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Monday, November 20, 2017

Tajikistan reduces poverty using World Bank program

The World Bank recently announced the results of its program to reduce economic vulnerability and improve sustainable growth in Tajikistan.

Tajikistan is the poorest country in Europe and Central Asia with a gross national income per capita of $880 in 2012. It remains poor despite growth averaging eight percent annually since the end of the civil war in 1997.

Poverty in Tajikistan declined by more than half in the 2000s, from 81 percent in 1999 to an estimated 36 percent in 2012. The economy improved as a result of remittances equivalent to 48 percent of gross domestic product and World Bank-supported reforms that promoted freedom to farm, land use rights, and human and private sector development.

The main goal of the World Bank's Country Partnership Strategy is to promote private sector-led growth and increased private investment, particularly for small and medium-sized enterprises (SMEs).

Between 2011 and 2013, Tajikistan made major economic changes, including signing the New York Arbitration Convention, joining the World Trade Organization, reducing the number of business permits required and implementing a new tax code. The World Bank and the government of Tajikistan also sought social inclusion, particularly for young women and other vulnerable groups.

The partnership also introduced per capita financing of primary healthcare, per capita financing of general education nationwide and a national testing center. Additionally, the two sides completed regional plans to export summer surplus electricity from the Kyrgyz Republic and Tajikistan to Afghanistan and Pakistan.