17.05.2019

The head of the IMF believes that Central Asian economies can grow faster

The current rates of economic growth in Central Asia do not match the potential of the region. The head of the International Monetary Fund (IMF), Christine Lagarde, said this at the XII Astana Economic Forum in Kazakhstan.

“We must try to accelerate the development of the global economy. While in 2018, about 75% of the global economy was accelerating, in 2019, in turn, about 70% of the global economy slowed down,” she said.

According to her, the organization expects growth of this indicator to 3.6% next year: “I think it is necessary to accelerate the development of the economy. We are confident that the development of 3.3% in the Caucasus and Central Asia does not match the potential of the regions. It should be borne in mind that earlier in the region there was an increase of 4.1%. ”

Christine Lagarde also noted that the IMF supports processes in the field of fiscal policy, education and infrastructure of the Caucasus and Central Asia. “The region’s share in global emerging markets is 20%. Only 3% of the population of the region has a mobile account. This shows us exactly in which areas there are opportunities for development,” Christine Lagarde emphasized.

Turkmenistan closely cooperates with the IMF in the field of economic reforms. Foundation missions regularly visit Turkmenistan, monitor macroeconomic data, and negotiate in ministries and departments of the country. This allows IMF experts to make forecasts of the country’s economic development for the near and medium term, as well as to advise the Turkmen government on the implementation of reforms in the economy, especially in the banking and financial sector.

At the same time, the forecasts for the development of the Turkmen economy of Ashgabat and the IMF, as a rule, are close or coincide. Thus, the IMF, in its April review of the world economy, World Economic Outlook, gave a forecast that the rate of economic growth of Turkmenistan in 2019-2020 will be the highest in Central Asia.

According to the IMF forecast, GDP growth in Turkmenistan will be up to 6.3% in 2019, and in 2020 – 6.0%. According to reports from the Turkmen government, since the beginning of 2019, real GDP growth in Turkmenistan has reached 6.2%.

At the same time, experts note that the economic problems of the Central Asian countries arise mainly due to the negative external impact. Here are called trade wars between the United States and China, as well as sanctions against Russia, Iran and other countries.