Day: May 22, 2023

Over the first four months of this year, the consumer price index (CPI) inflation in Tajikistan has stood at 2.3 percent, which is 0.1 percent lower than in the same period last year, according to the Agency for Statistics under the President of Tajikistan. Over the reporting period, the cost of products of the food industry has reportedly increased in the country on average by 3.9 percent. The increase in cost of products of the food industry was reportedly caused by a 37.2-percent increase in prices for vegetables; 18-percent increase in prices for fruits; milk - 7.2 percent; lamb - 2.8 percent; chickens - 0.8 percent; and sugar - 0.1 percent. Over the same four-month period, prices for non-foodstuffs have reportedly increased in the country on average by 1.6 percent with the prices increasing most significantly for the following goods: detergents and pharmaceutical products - 3.6 percent each; and gasoline - 3.4 percent. Meanwhile, prices and rates for services rendered to the population in January-April have decreased on average by 0.4 percent. The ones that decreased over the reporting period were: liquefied natural gas (LNG) provided to the population - 25.7 percent; and transport services - 0.7 percent. In 2022, year-end inflation in Tajikistan stood at 4.2 percent; the lowest inflation rate since the country's independence. Last year, prices for products of the food industry, prices for non-foodstuffs and prices and rates for services rendered to the population increased by 5.2 percent, 4.0 percent and 1.9 percent, respectively. The National Bank of Tajikistan (NBT) predicts this year's year-end inflation in Tajikistan at 6.0 percent. The World Bank's report entitled 'Weak Growth, High Inflation, and Cost-of-Living Crisis: Europe and Central Asia Economic Update' says the average CPI inflation declined to 6.6 percent in 2022 from 9.0 percent a year earlier. The report notes that this year, inflation is expected to decrease gradually and remain within the NBT's 4.0-8.0 percent target range, supported by tight monetary policy. The external position is reportedly expected to normalize after a peak in 2022. Moreover, the World Bank economists believe that reduced global demand is expected to weaken Tajikistan's export of precious metals and minerals. According to the report, this year's year-end inflation in Tajikistan is expected to stand at 5.6 percent, and over the next two years, it will stand at 6.5 percent. The 'Macroeconomic Review: April 2023', released by the Eurasian Development Bank (EDB) on April 10, predicts this year's year-end inflation in Tajikistan to stand at 6.0 percent. Meanwhile, the Asian Development Bank (ADB) notes that inflation, which slowed to 4.2% in 2022, is projected to accelerate to 7.0% in 2023, reflecting possible currency depreciation in tandem with a weakening Russian ruble, further increases in consumer lending, salary hikes for some civil servants, and a rise in pensions. Inflation is projected to slow to 6.5% in 2024 as global food prices moderate, the ADB says.

Source: Asia Plus

On the occasion of the second in-person European Union-Central Asia Economic Forum, which took place in Almaty, Kazakhstan on May 18-19, the European Union (EU) and Central Asia welcomed the enhanced strategic importance, relevance and intensity of EU-Central Asian relations, according to the EU Delegation to Tajikistan. The parties reportedly reaffirmed their joint and steady commitment to further developing their strong, multi-faceted and forward-looking partnership, based on shared values and mutual interests. The participants reviewed the implementation of three priority areas of the First in-person EU-Central Asia Economic Forum, which took place in Bishkek, Kyrgyzstan, on November 5, 2021 and stressed their intention to keep working together towards the continued transformation of Central Asian economies, with particular focus on better business environment, green and digital transitions, and EU-Central Asia trade and economic relations. In line with the EU Strategy for Central Asia and following the launch of the EU Global Gateway in 2021, the EU's offer to promote smart investments in quality infrastructure respecting the highest social and environmental standards- the parties agreed that sustainable and trust-based connectivity supports the shared goal of a prosperous and secure Central Asia. To that end, the parties: - Welcomed the continued geopolitical and strategic relevance of the Forum as a regional platform for economic dialogue between the EU and Central Asia. - Noted that the Forum facilitates closer economic relations and promotes inclusive and sustainable development through further diversification of the Central Asian and EU economies, boosting intra and interregional trade, enhancing the rule of law and strengthening regulatory frameworks. - Expressed their continued commitment to uphold the UN Charter and principles of international law, particularly the respect for the independence, sovereignty and territorial integrity of all UN Member states. - Agreed that cooperation should focus, among other things, on promoting environmental and social sustainability, removing trade barriers and promoting inclusiveness, enhancing competitiveness, creating jobs, accelerating integration into regional and global markets, and ensuring a level playing field for businesses. The business-to-business component of the Forum was particularly welcomed in promoting EU-Central Asia business, trade and investment relations. The parties reportedly agreed to regularly take stock of the progress made in the identified priority areas and looked forward to the organization of the next EU-Central Asia Forum in 2025.

