Turkmenistan is a landlocked country in Central Asia, abundantly endowed with hydrocarbons. Its principal exports include textile goods, electricity, natural gas, and oil and oil products. While Turkmenistan has the world’s fourth-highest recoverable natural gas reserves, it still needs to develop sustainable, competitive, and climate-resilient strategies, especially in the face of climate change.
In August, the Asian Development Bank (ADB) and Turkmenistan unveiled a new country partnership strategy (CPS). It aims to assist the country in creating a knowledge-based, competitive, and diversified economy powered by a creative private sector.
With this new strategy, implemented from 2024 to 2028, the ADB will concentrate its support on three key areas. First is assisting with the green transition towards a sustainable and climate-resilient economy. The second priority is boosting structural reforms and institutional development. The last strategy will focus on increasing economic competitiveness through diversification, with a focus on the private sector and innovation
Considered an upper middle-income country since 2012, Turkmenistan also boasts sizable quantities of oil and a vast irrigation system for the nation’s main crops, wheat, and cotton. Climate change might impact these agricultural yields due to the rise of temperature, drought, and erratic precipitation patterns.
Due to its location, Turkmenistan is classified as having a cold desert and cold semi-arid climate, with the Karakum desert being the main characteristic of the terrain. It also experiences long, hot, and dry summers with maximum temperatures sporadically reaching 50°C in the country’s warmest regions.
Despite regularly experiencing high temperatures, Turkmenistan has recently faced several extremely high temperatures. Under the highest emissions scenario, temperatures in Turkmenistan are predicted to climb by as much as 5.1°C by the 2090s. Also under this scenario, the country might face “hyper-arid” terrains.
Forecasts indicate that while average yearly precipitation has slightly increased, no significant fluctuations are expected in the future. Flash floods could become more common if periods of intense rainfall continue.
Yevgeniy Zhukov, ADB’s director general for Central and West Asia, emphasized the enduring partnership with Turkmenistan. “As we enter this new chapter, we will continue working closely with the government and Turkmenistan’s development partners to help the country realize its ambitious long-term development goals,” he added.
Turkmenistan’s climate-resilient strategies focus on helping the nation’s transition to a more environmentally friendly economy by funding low-carbon, renewable energy, and energy-efficient projects. It will also assist in the creation of long-term decarbonization plans and the reduction of methane emissions. In Central Asia, Turkmenistan emits one of the most greenhouse gasses due to its heavy dependence on fossil fuels.
Additionally, to improve supply chain efficiency, ADB will assist in developing sustainable transportation networks, especially railroads in important trade corridors along the Central Asia Economic Cooperation. It also includes supporting export-oriented companies and enhancing small and midsize enterprises’ access to financing acknowledging the role of the private sector in economic growth.
Taking advantage of Turkmenistan’s youthful population, ADB will continue to assist in skill development, entrepreneurship, and health sector reforms. The bank will also bolster state institutions to support long-term economic reforms and the shift to a market-oriented economy.
“ADB is proud to be an active partner in Turkmenistan’s development community,” said ADB Country Director for Turkmenistan Artur Andrysiak. He emphasized that under the new CPS, ADB hopes to strengthen its relationship with Turkmenistan by providing technical support and innovative projects with a strong focus on women’s empowerment, climate change, regional cooperation, and good governance, all of which will help Turkmenistan achieve its development goals.