Tajikistan's Big Bet on Energy and Roads

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.