Diversification of the hydrocarbon market and the promotion of energy trade will be one of the three main areas of cooperation between the Asian Development Bank and Turkmenistan in the next three years. This is provided for in the ADB business plan for 2020-2022 for Turkmenistan published by ADB.
Other areas of support include diversification of non-hydrocarbon sectors through investment in transport infrastructure to improve market connectivity and private sector development; and the intellectual work of economic diversification and reform stemming from government development goals.
The plan covers key operational priorities arising from the ADB Strategy until 2030 – combating climate change, improving environmental sustainability, strengthening governance and institutional capacity, promoting regional cooperation and integration.
Cooperation between Turkmenistan and ADB has been ongoing since 2000 and is mainly aimed at diversifying the country’s export markets and the related development of the transport and energy sectors.
In particular, ADB offered expert assistance in establishing long-term export of Turkmen electricity to Afghanistan. Other projects include: “Strengthening urban investment planning and capacity for preparing and implementing projects in Central and West Asia,” “Partnership with the private sector to achieve sustainable trade facilitation results in the Regional Economic Cooperation Program in Central Asia,” “Best Customs for better customer service in the countries of the Central Asian regional economic cooperation ”,“ Regional cooperation to expand cross-border energy trade to her in the energy system of Central Asia – expanding membership in the energy system of Central Asia ”and others.
The loan portfolio of Turkmenistan approved by the Bank amounted to $ 125 million. Since 2010, Turkmenistan has also participated in technical assistance projects under the Central Asian Regional Economic Cooperation (CAREC) Program.
In general, the new ADB cooperation plan with Turkmenistan is consistent with the country partnership strategy for 2017-2021.