ADB Unveils New Strategy to Boost Turkmenistan’s Green Transition and Economic Diversification

The strategy, which will guide ADB’s assistance from 2024 to 2028, is designed to foster a competitive, diversified, and knowledge-based economy driven by an innovative private sector.

The Asian Development Bank (ADB) has launched a new country partnership strategy for Turkmenistan, marking a significant step in the Central Asian nation’s development journey. The strategy, which will guide ADB’s assistance from 2024 to 2028, is designed to foster a competitive, diversified, and knowledge-based economy driven by an innovative private sector.

ADB’s new strategy focuses on three strategic priorities: supporting Turkmenistan’s green transition towards a sustainable and climate-resilient economy, enhancing economic competitiveness through diversification with an emphasis on private sector and human capital development, and promoting structural reforms and institutional development.

“ADB and Turkmenistan have a longstanding partnership and the new strategy underscores our unwavering commitment to the country’s development,” said Yevgeniy Zhukov, ADB Director General for Central and West Asia. “As we enter this new chapter, we will continue working closely with the government and Turkmenistan’s development partners to help the country realize its ambitious long-term development goals.”

The strategy includes several key initiatives:

Green Transformation: ADB will support investments in energy efficiency, renewable energy, low-carbon pilot projects, and policy reforms. The bank aims to help Turkmenistan develop long-term decarbonization plans and reduce methane emissions to meet the nation’s climate change targets.

Sustainable Transport Networks: ADB will assist in developing integrated transport networks, focusing on railways along key trade corridors, including the Central Asia Regional Economic Cooperation (CAREC) corridors. This will enhance the efficiency, reliability, safety, and integration of domestic and international supply chains.

Private Sector Development: The strategy emphasizes building a robust export-oriented private sector and improving access to capital for small and medium-sized enterprises targeting export markets. ADB will also support Turkmenistan’s efforts to join the World Trade Organization.

Human Capital Development: ADB will work to reform the health sector to improve access, quality, and services, support skill development in the health workforce, and promote entrepreneurship among the young population.

Additionally, ADB will focus on strengthening government institutions to expedite necessary reforms for sustainable economic development. This includes enhancing the government’s forecasting tools and macroeconomic management capabilities.

“ADB is proud to be an active partner in Turkmenistan’s development community,” said Artur Andrysiak, ADB Country Director for Turkmenistan. “Under this strategy, we hope to expand and deepen our engagement through innovative projects and technical assistance. Our focus will be on climate change, regional cooperation and integration, women’s empowerment, and good governance as we support Turkmenistan’s advancement on the development ladder.”