Complicated business conditions in Tajikistan restrict the inflow of investments, the World Bank analysts believe

Almaty. December 7. Silkroadnews – The World Bank experts mark the rough conditions for doing business as a barrier to growth in inflow of investments in Tajikistan, Tajik Telegraph Agency (TajikTA) reports.

“Tajikistan’s complicated business environment, as well as barriers to foreign direct investments have not contributed to attract private capital but restricted the investments as a whole”, the World Bank overview on Tajikistan states.

Among the major barriers specified by both local and foreign entrepreneurs there are: lack of due infrastructure, especially insufficient and unreliable energy supply, weak rule of law, particularly in relation to property rights, as well as tax policy and administration. Raising the level of private investments and new business development are essential prerequisite to increase job creation, the document also says.

According to the overview, since 2008 the total investments average amount has been standing at about 15% of GDP, which is extremely low by regional and international standards.

Public investment accounted for 80% of the total volume (or 12% of GDP), while private investment is 20%, or only 3% of GDP, which is well below the average numbers of developing countries in the Europe and Central Asia.