In his new article, columnist of CentralAsia.news and observer of Turkmen economy Valentin Trapeznikov summed up the economic results of Turkmenistan in 2022. The author emphasized that the economy of the state showed active dynamics of development.
Stable growth amid the global crisis
Last year Turkmenistan achieved several significant results. First of all, 2022 was marked by the inauguration of the newly elected president of the country Serdar Berdimuhamedov. In addition, this is the first year of the fourth decade of independence of the state, the 31st anniversary of which was celebrated on September 27.
The economy of Turkmenistan showed very rhythmic dynamics of development. First of all, it is necessary to note the high growth rates of the main macroeconomic indicator — gross domestic product (GDP). It reached 6,2%. This is a very good result, considering the global economic crisis.
According to IMF estimates, global economic growth slowed down from 6,0% in 2021 to 3,2% in 2022. This is the weakest growth since 2001, except for the global financial crisis and the acute phase of the coronavirus pandemic. In highly developed countries, GDP growth is also slowing down. Thus, according to UN experts, in the United States, it decreased from 5,7% in 2021 to 1,8% last year. World inflation during this period increased from 4,7% to 8,8%.
For comparison, in 2022 in Turkmenistan, the composite consumer price index increased by only 3%.
The growth of Turkmenistan’s GDP was ensured by the increase in the gross value added of all sectors. Thus, in the industry, it amounted to 6,3%, agriculture — 5,7%, transport and communications — 4,5%, construction — 0,3%, trade — 8,9%, and other services sector — 7,0%.
Last year, the economy of Turkmenistan continued to demonstrate an industrial orientation. This is reflected in the growth in the share of industry in the structure of GDP, which increased from 29,2% in 2021 to 33,7% in 2022.
The share of other sectors of the economy in the structure of GDP decreased to varying degrees and amounted to: agriculture — 11,6%, construction — 6,9%, transport and communications — 8,8%, trade — 18,4%, and other services — 20 .6%.
In 2022, the economic development of Turkmenistan was based on an active investment policy. In particular, the growth rate of investments in comparison with the previous year amounted to 14,2%.
An important tool that ensures the dynamic socio-economic development of Turkmenistan is a balanced fiscal policy. In 2022, the volume of funds received by the state budget of the country increased by 33,3% compared to the previous year. At the same time, receipts from the public sector increased by 36,0%, and from the private sector by 14,8%.
The growth rate of state budget expenditures was 10,2%.
Pragmatic credit policy
The task set for the revenues of the State budget was fulfilled by 125,8%, and for expenditures — by 99,9%. In general, the state budget was executed with a surplus.
Credit policy also plays an important role in the accelerated development of the economy, which continued its active development in 2022. Thus, the total volume of loans issued by banks increased by 7,6%, including the non-state sector (by 28,2%), agricultural producers (by 1.3 times), and mortgage loans (by 9,4%).
An increase in retail trade reached 10,8%, in foreign trade turnover — 32,9%, exports — 43,6%, a doubling of the positive balance of foreign trade, as well as an increase in average monthly wages reached 10,4%.
All the indicators, mentioned above, testify to the high and dynamic economic development of Turkmenistan, and that makes Turkmenistan different from most countries of the world.