetus to the development of related sectors and to bring the country up to a leading position in the global economy. It is not accidental that the industrial sector, rightfully recognised as the most important segment of a dynamically developing economy, plays the decisive role in implementing the large-scale programmes, including the Programme “Revival of the New Era of the Powerful State: The National Programme of the Socioeconomic Development of Turkmenistan in 2022–2052 and the Socioeconomic Development Programme of the President of Turkmenistan for 2022–2028.