Turkmenistan, a country located in central Asia, is one to look out for growth potential.
It is one of the fastest developing countries. It has the fourth-largest natural gas reserve globally, and it produces various petroleum products.
Its significant industries include oil, textiles, petroleum, food processing, and natural gas production. Turkmenistan’s economy depends on exports and energy production. It also produces plenty of cotton, a top exported good.
The industrial sector ranks among the top in contributing to the national GDP. It is not the largest employment sector. Yet, it is increasing after their independence in the 1990s from the Soviet Union. The construction industry is booming and thrives on government contracts.
The services sector is one of the top sectors for employment. This sector includes tourism, communications, hospitality, banking institutions, customer service, retail, financial services, and healthcare. The economic and banking sector is under complete government control. Thus the majority of the credit goes to government institutions. It prevents the growth of the private sector.
The tourism sector isn’t growing as much as it can. It is due to Turkmenistan’s political situation. The president is head of both the government and the state, and no true opposition parties are allowed. He has been compared to North Korea’s Kim Jong-Un. The government punishes all unauthorized forms of political and religious expression, and Turkmenistan remains a repressive and isolated country.
The capital city of Ashgabat has beautiful marble buildings, but it remains a ghost town due to the isolationist culture. Turkmenistan is one of the least-visited countries in the world. Yet, over the few years, it has been receiving an increase in tourism. It is showing improvement, which is excellent for Turkmenistan.
The export sector ranks 90th largest in the world. Their imports are way less than exports, which equates to a positive trading balance. Turkmenistan’s biggest trading partners include China, Afghanistan, and Turkey. The export sector’s success relies on petroleum gas, textiles, plastic, and rubbers.
Turkmen were nomadic, and some are today, but many have moved to villages and urban areas. The main religion is Islam, but Turkmen also follow a mixture of pre-Islamic religions. Jewelry represents fertility and good luck in their culture. Sunni Muslims and Russian Orthodox Christians are the only two religions recognized by the government. According to the constitution, it is a secular state.
Turkmenistan consists of desert lands and their mountains contain fuel and mineral resources. It is not a place suitable for large-scale animal and plant husbandry. Yet, Turkmen rear camels, goats, and sheep. Turkmenistan is part of the Turan plain, which has many peaks and foothills.
A lot of homes in some of the neighborhoods of Turkmenistan no longer exist due to a government beautification campaign. Areas like Shor Dacha and Choganly were most affected. To this day, many of those homes aren’t under consideration for rebuilding. The government sometimes embarks on such campaigns to improve on sectors like tourism. At present, it is trying to turn around the country and make it into a tourist attraction site. People travel there to admire this aesthetic and the beautiful architecture.
Trends, Consumption, and Trade
Turkmenistan is a very restrictive state compared to other regions. It receives much criticism for its economic and political nature. The President placed a system where there isn’t any reform or legislative programs. Turkmenistan has the resources to build an effective economy and undergo recovery.
For restructuring to happen, Turkmenistan needs to invest in its markets. It needs to find new markets to sell natural resources. Yet, the political environment cripples it. Many of the investments made to the country go into the accounts of the political elite. That situation must change so that the country can move forward.