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The structure of economy derived from 1991 turned out to be non-competitive in the new economic environment, and the civil war has dragged out introduction of structural reforms.
The Government of the Republic of Tajikistan had to address the task of transforming economy as only this could allow deducing the economy from crisis and eliminating consequences of civil conflict and natural disasters fallen upon the country.
As a result of measures taken in reforming economy of Tajikistan there was achieved a considerable progress in macroeconomic and financial stabilization. A series of measures was taken on structural transformations necessary for effectiveness of market economy.
For this purpose there was developed and adopted a series of strategic documents defining priorities in the activities of the Government of the Republic of Tajikistan. They include the Millennium Development Goals, Poverty Reduction Strategy Paper for the period of 2002-2006, Economic Development Program of the Republic of Tajikistan until 2015, Public Investment Program and others.
In 2005 to increase the living standards of population the President of the country initiated the development of the long-term National Development Strategy of the Republic of Tajikistan for the period until 2015 (NDS) and the derived from it the medium-term Poverty Reduction Strategy of the Republic of Tajikistan for 2007-2009 (PRS).
In 2007 these important strategic documents of the country were adopted by the Government of the Republic of Tajikistan.
Strategic Documents of the Government of the Republic of Tajikistan
• Poverty Reduction Strategy Paper (PRSP) • First Report on the PRSP Implementation • Achieving the Millennium Development Goals • Economic Development Program of the Republic of Tajikistan for the period until 2015
• Public Investments, Grants and Technical Assistance Program for 2007-2009 (PIP) • National Development Strategy of the Republic of Tajikistan for the period until 2015 (NDS)
• Poverty Reduction Strategy of the Republic of Tajikistan for 2007-2009 (PRS)
• Poverty Reduction Strategy of the Republic of Tajikistan for 2010-2012 (PRS) To increase the living standards of population and to solve socio-economic problems, in 2001 the President of the Republic of Tajikistan Emomali Rahmonov initiated development of the comprehensive Poverty Reduction Strategy Paper (PRSP). The document is targeted at increasing real profits in the country, equitable appropriation of net incomes of economic growth and providing for improved quality of life of the poorest strata of population.
Achieving goals of the PRSP with account of economic realia was a priority area of activities of the Government of the Republic of Tajikistan for the period of 2002-2006.
The Government of the Republic of Tajikistan has defined four main elements in the PRSP which collectively make a basis for the poverty reduction strategy: - Encouraging fair economic growth with intensive involvement of labor resources and focus on export; - Effective and fair submission of basic social services; - Targeted support of poorest strata of population; - Effective management and safety improvement.
In March 2004 there was published the First Report on the PRSP implementation, targeted at informing community on the progress of its implementation in respect of poverty reduction. The Report provides for assessment of activities and measures taken during the period from the date of adoption of the Poverty Reduction Strategy Paper by the Parliament in June 2002 till the end of 2003. The Report points out the improvement of situation in poverty and provides for detailed information on achievements in key sectors. It also reflects constraining factors and problems related to the necessity to speed up implementation of measures in the spheres of privatization, land reform and improvement of entrepreneurship as well as strengthening institutional capacity of the implemented reforms.
Among other 191 countries Tajikistan joint the Millennium Declaration in 2000. This document defines eight Millennium Goals as priority ones:
1. Eradicate extreme poverty and hunger 2. Achieve universal primary education 3. Promote gender equality and empower women 4. Reduce child mortality 5. Improve maternal health 6. Combat HIV/AIDS, malaria and other diseases 7. Ensure environmental sustainability 8. Develop a global partnership for development
In 2003 the Government of the Republic of Tajikistan jointly with the United Nations published a review «Achieving the Millennium Development Goals». It reflects the progress of the MDG implementation and the problems faced.
Economic Development Program of the Republic of Tajikistan for the period until 2015 is adopted under the Resolution of the Government of the Republic of Tajikistan dated March 1, 2004 № 86.
The Program development was based on purposeful directions and tasks defined by the President of the country Emomali Rahmon in the sphere of economic and social development of Tajikistan.
The economic development program is based on the assessment of the current situation in social and economic sphere. It summarizes goals of economic development of the country for the future and defines methods, mechanisms and instruments for their achievement. The economic development program of the Republic of Tajikistan for the future implies strategic, political, economic and social goals.
