ADB Approves $50M Grant to Boost Climate-Responsive Business Environment in Tajikistan

ADB Director General for Central and West Asia, Yevgeniy Zhukov, highlighted the program’s alignment with Tajikistan's transition to a green economy.

The Asian Development Bank (ADB) has approved a $50 million policy-based grant to help the Government of Tajikistan enhance its business environment with a focus on climate responsiveness and support for small and medium-sized enterprises (SMEs). This grant is part of the Enabling Climate-Responsive Business Environment Improvement Program.

ADB Director General for Central and West Asia, Yevgeniy Zhukov, highlighted the program’s alignment with Tajikistan's transition to a green economy. “By promoting climate-responsive investments and improving the overall business environment, we aim to stimulate economic growth, create green jobs, and enhance the country’s resilience to climate change,” Zhukov stated.

The program includes several key components:

Support for Climate-Friendly SMEs: The program will provide subsidized financing to climate-friendly SMEs, with a focus on women entrepreneurs.

Digitalization and E-Commerce: It will advance digitalization through the operationalization of the Agency for Innovation and Digitalization and the approval of the E-Commerce program.

Enhanced Public Investment Management: Assessments will recommend improvements and prioritize climate-focused projects.

Fiscal Transparency: Capacity building for the Ministry of Finance to improve the publication of government finance statistics.

International Trade and Investment: Streamlining trade documentation and updating regulatory frameworks for local and green bonds.

The program is designed to support Tajikistan's National Development Strategy 2030 and the Green Economy Development Strategy 2023–2037. It aligns with ADB’s country partnership strategy for Tajikistan, 2021–2025, which aims to foster an inclusive and sustainable economic environment.

In addition, a $500,000 technical assistance grant was approved to aid in implementing additional reforms. This grant will focus on policy, legal, and regulatory reforms and capacity development for government agencies.

Since joining ADB in 1998, Tajikistan has received over $2.6 billion in assistance from the bank, supporting various sectors including infrastructure, health, education, and public sector management. ADB remains committed to fostering a prosperous, inclusive, and sustainable Asia and Pacific region while working towards eradicating extreme poverty.

The ADB’s efforts in Tajikistan reflect its broader mission to support sustainable development through strategic investments and partnerships.