BAKU, Azerbaijan, November 4
By Nargiz Sadikhova - Trend:
Real GDP growth of Turkmenistan is projected at 6.3 percent in 2021 due to substantial export growth, Trend reports citing the Regional Economic Prospects report by European Bank for Reconstruction and Development (EBRD).
Real GDP growth was reported at 6.2 percent year-on-year in the first three quarters of 2021.
“Exports (primarily gas exports to China) rose by 36 percent year-on-year in the first half of 2021 but are still below 2020 levels. The official exchange rate peg is maintained at TMM 3.5 per US dollar. The parallel market exchange rate depreciated from TMM 18 per US dollar in December 2019 to TMM 40 in April 2021 but has recovered since then to TMM 30 per US dollar as of August 2021,” the report said.
The government said that in June 2021 it paid off the debt it owed China for the construction of a gas pipeline and associated projects, and that henceforth all gas revenues would accrue to the state budget, the EBRD report said.
Thus, real GDP growth is projected at 6.3 percent in 2021 due to substantial export growth. The economy is forecast to slow down to 5.5 percent in 2022 reflecting structural challenges in many dimensions.
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