Strategic goals lie in ensuring sustainable development of the society on the basis of successive conduction of policy of forming a highly effective industrial society. Achieving this goal implies prevention on the basis of a new structural policy of deindustrialization, substantial increase of investment activities, strict procedures of economy in using production resources, ensuring openness of economy and growth of qualification level of labour resources.
Political goals are aimed at creation of economic conditions for strengthening political sovereignty and economic safety of the Republic and at implementation of foreign policy that fully reflects national interests of the country.
Economic goals imply creation of economically developed material and technical base providing in the future for the predominantly intensive development of national economy, considerable enhancement of economic growth rate and increase of production of outputs per capita.
Social goals envisage a series of measures aimed at solution of key social problems. They include: ensuring full employment of labour resources, decreasing the level of unemployment to the maximum allowable degree, increasing material and moral welfare of population, declining poverty to the marginally critical level, developing urbanization processes, and formatting a middle class as the most important factor of social sustainability of society.
Public Investment Program (PIP) is a tool of managing investments which provides for control over distribution of internal and external resources between economic sectors of Tajikistan.
Being a mechanism of implementation of priority investment decisions of the Government and definition of its future financial commitments the PIP should facilitate improvement of the country development planning and aid coordination process.
The current year there was adopted a Public Investments, Grants and Technical Assistance Program for 2007-2009 under the Resolution of the Government of the Republic of Tajikistan № 84 dated March 3, 2007.
In order to create a platform for further development of the country, in 2005 the President of the Republic of Tajikistan initiated the development of the long-term socio-economic program – National Development Strategy of the Republic of Tajikistan until 2015, that must facilitate systematization of the development process of the country for the long-term perspective in accordance with Millennium Development Goals.
Being the main strategic document of the country the NDS defines priorities and general directions of the state policy targeting the achievement of sustainable economic growth, facilitation of access of population to basic social services and poverty reduction.
This Strategy is a conceptually new approach to development that takes account of the world experience in development and implementation of similar strategic documents, lessons learned at the previous stages of the country development as well as realities and perspectives of development.
The NDS is a basis for all actual and developing public, sectoral and regional conceptual frameworks, strategies, programs and plans for the country development, as well as activities of all public administration bodies.
The National Development Strategy serves as a tool for a dialogue with business community and non-governmental organizations.
It is envisaged that the development of technical and financial assistance programs for Tajikistan will be based on the National Development Strategy.
The NDS is adopted under the Resolution of the Government of the Republic of Tajikistan dated April 3, 2007, № 167.
Poverty Reduction Strategy of the Republic of Tajikistan for 2007-2009 (PRS) is a medium-term socio-economic development program of the country. It contains specific measures on implementation of institutional and economic reforms which are based on the available resources and additional needs, and providing for sustainable high economic growth, increasing amounts and quality of social services aimed at poverty reduction in the country.
The PRS is based on the goals and priorities of the NDS (public administration reform; private sector development and attraction of investments; human capacity development) and are aimed at formation of Tajikistan as democratic and prosperous state where all members of society will be equal to use the achievements of political, social and economic development. The actions provided in the PRS are based on the results of implementation of the now completed PRSP for 2002-2006 and lessons learned from it.
Like in the NDS, the actions of the PRS are directed at development in 12 sectors (directions) of economic reform which depending on their roles and place in ensuring sustainable and high economic growth as well as increase of amounts and quality of social services rendered to the poor population, are combined into three blocks:
(a) Functional block providing for general institutional conditions of development within the following sectors: public administration reform; macroeconomic development; investment climate improving, development of private sector and entrepreneurship; regional cooperation and integration into world economy;
(b) Production block providing for material conditions for economic growth within the following sectors: food security and development of agricultural sector; infrastructure development, power generation and industry;
(c) Social block providing for an expanded access to basic social services within the following sectors: development of health system; development of education system and sciences; expended access to water supply, sanitary and housing utilities infrastructure; improvement of social protection of population; ensuring tender equality; providing environmental sustainability.
The adopted and developing public, sector and regional strategies, programs and plans of development are being reoriented at the PRS implementation (including PIP and CIP (Centralized Investments Program).
The PRS is an instrument for a dialogue with all stakeholders including business and non-governmental organizations, international organizations and foreign states – donors of Tajikistan.
The PRS is adopted under the Resolution of the Government of the Republic of Tajikistan dated April 3, 2007, № 167.
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