Tajikistan Economy Profile 2012

ajikistan will see its economy grow by 5.7 % this year following 6.5 % increase in 2010, the International Monetary Fund (IMF) announced on Thursday.

IMF made the predictions believing that the prices of exports will remain high and bilateral trading relationships with local partners will continue to expand, the RTT news agency reported.

However, inflation is expected to remain a challenge for the impoverished Central Asian republic. On Wednesday, the IMF predicted Tajikistan would face 10 % inflation.

Schneider urged Tajik government officials to develop additional programs to help the poor and make changes to the tax system.

“The (IMF) mission welcomes the authorities’ commitment to implement a prudent fiscal and monetary policy, so as not to contribute to the rise in prices, and to tighten policies should prices on core inflation emerge,” the Tajikistan country chief for the IMF Todd Schneider said in a Wednesday press release.

The international financial institution as well announced on Wednesday that it would provide $20 million in aid to the country after conducting a-week mission conference to assess the efficacy of financial reforms underway. To date, the IMF has given $122 million in assistance to Tajikistan.