TravelTill

Economy of Tajikistan


JuteVilla


The primary sources of income in Tajikistan are aluminium production, cotton growing and remittances from migrant workers. Aluminium industry is represented by the state-owned Tajik Aluminum Company - the biggest aluminium plant in Central Asia and one of the biggest in the world.

Tajikistan's rivers, such as the Vakhsh and the Panj, have great hydropower potential, and the government has focused on attracting investment for projects for internal use and electricity exports. Tajikistan is home to the Nurek, the highest dam in the world. Lately, Russia's RAO UES energy giant has been working on the Sangtuda-1 hydroelectric power station (670 MW capacity) commenced operations on 18 January 2008. Other projects at the development stage include Sangtuda-2 by Iran, Zerafshan by the Chinese company SinoHydro, and the Rogun power plant that, at a projected height of 335 metres (1,099 ft), would supersede the Nurek Dam as highest in the world if it is brought to completion CASA 1000 project will transmit 1000 MW of surplus electricity from Tajikistan to Pakistan with power transit through Afghanistan. The total length of transmission line is 750 km while the project is planned to be on Public-Private Partnership basis with the support of WB, IFC, ADB and IDB. The project cost is estimated to be around US$ 865 million.

Other energy resources include sizable coal deposits and smaller reserves of natural gas and petroleum.

Foreign remittance flows from Tajik migrant workers abroad, mainly in Russia, has become by far the main source of income for millions of Tajikistan's people and represents additional 36.2 % of country's GDP directly reaching the poverty-stricken population. According to some estimates about 20% of the population lives on less than US$1.25 per day. Migration from Tajikistan and the consequent remittances have been unprecedented in their magnitude and economic impact. Tajikistan has achieved transition from a planned to a market
JuteVilla