BUSINESS
Tajikistan's Big Bet on Energy and Roads
TajikistanWed Sep 24 2025
Tajikistan is receiving significant assistance for its development projects, with the majority of funding coming from international sources.
Funding Breakdown
- Total Projects: 82
- Total Value: $4.5 billion
- Grants: $3.2 billion
- Loans: $1.2 billion
- Government Contribution: $144 million (3% of total)
Major Projects
Rogun Dam
- Controversy: Environmental concerns and financial viability
- Funding: World Bank paused support; other countries and groups contributing
- Cost Overrun: Initial estimate $5 billion; current cost over $8 billion
Other Initiatives
- Electrification: Bringing electricity to remote areas
- Business Growth: Facilitating business expansion
Challenges
- Declining Investment: Less funding in the first half of 2025 compared to the previous year
- Infrastructure Issues: Slow internet and limited flights
- Regulatory Hurdles: Confusing business rules and widespread corruption
Path Forward
Tajikistan needs to address these issues to attract more investment. Simplifying regulations and ensuring fairness are crucial steps to encourage new businesses and growth.
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questions
What steps can be taken to improve the business environment in Tajikistan to make it more attractive to foreign investors, particularly in terms of transparency and anti-corruption measures?
Will Tajikistan's new infrastructure projects include a 'fast lane' for government officials to bypass traffic jams?
How does Tajikistan plan to ensure the sustainability of its energy and transport sectors without over-reliance on international donors?
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