Turkmenistan's private sector has great potentialthinks expert CentralAsia.news Valentin Trapeznikov. In the last year alone, private business has shown strong growth in economic indicators, as the figures eloquently testify.
Share of the private sector in the economy
Thus, the share of state-owned enterprises in Turkmenistan is gradually decreasing. In 2013-2019 alone, the above-mentioned indicator decreased from 22.4% to 19.2%. At the same time the share of the non-state sector is increasing - from 65.7% to 71.2%. In the first half of this year alone, of the registered new legal entities 95.4% was in the private form of ownership (2.5% in state ownership). At the same time, the total number of newly registered companies of private business continues to grow and the same indicator for state-owned companies is decreasing.
It also entails a number of related factors, such as an increase in employment, an increase in the percent of the Turkmen private sector in the structure of the country's WFP (66.9% of the gross volume)as well as a more substantial economic growth compared to the public sector (With a total growth of 4.2%, the figure for the private sector was 6.1%).
Non-state sector by industry
Considering the sectoral cross-section, we should first of all highlight agriculture, transport and communications, trade, and the provision of various kinds of services. The agricultural sector is at the top of the list, demonstrating a phenomenal growth rate last year alone in comparison with the same period last year. For example, the increase in the production of potatoes was 13.5%, wool - 11.9%, melons - 10.4%, meat and eggs, respectively, 6.2% and 8.6%.
In the non-state sphere there are also quite a few joint venturesThe Turkmen entrepreneurs cooperate with representatives of foreign companies. For example, in the oil and gas sector a number of joint projects with Dragon Oil (UAE), Petronas (Malaysia), Eni (Italy), CNPC (China). And every year the volume of foreign investment in the oil and gas industry of Turkmenistan only increases.