In the next seven years, Turkmenistan will invest over 278.9 billion manats in the further realization of the country’s production potential and the development of the social system. Such tasks are set in the “Program of the President of Turkmenistan on socio-economic development of the country for 2022-2028”, which was approved by the head of state in July this year.
The Program titled “The revival of a new era of a powerful state: The national program of socio-economic development of Turkmenistan in 2022-2052”, adopted by the upper house of Parliament in February 2022, has become the defining strategy for the development of Turkmenistan for the next 30 years. In accordance with the Program and taking into account the current challengeable situation in the world, against the backdrop of changing world markets and trade flows, the “Program of the President of Turkmenistan for socio-economic development of the country for 2022-2028” was developed and approved.
The 7-year Presidential program consists of seven chapters. Its main objectives are as follows:
- ensuring a safe life and protecting the interests of every citizen of the country, improving social protection and the employment system;
- using the socio-economic potential of the country, increasing the level of industrialization of the national economy, ensuring the dynamic development of industries and services, the widespread introduction of digital technologies;
- full-scale reaping benefits of the geopolitical and geo-economic location of Turkmenistan;
- taking into account the fact that Turkmenistan is transforming from an agrarian state into an industrially developed country, the tasks of ensuring the country’s food security and further strengthening its economic potential come to the fore;
- ensuring the sustainable development of the digital economy in Turkmenistan, innovative development of the industrial sector, the development of a high-tech, competitive digital economy;
- supporting entrepreneurship, creating a reliable system of protection of rights and guarantees for private property, creating conditions for increasing the share of the private sector and its role in the development of the national economy on the basis of measures implemented in the country, intensive transition of the national economy to market relations, promoting the development of small and medium-sized businesses;
- ensuring environmental well-being and development of green economy.
The Presidential Program analyzes the current state of socio-economic development of Turkmenistan, defines the state policy of sustainable development for 2022-2028. The plans are to increase GDP per capita, labor productivity, income of the population and improve the living conditions to the level of developed countries. To do this, it is expected to continue the fundamental diversification of the economy and increase the contribution of high-tech industries to economic development, digitalize all sectors of the economy, develop competitive export-oriented and import-substituting industries at a rapid pace, as well as provide the sectors of the economy with highly qualified personnel.
The main directions of the fuel and energy sector of Turkmenistan are the completion of the construction of the Turkmenistan-Afghanistan-Pakistan-India gas pipeline, intensive development of gas resources, a significant boost in gas production in the offshore and coastal zone, attracting foreign investment in the development of promising fields in the Turkmen sector of the Caspian Sea, expanding the scale of processing of hydrocarbon resources through the construction of appropriate production facilities.
The increase in oil production will be achieved through the development of deep-lying reservoirs in the Balkan and Gogerendag-Ekerem regions, as well as newly discovered zones in the Caspian region.
The main directions of the development of the building materials industry are the full meeting of the needs of the industry, the diversification of the product range and expansion of enterprises using innovative technologies, creating import substituting production facilities.
During the implementation of the Presidential Program, enterprises aimed at increasing exports and meeting the needs of the domestic market will be launched. The share of processing enterprises and manufacturing finished products in the industry structure will grow.
In accordance with the country’s energy policy, the priority will be the tasks of reliable electricity supply to domestic consumers, increasing electricity production, creating new energy capacities, improving the technical condition of distribution systems.
In addition, the existing power generating facilities will be connected to the ring of the unified national energy system.
In the chemical industry, in order to increase the country’s export potential and import substitution, efforts will be made to launch production of new types of chemical products, including mineral fertilizers. Reconstruction and overhaul of existing production complexes will continue.
As part of the development of the construction industry through innovation and the introduction of modern technologies, the smart city and smart home systems, as well as renewable energy technologies, will be actively adopted.
The construction of highways and related infrastructure will have a positive impact on the development of the country’s economy. In particular, it is planned to implement projects for the construction of highways Turkmenabat-Gazojak-Dashoguz, Turkmenbashi-Garabogaz-border of Kazakhstan, Mary-Serkhetabat, Gumdag-Esenguly-Etrek-Gidrolum.
Based on the tasks for the development of the transport and communication industry, large-scale work will be carried out to expand transit routes, increase passenger and cargo traffic, modernize communications and the national satellite system.
During the program period, systems for long-term storage, packaging, transportation and sale of food products will be developed. Agricultural work will continue to be carried out on a scientific basis, taking into account soil and climatic conditions, zoning of crops will continue.
Increasing the productivity of the food industry will depend on the introduction of innovative technologies in the field of raw materials processing. The use of local raw materials in food production will save funds and reduce the cost of food products, increase its competitiveness.
Comprehensive measures will be taken in the water sector – ensuring the protection of water from pollution, preventing and eliminating the negative impact of water, improving the condition of water reservoirs.
Thus, as a result of the implementation of the Presidential Program for 2022-2028, the country’s GDP growth rate will be at least 6.7% in the period up to 2028. The retail trade turnover will increase by 14.5%, the foreign trade turnover – by1.9 times. The share of the non-state sector in GDP will reach 72%. Public-private partnership will be developed.
In the coming seven years, a socially-oriented economic policy will be continued in Turkmenistan. As a result of the implementation of program measures, the amount of wages will increase by 1.8 times. About 30,000 additional jobs will be created in all sectors of the economy, the total area of housing per capita will grow by 102.2%, 40 preschool institutions, 54 general education institutions, 4 institutions of higher professional education, 10 modern hospitals, 7 cultural centers will be built.///nCa, 4 August 2022 (based on reports by the minister of economy and finance of Turkmenistan)