The EBRD board of directors has approved unanimously a new strategy for Turkmenistan that underlines the Bank’s readiness to enhance its engagement in the country under a carefully balanced strategic approach linked to tangible progress in the process of economic and political reform.
While recognizing some advances in Turkmenistan, the EBRD’s new country strategy emphasizes that further improvements in the economic, political and social spheres are essential. The EBRD encourages implementation of reforms in Turkmenistan that will enable the Bank to support the country’s transition towards an open market-oriented economy.
The EBRD’s core priority in Turkmenistan is to foster the growth of the private sector in the country, which remains at an early stage of development. The Bank will support private entrepreneurial initiatives, with specific focus on micro, small and medium-sized businesses, by enhancing their access to commercially-based finance and direct funding.
To boost the availability of financing to private companies in Turkmenistan, the EBRD will support the development of the financial sector in line with the principles of the market economy. The EBRD will seek to facilitate the creation of a private sector bank operating based on sound commercial basis.
Throughout its activities the EBRD will engage in close policy dialogue with Turkmen authorities with the view to improving the business environment and the institutional climate. The Bank will specifically seek to cooperate in optimizing the legal and regulatory framework in Turkmenistan with the aim of alleviating entry barriers for new private businesses, reducing state intervention in the economy, initiating commercialization and privatization of state-owned industries and encouraging trade liberalization. (press release)