Source: Asia Plus

Over the first four months of this year, Tajikistan's external trade turnover amounted to 2.1262 billion U.S. dollars, which is 3.1 percent, or 67.2 million US dollars, less than in the same period last year, according to the Agency for Statistics under the President of Tajikistan. Over the reporting period, the trade balance was negative and amounted to 1.2652 billion U.S. dollars. In January-April this year, Tajikistan reportedly had trade relations with 102 countries of the world, including ten CIS nations. Exports of goods over the first four months have amounted to 430.5 million U.S. dollars, which is 33.2 percent, or 213.8 million U.S. dollars, less than in January-April last year. Over the reporting period, the country's exports include mainly mineral products (cement, ores and concentrates, electricity, coals) - 46.5 percent, precious and semi-precious metals and gems - 26.9 percent, non-ferrous metals (aluminum) and products made from them - 22 percent, products of plant origin - 3.0 percent, products of chemical industry - 2.4 percent, machinery and equipment - 3.9 percent, textiles - 19.1 percent, other goods - 3.1 percent. In January-April, the major trading partners of Tajikistan's exports were: Kazakhstan - 25.9 percent of the overall volume of Tajikistan's exports; China - 23.1 percent; Turkiye - 13.8 percent; Russia - 10.9 percent; Uzbekistan - 9.4 percent; Iran - 7.4 percent; Afghanistan - 3.3 percent; the Virgin Islands - 1.2 percent; Italy - 1.1 percent; the United Arab Emirates (UAE) - 1.9 percent; and others. Imports of goods into the country over the reporting period have amounted to 1.6957 billion U.S. dollars, which is 9.5 percent, or 146.6 million U.S. dollars, more than in January-April last year. Over the first four months of this year, the main items of Tajikistan's imports were: mineral products - 17.6 percent, machinery and equipment - 14 percent, products of chemical industry - 8.0 percent, products of plant origin - 8.9 percent, finished food products - 8.2 percent, non-ferrous metals (aluminum) and products made from them - 9.6 percent, fats and oils of animal and vegetable origin - 2.9 percent, polymer materials, rubber and products of them - 3.5 percent, wood and wood products - 4.4 percent, other goods - 22.9 percent. Over the first two months of this year, the major trading partners of Tajikistan's imports were: Russia - 27.5 percent of the overall volume of Tajikistan's imports; China - 21.2 percent; Kazakhstan - 16.5 percent; Uzbekistan - 5.2 percent; Turkiye - 3.9 percent; Germany - 3.5 percent; Japan - 3.4 percent; Iran - 2.9 percent; the United States - 1.9 percent; Belarus, India - 1.6 percent; Belarus, the republic of Korea and Pakistan - 1.4 percent each; Turkmenistan - 1.3 percent each; and others. Over the reporting period, major trading partners of Tajikistan were: Russia - 512 million US dollars (7.5-percent increase compared to January-April last year); China - 458 million US dollars (2.1-ercent increase); Kazakhstan - 319 million US dollars (15.1-percent decrease); Uzbekistan - 130 million US dollars (25.7 percent decrease); and Turkiye - 125 million US dollars (6.3-percent increase).

Source: Asia Plus

Azerbaijani President Ilham Aliyev approved the law "On Electric Power Industry" on May 17. The purpose of the law published on the website of the head of state is to regulate relations between the subjects of the electric power industry, consumers and government agencies on the production, storage, transmission, distribution, export, and consumption of electricity. The Law consists of 8 sections and 48 Articles. The Articles of the law will be put into force in three stages. The first stage - from January 1, 2024; the second stage - from July 1, 2025; the third stage - from July 1, 2028. The first stage provides for the implementation of measures aimed at separating the production and transmission of electricity, etc. The second stage provides for the organization of the wholesale electricity market, the creation of a separate legal entity in the system of the transmission system operator, and other events; the third stage provides for the creation of an independent market operator of the transmission system, and other evens.

Source: Turan News Agency