WNAM MONITORING: Turkmenistan plans to establish new industrial zones near Ashgabat and in Mary province, according to Tachmyrat Gurdov, a board member of the Union of Industrialists and Entrepreneurs of Turkmenistan (UIET). Gurdov made the announcement during the international conference «Development of Construction, Industry, and Energy in Turkmenistan» (CIET 2024) held on Monday in Ashgabat.
The UIET currently includes 29,000 companies and individual entrepreneurs, and it has seen significant growth due to the government’s introduction of unprecedented tax incentives aimed at fostering private business development. The government exempts the agricultural sector from taxes, applies a minimal turnover tax rate of 2% for small and medium-sized enterprises, and charges large enterprises an 8% profit tax.
One of the private sector’s flagship projects is the construction of the $2.3 billion Ashgabat-Turkmenabat highway. The private sector has already completed more than half of the 600 km planned route—312 km are now operational. Additionally, 1,500 companies in the private sector produce a wide range of products, from building materials to household appliances. A notable achievement from last year was the completion of the Arkadag “smart city,” where private developers built 340 modern, digitally integrated buildings.
To stimulate further business growth, the government offers unsecured loans for infrastructure projects. Gurdov highlighted that the establishment of new industrial zones will be the next step in expanding Turkmenistan’s private sector.
Founded in 2008, the UIET serves as the primary platform for supporting and developing the private sector in Turkmenistan. The organization unites businesses and entrepreneurs from sectors such as construction, agriculture, industry, trade, and services. It provides consultations, educational programs, support for entering international markets, and advocates for the interests of its members.
