Attraction of investments and increase of export capabilities are key elements of economic model

Results of the first half of the year, uttered during extended session of the Cabinet of Ministers on July 7, proved the efficiency of economic strategy of the State. According to the given information, average salary wage grew up to 9 percent during six months of the year as the result of increase of profit of the State budget.

Special emphasis was laid on support of the citizens in procurement of modern comfortable living. These subjects are in the centre of permanent attention of the Head of the State. Today, construction of living in the country reached unprecedented scale. By the outcomes of the first half of 2017, 623 500 square meters of comfortable housing were put into exploitation.

Integrated modernization of rural areas, establishment of favourable conditions for living and constructive labour of rural population are among priority directions of the State policy. In this aspect, grants of the benefits for procurement of the living by the citizens living in the regions are worth mentioning.

Outlining the formation of the State Budget for the next year among priority objectives, Turkmen leader made special mention that the main financial document has to provide further increment of social and living level and wellbeing of the people.

Development of the branches of national economy is inseparably linked with undertaking of integrated measures for improvement of life level by provision of work occupancy of the population. In this context, the importance of relative Programme, which is aimed at making of large opportunities and conditions for implementation of the constitutional rights of the citizens for work, is worth mentioning. After the opening of 59 large facilities in the first half of the year, great number of additional employments was created.

At the current stage, the country carries out targeted work for rapid social and economic development, new mechanisms of macroeconomic regulations and market relations are introduced, grandiose infrastructural projects are implemented and budget and tax, monetary and credit systems are improved. Industrial strategy for production of import substitutive goods and increase of export is implemented, the course for activation of the spheres, which are not related to hydrocarbon resources, is taken and wide financing and reduction of unnecessary expenses are performed.

All of these make positive effect to national economy and provide its stable growth. According to macroeconomic indices, the growth rate of the GDP made 6.4 percent for six months of the year. Volumes of the investments to the infrastructure of private and government sector were also increased for the first half of the year. Large scale construction of industrial and social facilities is carried out. Around 1900 large facilities to the amount of 47 billion US dollars are built in the country at present.

Implementation of the Programme of privatization of enterprises and facilities of the state ownership plays an important role in steadily implemented course of staged transfer to market economy.

The base of fundamental reforms is made of gradual institutional transformations of the government administration, financial system, social infrastructure and ownership rights.

During the working session on June 6, the Head of the State focused the attention of relative leaders at the importance of coordinated activity of the institutions of economic block.

It was mentioned that new tactics of the state policy stipulates management decisions taking into account economic reasonability and long-term interests of the country. In this context, the Resolution of the Head of Turkmenistan on structural reorganization of central apparatus of the Ministry of Finances and the Ministry of Labour and Social Protection of the Population has special urgency. The adoption of this document is aimed, first of all, at faster implementation of the reforms.

Tax system is the most active mechanism of the state regulation of social and economic development, investment strategy, foreign policy activity, structural changes in the production, rapid development of priority branches. Increase of budget revenue and provision of entrepreneurship and business activity have to be the main priorities. The Resolution on transition of the General State Tax Service under the jurisdiction of the Ministry of Finances adopted on July 7 by the Head of the State is to support the achievement of set targets.

At the same time, the monetary policy is improved. Its main purpose is a stable monetary circulation supporting further economic growth and improvement of wellbeing of the population. Keeping low inflation levels and pursuing foreign currency strategy, the structure of monetary and credit base is actively improved, optimum conditions for the securities and insurance markets development are formed and non-cash payment system is widely implemented.

Under conditions of active integration of Turkmenistan to the world economy, stimulation and optimization of export potential, development of directions for its improvement are the actual targets. To achieve this goal on the basis of the analysis of the export development in foreign countries and special features of national economy, the constructive proposals for increase of foreign currency income was uttered at the extended session of the cabinet of Ministers.

At present moment, the work for development of the Programme of social and economic development of the country in 20018 – 2024, which is aimed at improvement of competitiveness of the economy and increase of its export capabilities, is carried out. Making special mention of the importance of this document, the Head of the State highlighted that attraction of the investments is the most important condition of dynamic growth of national economy, its modernization and diversification.

Key directions were outlined for further growth of Turkmen economy and bringing it to quality new level. There are study and active implementation of international practices and impartial rules of market economy, formation of productive and flexible system of management on its base among them.

Thus, scientifically proven strategy of macroeconomic regulation makes wide opportunities for realization of large-scale social programmes aimed at improvement of life quality of Turkmen people.