Heritage Foundations has ranked Tajikistan 106th in economic freedom index among 180 nations.
Among Central Asia’s nations, Uzbekistan (152nd) and Turkmenistan (169th) were ranked below Tajikistan while Kazakhstan (41st) and Kyrgyzstan (78th) surpassed Tajikistan in economic freedom.
Tajikistan’s economic freedom score is 58.3, making its economy the 106th freest in the 2018 Index. Its overall score has increased by 0.1 point, with improvements in government integrity and judicial effectiveness offsetting lower scores for the fiscal health and trade freedom indicators. Tajikistan is ranked 23rd among 43 countries in the Asia–Pacific region, and its overall score is below the regional and world averages.
The Heritage Foundation says in its Index of Economic Freedom report that Tajikistan’s poor business climate, burdensome bureaucratic regulations, and inconsistent administration remain impediments to foreign investment. The banking sector is reportedly on the verge of collapse and presents a major constraint for investment prospects. The central bank’s expenditures to support the weakening currency have left little space for additional fiscal or monetary measures. Despite some progress in privatizing small and medium-size public enterprises, private-sector development has been slow, the report says noting that the rule of law is exceptionally weak, and Tajikistan remains one of the world’s most corrupt nations.
Economic freedom is the fundamental right of every human to control his or her own labor and property. In an economically free society, individuals are free to work, produce, consume, and invest in any way they please. In economically free societies, governments allow labor, capital, and goods to move freely, and refrain from coercion or constraint of liberty beyond the extent necessary to protect and maintain liberty itself.
The world economy is “moderately free,” with another rise in economic liberty leading to a sixth annual global increase, according to the 2018 Index of Economic Freedom, released by the US thin tank on February 2.
Among the 180 countries ranked, scores reportedly improved for 102 countries and declined for 75. Only three remained unchanged.
Six economies earned the Index’s designation of “free” (scores of 80 or above), while the next 90 are classified as “mostly free” (70-79.9) or “moderately free” (60-69.9).
“Thus, a total of 96 economies—more than half of all nations and territories graded in the 2018 Index—provide institutional environments in which individuals and private enterprises benefit from at least a moderate degree of economic freedom in the pursuit of greater economic development and prosperity,” the Index editors write.
Yet the number of economically “unfree” economies remains high: 63 are considered “mostly unfree” (50-59.9) and 21 are “repressed” (scores below 50).
Hong Kong and Singapore each logged increases in their Index scores, finishing first and second in the rankings for the 24th consecutive year. Three other frequent top 10 finishers — New Zealand (3rd globally), Switzerland (4th) and the United Kingdom (8th) — also saw their scores rise, though not nearly as much as Ireland (6th), which saw a 3.7-point increase.
