The Eurasian Development Bank has launched a new country cooperation strategy for Tajikistan designed for 2022-2026 that will focus on improving the quality of the country's economic growth. Promoting energy and food security, private sector development and digital transformation – the EDB presents its strategy for Tajikistan until 2026
A new five-year EDB Strategy that was launched in 2022 is expected to strengthen its unique integration role in the EAEU+. The Bank reportedly plans to implement at least three key integration mega-projects – the Eurasian Transport Network, the Eurasian Commodity Distribution Network and the Central Asian Water and Energy Complex – in transport infrastructure, logistics, food security, water management and energy.
A foundation of the Bank’s 2026 strategic model is expected to ensure breakthrough growth in Tajikistan, Armenia and Kyrgyzstan.
The Bank has developed a strategy for each country of operation to support economic growth and development. In Tajikistan, the Bank will support government programs and the achievement of the Sustainable Development Goals. The EDB will help address the challenges facing the country and unlock the capacities of its industries and economy.
The positive macroeconomic outlook will be conducive to implementing the EDB’s strategy in Tajikistan.
The Bank analysts project Tajikistan’s economy to grow 6.5% in 2023 and 5.8% in 2024, the highest figure among EDB member nations.
The EDB plans to finance organization the production of LED bulbs in Tajikistan and will channel funds to support micro and small enterprises in the country.
The documents were singed on the sidelines of the presentation of the EDB Country Development Strategy for Tajikistan in Dushanbe on December 1.
The Bank is expected to provide up to 3.5 million US dollars to JV Gayur Korea Technology to finance organization of manufacturing LED lighting products in Tajikistan.
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The memorandum of understanding (MoU) on this subject was inked by Akbar Asadullo, Chairman of Gayur Group LLC Board of Directors and Ruslan Dalenov, Vice Chairman of the EDB Management Board.
The enterprise will produce residential LED bulbs and products for housing and communal services, LED lights, searchlights and high power lamps for street and park lighting, industrial luminaires, decorative light fixtures, LED facade lighting and tubular LED lampsб using the most modern equipment and technologies.
Besides, the Eurasian Development Bank will channel funds to support further development of micro and small enterprises in Tajikistan.
The EDB is expected to provide 2.6 million US dollars to support development of the private production business through financing the micro lending institution, Closed Joint-Stock Company (CJSC) IMON International (IMON).
A contract on this subject was also signed in Dushanbe on December 1. The document was inked by Ruslan Dalenov, Vice Chairman of the EDB Management Board and Andriy Palka, Chair of IMON management Board.
To reduce borrowing cost for final recipients, the Bank reportedly subsidizes the interest rate under the program of the Technical Assistance Fund.
Meanwhile, the EDB press center says Nikolai Nikulin, EDB Country Director for Tajikistan, spoke about the Bank’s four objectives in the country.
The first objective is to promote energy security. The EDB will take part in developing small hydropower and solar energy and in reconstructing power grids.
The second one is ensuring food security and developing agriculture. The EDB aims not only to improve the living standards of people engaged in agriculture by creating jobs and increasing the added value of products, but also to unlock Tajikistan’s potential as an exporter of agricultural produce to the EAEU countries. To this end, the EDB will develop agricultural production and processing, the distribution network and wholesale centers.
Thirdly, the Bank will work to diversify manufacturing and develop the private sector and businesses. It will help to set up industrial enterprises in the country and support small and medium-sized businesses.
The fourth objective is digital transformation. The EDB will support Tajikistan’s digital agenda to strengthen integration ties with Eurasian countries and foster digital development. Its priority will be to support public and corporate digital projects.
“The bank has prepared to implement its plans in Tajikistan. To date, the EDB has built up a project pipeline worth over US $500 million. It has also set up a project team to implement the most complex and demanding projects and intensified the operations of its Technical Assistance Fund and Fund for Digital Initiatives,” said Nikolai Nikulin.
The Eurasian Development Bank (EDB) is an international financial institution investing in Eurasia. For more than fifteen years, the Bank has worked to strengthen and expand economic ties and foster comprehensive development in its member countries – Armenia, Belarus, Kazakhstan, Kyrgyzstan, Russia, and Tajikistan. The EDB's charter capital totals US$7 billion. Its portfolio mainly consists of projects with an integration effect in transport infrastructure, digital systems, green energy, agriculture, manufacturing, and mechanical engineering. The Bank’s operations are guided by the UN Sustainable Development Goals and ESG principles.
