BAKU, Azerbaijan, December 26. The Gross domestic product (GDP) of Tajikistan is projected at 7.5 percent by the end of 2022, Trend reports citing the International Monetary Fund (IMF).
According to the IMF, real GDP growth is projected to decelerate from 7.5 percent this year to 5 percent in 2023 as the positive impact of this year’s strong inflows diminishes.
"While negative spillovers from the situation in Ukraine have not materialized so far, it remains unclear to what extent Tajikistan will continue to be immune from weaker economic activity in Russia," the IMF reported.
The Fund noted that remittance inflows to Tajikistan rebounded sharply in the second quarter of 2022. This helped keep the current account in surplus and boost foreign exchange reserves from $2.5 billion at end-2021 to $3.4 billion in October 2022.
At the same time, Tajikistan’s economy is especially exposed to climate-related risks. According to the IMF, adaptation measures are critical to strengthen the resilience of climate-prone sectors and promote sustainable and inclusive growth.
"The strategy should be supported by strong policy and institutional frameworks that help create fiscal space for climate reforms, improve access to climate funding, and ensure adequate human capital and social protection. Climate reforms are key to realizing Tajikistan’s long-term potential and limiting the environmental impact of accelerated industrialization," the IMF said.