Page 26 - DIALOGUE FOR DEVELOPMENT №2
P. 26
. Promoting regional cooperation
This priority is proposed to replace the currently used priorities "exit from the
communication deadlock" and "overcoming the isolation of communication". Arguments
in favor of this priority are below:
a) Having no access to the sea, and being isolated from the international markets,
Tajikistan therefore cannot benefit from economies of scale. In addition, the country is
faced with high transport and transit costs; as a result, the country is relatively
unattractive for foreign direct investments (FDI). The capacity of the internal commodity
markets and the level of solvency of the population are not sufficient for stable
economic growth for a long time. To solve these problems, Tajikistan needs to find their
"niche" in the global and regional value chains, go to the large markets of goods and
services. All this impossible without the expansion and deepening of effective regional
cooperation;
b) The use of regional initiatives in key sectors such as energy, transport, trade, can
mutually bind Tajikistan with neighboring countries and with the countries of the region,
and can also help to link the country to international markets. Examples of such
initiatives may be the integration of systems for road, rail and air transport, the
harmonization of border posts and customs procedures, the development of effective
regional energy market. It is also possible to add a regional free trade agreement, and
monetary and fiscal cooperation (including policy dialogue and surveillance, the
development of the securities market and open exchange rate policy).
c) Tajikistan can use its competitive advantages in the good geographical location
between the major markets: South Asia and Russia, China, Southeast Asia and the
Middle East, becoming an important link and an integral part of large regional economic
corridors. To be included to these corridors and to preferential trade agreements, etc.
again, efforts are needed to enhance the regional cooperation. The economic corridors
development (ECD) is a new modern instrument of regional cooperation. The concept of
ECD is focusing on connecting markets, ideas and people and is linked to the spatial
organization of economic activity. ECD combines existing and new infrastructure,
policies and institutions to attract private investments that will create jobs and ensure
economic growth. Infrastructure requirements include transport networks (highways and
local roads, railways posts, seaports, airports), energy, information and communication
technology, urban infrastructure and economic zones. ECD naturally coincides with the
urban development, given its focus on supporting the growth of large economic clusters
that are usually urban, and on improving relations between urban clusters as well as
between urban and rural areas;
d) Majority of the existing domestic problems can be solved more efficiently, cheaper
and faster by combining the efforts and cooperation with other countries. For example,
problems with winter power shortages in the country, as well as the problem of "idle
discharges" (sterile spills) of water from the Tajik hydropower plants in the summer can
be solved practically in a few days by restoring the functioning of a unified regional
energy system. Restoration and development of parallel work of Central Asian power
system and its expansion to neighboring countries and, first of all, to Afghanistan and
Pakistan, will provide an opportunity to save power and energy of all its participants due
to:
This priority is proposed to replace the currently used priorities "exit from the
communication deadlock" and "overcoming the isolation of communication". Arguments
in favor of this priority are below:
a) Having no access to the sea, and being isolated from the international markets,
Tajikistan therefore cannot benefit from economies of scale. In addition, the country is
faced with high transport and transit costs; as a result, the country is relatively
unattractive for foreign direct investments (FDI). The capacity of the internal commodity
markets and the level of solvency of the population are not sufficient for stable
economic growth for a long time. To solve these problems, Tajikistan needs to find their
"niche" in the global and regional value chains, go to the large markets of goods and
services. All this impossible without the expansion and deepening of effective regional
cooperation;
b) The use of regional initiatives in key sectors such as energy, transport, trade, can
mutually bind Tajikistan with neighboring countries and with the countries of the region,
and can also help to link the country to international markets. Examples of such
initiatives may be the integration of systems for road, rail and air transport, the
harmonization of border posts and customs procedures, the development of effective
regional energy market. It is also possible to add a regional free trade agreement, and
monetary and fiscal cooperation (including policy dialogue and surveillance, the
development of the securities market and open exchange rate policy).
c) Tajikistan can use its competitive advantages in the good geographical location
between the major markets: South Asia and Russia, China, Southeast Asia and the
Middle East, becoming an important link and an integral part of large regional economic
corridors. To be included to these corridors and to preferential trade agreements, etc.
again, efforts are needed to enhance the regional cooperation. The economic corridors
development (ECD) is a new modern instrument of regional cooperation. The concept of
ECD is focusing on connecting markets, ideas and people and is linked to the spatial
organization of economic activity. ECD combines existing and new infrastructure,
policies and institutions to attract private investments that will create jobs and ensure
economic growth. Infrastructure requirements include transport networks (highways and
local roads, railways posts, seaports, airports), energy, information and communication
technology, urban infrastructure and economic zones. ECD naturally coincides with the
urban development, given its focus on supporting the growth of large economic clusters
that are usually urban, and on improving relations between urban clusters as well as
between urban and rural areas;
d) Majority of the existing domestic problems can be solved more efficiently, cheaper
and faster by combining the efforts and cooperation with other countries. For example,
problems with winter power shortages in the country, as well as the problem of "idle
discharges" (sterile spills) of water from the Tajik hydropower plants in the summer can
be solved practically in a few days by restoring the functioning of a unified regional
energy system. Restoration and development of parallel work of Central Asian power
system and its expansion to neighboring countries and, first of all, to Afghanistan and
Pakistan, will provide an opportunity to save power and energy of all its participants due
to:
